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Well we dodged the January 1st. bullets. I say “dodged” not “missed” because the Farm Bill is only postponed until September, so milk may still be an issue this year, and the Fiscal Cliff “save” carries some unpleasant results. This was made very clear to me during a conversation I had with a younger friend last weekend.
I have known this girl all her life, and always admired her level headedness. She and her husband are executives of large corporations, one a financial institution, and they are two of the most economically responsible people I ever met. Their focus is in providing for their young family, planning for the future and being able to face any emergencies that might arise. Their combined daily commute is more than 5hrs., so gas prices presented a problem requiring some adjustment this past year, and will this year too, since they are expected to go up again. They were prepared for the food price hikes due to the drought. What they weren’t prepared for was the difference the payroll tax would make in their incomes .As my friend explained, despite a raise in December and a Christmas Bonus, her first paycheck this year was 3 digits lower than her last one. Her husband had a similar shock, as did most of the people in their respective offices. As I suspect did many working Americans. Read more