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Vol. 29, No. 11 • November, 2011 / www.Freeman-Spicer.com

[Remembering Eli Spicer 1914-2009] - It’s what you do for others that helps you succeed in Life!

High Income Taxes . . . There’s lots of talk about the share of taxes paid by high-incomers, in light of a disclosure by billionaire Warren Buffett that because of the 15% top rate on capital gains and dividends, his average tax rate was 17.4% of his taxable income and 11% of is adjusted gross income. This has sparked a big debate in Washington as both parties argue over whether the rich are being taxed too little or too much. New income tax burden statistics from the IRS shed some light on this issue. The top 1% of all filers paid 36.7% of all federal income taxes in 2009, the most recent year IRS has analyzed. That’s down from 38% the previous year. And this very small slice of taxpayers reported 16.9% of total adjusted gross income, also down from a 20% share in 2008. To qualify for the top 1% of earners in 2009, you needed an adjusted gross income of at least $343,927. The average tax rate paid by the top 1% of filers rose to 24.0% of their AGI (adjusted gross income), the highest rate since 2003. The highest 5% paid 58.7% of total income tax and accounted for 31.7% of all adjusted gross income. They each had AGIs of at least $154,643. The top 10% of files, those with AGIs of $112,124 or more, bore 70.5% of the total tax burden while bringing in slightly more than 43% of the total adjusted gross income. The bottom 50% of filers paid 2.25% of the total federal income tax bill, mainly due to refundable tax credits. Their average tax rate was 12.5% of their AGI. (Kiplinger)

Brian Sullivan . . . . . . A man walked out to the street and immediately catches a taxi in New York City. The cabbie says, “Perfect timing, you’re just like Brian.” Passenger: “Who?” Cabbie: “Brian Sullivan. He’s a guy who did everything right all the time. Like my coming along when you needed a cab, things happen like that to Brian Sullivan, every single time.” Passenger: “There are always a few clouds over everybody.” Cabbie: “Not Brian Sullivan. He was a terrific athlete who could have won the Grand Slam at tennis or played golf with the pros. He sang like a bird, danced like a star, and played the piano. He was an amazing guy.” Passenger: “Sounds like he was something really special.” Cabbie: “There’s more. He had a memory like a computer, remembered everybody’s birthday and knew all about wine. He could fix anything. Not like me. I change a fuse, and whole street blacks out. But Brian Sullivan could do everything right.” Passenger: “Wow . . . Some guy that Brian.” Cabbie: “He always knew the quickest way in traffic and avoided every traffic jam. Brian never made a mistake, and he really knew how to treat a woman and make her feel good. He would never answer her back even if she was wrong; shoes highly polished too. He was the perfect man! No one could ever measure up to Brian Sullivan.” Passenger: “An amazing fellow. How did you meet him?” Cabbie: “Well, I never actually met Brian. He died. I’m married to his big mouthed widow.” (Fournier)

Still Sending Greeting Cards By Snail Mail? . . . Apple has an app for that. Its new iPhone 4S lets users choose a card and customize it with text and a photo from the phone’s camera, then select a recipient from its address menu. Apple then prints the card, addresses the envelope and stamps and mails it. The Cost: $2.99 in the U.S. - about the price of a regular card and stamp...without having to go to the store. For delivery elsewhere, the cost is $4.99. (Kiplinger)

Why Thieves Love To Steal Phones . . . . . Next time you whip out your iPhone on the sidewalk or the subway, you might first want to glance over your shoulder. Smartphones have become a favorite target of thieves who do what the police call a snatch and grab. One favorite M.O.: The perp grabs a phone and jumps off the train just as the doors are closing. So far this year over 40% of the thefts in New York City have involved cell phones, with a record 11,000 estimated to be lifted this year. Sadly, this is largely preventable. Yes, AT&T and T-Mobile will cancel phone if reported stolen to protect personal information, but any thief can just slip in a new SIM and resell the phone on the black market. Sen. Charles Schumer (D-NY) just launched a campaign to get the carriers to shut down the phone itself remotely. Verizon, Sprint, and many European carriers already do so. Consumer Reports notes that nothing technical hinders AT&T and T-Mobile from rendering their phones useless: “It’s a simple decision that so far they’re not willing to make.” AT&T will say only that it adequately protects its customers’ privacy. T-Mobile won’t comment. In the meantime, hang on tight to your phone. (Fortune)

Water, Water, In Everything . . . . . With all the bottled water we swig and showers we take, you’d think individuals consume the most water. Actually agriculture accounts for 71%, and industry 16%, of all water use globally. A pair of blue jeans requires 2,906 gallons, most of it from growing cotton. A car requires 104,000 gallons, most of it from the rubber. It takes 71 gallons of H₂O to produce a tall cup of coffee. Starbucks plans to cut its in-store water usage by 25% by 2015 with, for example, espresso machines that dispense less water.

● A Pair of Jeans = 2,906 Gallons      ● A Pound of Beef = 1,857 Gallons

● A Pound of Chicken = 467 Gallons ● A Pound of Rice = 407 Gallons

● A Pair of Natural Rubber Gloves = 252 Gallons ● A Pound of Wheat Bread = 160 Gallons

● A Cup of Coffee (8 oz.) = 71 Gallons ● A Pound of Steel = 31 Gallons (Fortune)

Why Test For Fever On The Forehead? . . . . . When the body is infected by bacteria or a virus, its temperature rises, and a temperature check is therefore helpful in determining if someone is sick. People most likely check for fever on the forehead because it’s an area of the body not covered by clothes. Since temperature can’t be accurately estimated by touch alone, new forehead fever thermometers have been introduced; studies indicate, however, that forehead temperature can vary by 1.5 degrees from actual body temperature. The best way to check someone’s temperature is with a rectal thermometer, but since that method is understandably unpopular, ear or mouth measurement are far more common. Just add 0.5 degrees to compensate for inaccuracy. (Science Illustrated)

Where Does the Lacoste Crocodile Come From? . . . . . The Lacoste crocodile logo originated with a dead alligator. Rene´ Lacoste, the brand’s founder and a tennis star circa 1925, was walking the streets of Boston when he became transfixed by an alligator-skin suitcase in a store window. The French Davis Cup team captain promised he would buy Lacoste the bag if he won an upcoming match. He didn’t win, but the story of his fierce play earned him the nickname “The Crocodile” in the press, which apparently couldn’t keep its reptiles straight. In 1933 he put the logo on short-sleeved tennis shirts, which eventually replaced the standard long-sleeved ones. Today the preppy Parisian fashion house, which just revamped its flagship Fifth Avenue store, is launching a marketing blitz to reconnect the brand with Lacoste’s legacy. (Fortune)

One Hundred Years Ago......Here are some statistics from 100 years ago (it’s always nice to see how easy we have it): * The average life expectancy for men was 47 years. * Fuel for a car was sold only in drug stores. * Only 14 percent of the homes had a bathtub. * There were only 8,000 cars and only 144 miles of paved roads. * The maximum speed limit in most cities was 10 mph.

* The tallest structure in the world was the Eiffel Tower. * The average US wage in 1910 was 22 cents per hour. * The average US worker made between $200 and $400 per year. * A competent accountant could expect to earn $2,000 per year, a dentist $2,500 per year, a veterinarian between $1,500 and $4,000, and a mechanical engineer about $5,000 per year. * More than 95 percent of all births took place at HOME! * Ninety percent of all Doctors had no college education. * Sugar cost four cents a pound. * The population of Las Vegas, NV was only 30. * Crossword puzzles, canned beer and iced tea hadn’t been invented yet. * There was no Mothers or Fathers Day. * Two out of every 10 adults couldn’t read or write and only 6 percent of all Americans had graduated from high school. * Marijuana, heroin, and morphine were all available over the counter at the local corner drugstores. Back then pharmacists said, “Heroin clears the complexion, gives buoyancy to the mind, regulates the stomach and bowels, and is, in fact, a perfect guardian of health!” * Eighteen percent of households had at least one full-time servant or domestic help. * There were about 230 reported murders in the entire USA!” * Eggs were fourteen cents a dozen. Coffee was fifteen cents a pound. * Most women only washed their hair once a month, and used Borax or egg yolks for shampoo. * Canada passed a law that prohibited poor people from entering into their country for any reason. ** And the five leading causes of death were:1. Pneumonia and influenza 2. Tuberculosis 3. Diarrhea 4. Heart disease 5. Stroke. By the way - the United State flag had 45 stars. (AOL)

Reality Bites . . . . Generation Xers, the 33- to 46-year-olds who grew up with The Breakfast Club and the compact disk, are in the prime of their working lives, and it isn’t pretty. At least according to a study by the Center for Work-Life Policy, sponsored by 67 companies, including Bloomberg LP. The study found an overworked, under-rewarded generation:

•          Who is Generation X = Boomers 1946-1964 / Generation X 1965-1978 / Generation Y 1979 - 1994.

•          40% of Generation Xers have divorced parents.

•          10 million Generation Xers schoolchildren aged 6 through 13 lived without adult supervision for several hours a day.

•          13% of Boomers and 18% of Gen Xers carry credit-card debt exceeding 20% of their annual salary.

•          28% of Gen Xers work an average of 10 hours more a week than 3 years ago.

•          65% of women and 59% of men feel guilty about the time they spend away from their children.

•          Percentage of women without children: Ages 30-34 [1976 = 15.6%] [2008 = 26.8%] Ages 35 - 39 [1976 = 10.5%] [2008 = 19.4%] Ages 40-44 [ 1976 = 10.2%] [2008 = 17.8%]. (Bloomberg)

“I saw a woman wearing a sweatshirt with “Guess” on it. So I said “implants?” She hit me! (Unknown)

Sincerely,                                                                                                                                                                

Edward C. Levy                                                                                                           

President