I can remember maybe some twenty years ago, that all credit card interest was a write off on my income taxes, at the the time I was making very little money, and my bank was in the form what ever credit I had left on my available credit card, I lived for the day, and what the hell, the couple of hundred dollars I spent on credit card interest enabled me to have a couple of extra luxuries. Today, is a completely different ball game, over the years I made a lot more money, and was able to discipline myself, to save some money for my retirement, not much, but it was better than nothing. Now that I am retired, living on my social security, my wife’s income, and some investment income, I see the “Calm Before The Storm”, President Trump’s enforcing a 20% border tax, on items that are imported into the United States, and the addition of reducing the corporate tax from 35-15%, will eventually, turn our country financially upside down.

The likes of foreign automobiles, drugs, and oil will have a serious repercussion on our spending power, us americans will not be able to afford many of these imported items, even though the government  will be trying to collect more taxes on the items that are imported in this country, in the hopes that it will be an incentive for the country to build more factories in hope to create more jobs, will not work. The prime reason why many items are cheaper to manufacture outside the United States is that labor is cheaper, rediculously cheaper, and no worries about their workers having an union and receiving benefits.

Once the border tax take place, many countries will enforce  even higher taxes on our goods and services, and once that takes place, our US Dollar will be worth less. All in all, in this country we like shopping at our dollar stores, and don’t even care that we are buying so many items from China, that would three times the cost if they were made in the United States.

Another point that we better be prepared for, that many of the deductions that give us the financial incentive to buy our homes, is due that the mortgage interest is a deduction, many other deductions as our medical expense and education costs maybe the thing of the past as once was my credit card interest as a tax deduction.

Eventually we could end up with a straight percentage income tax, and I doubt it will be the same for the wealthy, it will destroy our economy, there will be no longer a middle class, you either are poor and in the case of our president, very rich, who has many more rich people helping him run his country. Pretty scary.

I hope I am wrong, but the Titanic was a warning, start thinking about selling your house, put your savings in precious metals and most of all Pray!