Jorge' has a New Name

You will be glad to know that Jorge' is no longer Jorge'. After much deliberation, we have finally decided on his name. Now we can get to decorating our sports-themed nursery.

Congratulations Carrie and Nick

Tomorrow my baby sister Carrie is getting married. I am so happy for her that she found someone in Nick that treats her like she deserves to be treated. Logan and Brynna are lucky to have someone in their life who can be a positive male influence...finally. Nick is a great guy, seems to be a great dad, and I finally know that Carrie will be taken care of and be happy.

Congrats Carrie and Nick!

Bye Bye Old Couch

We finally got rid of our couch. I put it on craigslist once before, if you remember. If not: CLICK HERE

So this time, I made no mention of Nancy being with child. Once we finally got someone to actually show up to pick up the free couch, they didn't even ask to rub her feet or anything.

Side note: The couch was in our upstairs spare room. It had to be carried upright through two doorways and down an L-shaped narrow staircase. The guy who came to pick it up was like 80 years old. No problem. He brought along a teenager, who I could only assume was his great, great, great grandson.

So me and Old Man River start trying to weave this heavy, bulky, awkward monstrosity out of our bedroom doorway, down the winding stairs, and around 3 tight corners...while the strong, able-bodied kid watches. Well, that's not true, he did more than watch. He did give some verbal direction. He literally stood by while me and pops (mostly me, as Geriatric Jerry wasn't a whole lot of help) lugged this couch all the way outside. When we got to the back of their minivan, there was something in the back that was in the way. The kid had to move it so we could put the couch in (I couldn't tell what it was because it was dark)... but as he lifted it out, he complained about how heavy it was. Seriously. Me and Wilford Brimley are out there huffing and puffing, still holding the heavy-ass couch we just trekked down all those stairs, and he is complaining? So I dropped the couch, form tackled the little punk, and beat the snot out of him just for grins.

Ok, that last part only happened in my mind.

The Things I Learn

Conversation in one of my exam rooms a few minutes ago:

A lady brings her dog in for an ear infection. She brings her (I would guess) 4 year old daughter along for the ride.

ME: Your dog has a yeast infection.

DAUGHTER: Mommy, you had one of those, remember?


You know how hard it is to keep a straight face in that situation?

I'm not taking Jorge' in public until he is 12.

Whoah!

We went to Babies R Us this weekend to check out cribs. Nancy mentioned that we should grab a couple of packages of diapers while we were there in order to get a free $15 gift card. Then I saw the price tag: $41 for a package of diapers. Glorified trash bags with tape. Poop receptacles. Wow. And I hear formula is even more expensive. I had no idea.

El Nino

It's a boy! For sure. 100%.

Today we finally had the "big" ultrasound. For every ultrasound so far, we have been at the OB's office. She has a nice ultrasound machine, and I was really impressed with her pictures. But today, they had to measure every part of his anatomy, so we had the ultrasound done at the hospital. The pictures she was able to get blew me away. They made our OB's pictures look like they came off my ultrasound machine at the clinic. I do a lot of ultrasounds (albeit on dogs and cats) and I have used several different machines, but this one was incredible. It was not one of those cheesy 3D ultrasounds...this was a real ultrasound where you can see inside of his little body. We could see his bones, all four chambers of his heart, his kidneys, his toes, his fingers, his nose, his lips...everything. But, alas, at a shade under $200K, I am pretty sure I will never own one of these wonderful miracles of technology.

Most importantly, everything looked normal. Well, except for the fact that he is 2 weeks bigger than he is supposed to be. But given that his parents ain't exactly the Olsen twins, that's really not that surprising now, is it? I'm just glad I don't have to push that gargantuan noggin out of any of my body orafices. I think that his size has made Nancy's decision on whether or not to have an epidural just a little easier.

Nancy went to Target this afternoon and started buying little boy outfits with sports and boy things all over them. Based on the amount of clothes she bought today, extrapolated out for the remaining 140 days of her pregnancy, and adding in the clothes that Doris is likely feverishly embroidering as I type this, I have determined that baby Jorge will never have to wear the same clothes twice.

I underestimated this baby preparation thing. I figured a few weeks before he was due, we would go and buy a crib, a car seat, maybe a stroller, and off we'd go. Nope. Tonight I was given a pop quiz on quilts. I'm talking about quilts with themes. Evidently every baby nursery needs a theme. And that theme must apply to everything within the walls of said room. Socks, paint, pictures, bedding, light switch, curtains...everything. There will be nothing in that room that is not adhering to the theme. Who knew? Anyway, these quilts, judging by their price, were hand-woven by Betsy Ross herself around the time of the Revolutionary War. It was as we were mulling over the choices in bedding that it hit me...this kid is going to cost me a lot. Time to make Lakeside Animal Clinic into a 24-7 hospital I guess. How many gift-receiving baby showers is too many?

Nancy has yet to feel the little booger kick, which was hard to believe as I watched him kick her uterus like it owed him money. Soon, I'm guessing, she will long for the days when she was oblivious to the fetal dance-a-thon going on inside her.

We finally got some good quality pictures that you don't have to drop acid to visualize a baby in them. So here they are:

First up is a straight on view of his face. Nancy was very creative with her file names for the pics, so I will use hers. This one is "He's looking at you"








Next is "He has a cute profile". Which obviously is a side view of his face. You can make out a nose and lips. Told ya these pictures were good.






Next up is "his right arm and fist". Self explanatory. Although we can't quite make out his thumb, which leads me to believe he has inherited Nancy's nub thumbs.





And finally, the most graphic photo. Imagine yourself looking up while Baby Jorge was sitting on the toilet, and this is that view you would get. Yep, this one is appropriately titled "Definitely a boy". The green arrow is pointing to his boy parts, in case it wasn't obvious.




That's all for now. And before anyone else asks, no, we have not decided on a name yet. We have had about 12 hours of certainty that he is a boy, so give us a break! That does narrow down our choices for themes, however. Thank God.

Health Care

I thought this was an interesting and informative article:

Help! I've Been Taxed and I Can't Get Up
By Jeff Clark
Mar 24 2010 4:17PM
www.caseyresearch.com

Like many of you, the passage of the healthcare bill wasn’t met with the popping of champagne in my house. I found myself chanting “Uncle Sam, Uncle Sham” as the day wore on. Higher taxes and other major changes are headed our way. And yet, I think there’s something in the bill that’s even more dastardly.

If you’re a supporter of the bill, you’d point to its benefits: Poor adults will get Medicaid. Low-income families will get federal subsidies to buy insurance. Small businesses may get tax credits. Kids will be able to stay on the parents’ policy until they turn 26. Seniors get additional prescription drug coverage. People with pre-existing medical conditions can’t be denied or dropped.

While no one is really against any of those things, the elephant in the room (or boa constrictor in the bed) is how those things are going to be paid for. Here’s how: the “wealthy” will pay higher taxes; businesses with 50 or more employees will have to insure them or pay a penalty; individuals will have to pay a fine if they don't buy insurance; premiums will rise for many who already have insurance; and seniors with Medicare Advantage policies could lose those plans or pay more to keep them.

Regardless of how you feel about the bill, the fact is that taxes are going up, and not necessarily just on the “wealthy.” The healthcare plan will cost $940 billion over the next decade, almost $100 billion a year.

I haven’t read the 2,407-page bill (almost twice as long as the Gutenberg Bible), but there are plenty now who have. Here’s a summary I compiled, from various sources, that outlines the tax ramifications of what is now the law of the land.

Assuming the Senate passes the package of changes, the biggest tax increases will be in Medicare payroll taxes. Those take two forms, both starting in 2013:
Singles earning more than $200,000 and couples earning $250,000 will pay 0.9% more on wages and self-employment income.

All investment earnings will be taxed an additional 3.8%. This includes capital gains, dividends, and interest, the first time in history the Medicare tax is applied to them.
But keep in mind that the Bush tax cuts expire at the end of this year, which will push the Medicare tax on capital gains to 23.8% in 2013 on these earners. Dividends, currently taxed at the top rate of 15%, will be taxed as ordinary income, with the top rate scheduled to rise to 39.6% (from 35%).

This means that the tax on dividends could go as high as 43.4% when the new Medicare tax goes into effect in 2013. (Obama has proposed a top dividend tax rate of 20%, so if Congress enacts his proposal, the top tax rate for dividends would “only” rise to the 23.8% level in 2013.)
You may think you’ll escape this tax if you’re not “rich.” But it’s those darn Unintended Consequences politicians never seem to think about that could still sting you. For example, the 3.8% Medicare surtax could snag you if you happen to sell some real estate for a big gain.
The other major tax increase is the one imposed on health insurance plans that are more generous, the so-called “Cadillac” health plans. And this tax increase doesn’t just apply to high-income earners; those state and union workers that lobbied for better health coverage instead of big pay increases are going to find they’re included with the “rich” in a new excise tax. Starting in 2018, family insurance plans valued at more than $27,500 ($10,200 for individuals) would pay a 40% tax above that level.

Ouch.

And there’s other ways you’ll be taxed, particularly through the magic of “passing it on to the consumer.”

For example, pharmaceutical manufacturers will pay an annual fee based on their market share starting in 2011; same for health insurers, starting in 2014. A 2.3% excise tax on the sale of medical devices will start in 2013. A 10% excise tax on indoor tanning services goes into effect this July.

How will all these businesses afford the additional tax? They won’t. You’ll pay it, through higher prices.

Further, were you one of those who incurred medical expenses above 7.5% of your income, thus allowing you to deduct them? That ceiling will be 10% starting in 2013. (It remains 7.5% for those over 65.)

There’s more, most of it in the form of greater restrictions, increased penalties, and higher fines on various entities, businesses, health plans, or individuals. But what I especially cringed at was this: the bill vastly expands the responsibilities of, and gives greater strength to, the IRS. The agency will hire as many as 16,500 additional auditors, agents, and other employees just to enforce all the new taxes and penalties.

Specifically, the bill will empower the IRS to do the following: verify citizens have “acceptable” health care coverage; impose fines up to $2,085 or 2% of income (whichever is greater) for failure to purchase “minimum essential coverage”; confiscate tax refunds; and increase audits.
The upshot is that this will force many taxpayers to be more conscientious of monitoring their income and tax withholding.

Perhaps most damaging to the government’s plans is if the bill leads some to ask the Ayn Rand/Atlas Shrugged questions: What if I just stop being productive? What if I stop working once my income approaches the threshold? What if I invest less so that I stay under the limits?
And last, here’s the time bomb that could trump the tax concerns: none of these taxes are indexed to inflation. Since the bill fails to index to inflation the exemption threshold for the Medicare taxes on both earned and unearned income, it’s almost certain many taxpayers will get to these tax levels a whole lot quicker than they think.

What this essentially means is there is now more incentive on the part of the government that we have inflation. If inflation reaches 10% at some point, which is below the 14%+ rate it hit in 1980 and far below any hyperinflationary level that’s possible, the $100,000 earner gets to the magical $200,000 level in seven-and-a-half years. From the government’s perspective, it makes the printing of money a lucrative affair.

Yes, higher taxes are coming. But with the government’s built-in incentive for inflation, along with the reward that comes from getting more citizens to higher tax rates, many may find the tax issue an annoying mosquito bite compared to the alligator chomp of inflation. And high inflation affects every citizen, regardless of income or tax rate. Those who think they’ve escaped the cold may find they’ve walked into a freezer.

With this added push to inflate, our investment strategy for the foreseeable future is now clear: We must invest in assets that not just keep up with inflation but outpace it.

All wise citizens do tax planning. Have you done inflation planning?