A Positive Perspective

Guest Post by Len Montgomery and Photo by respres

In these days of gloomy of prognostics, I feel it is important to find and acknowledge as many positive aspects of our economy as possible. In doing so, we can offset the pessimism that seems to follow the mainstream media news. In this spirit I would like to share some of the facts that have been skimmed over, or totally overlooked, concerning North Carolina.

Let me begin with our state’s population. North Carolina saw more newcomers to our state versus loss of residents than any other state. For every 100 people who moved away, we saw 180 people move here according to Relocation.com, a moving services website. Now I do not have the exact numbers of the comings and goings, but it has been a significant enough change that the federal government has announced that North Carolina, along with South Carolina, Georgia and Florida, will each receive an additional seat in the House of Representatives.

A good number of those relocating are buying homes. Our office gets a fair number of client relocation referrals. The typical family relocating will finance their home. That means there will be inspections, repairs, insurance, appraisals and a plethora of other services that may be required in the process to approve a home mortgage. Real estate generates a tremendous cash flow into our local economy over and above the cost of property.

With a growing population, new housing will be a necessity. In fact, just this week, Washington reported that new home starts increased over 22% in February all across the nation, with the exception of the west coast. This is still below last years new home starts, but is a very positive step. New housing is typically followed by new shopping centers filled with grocers, banks, restaurants and merchants of all sorts peddling their wares. And who will work, manage or own these new businesses? Sure, some will be big corporations. But more will be folks right here in our own communities.

With a growing population, new jobs are created. Or is the population growing because of the new jobs? Either way, we acquire a larger tax base to draw from for our state and local governments. Spreading out the tax liability helps to hedge off tax increases.

Many of our local residents have been watching the housing market carefully, waiting for the market to hit bottom and so they can swoop in and take advantage of great opportunities. Well, I don’t have a crystal ball, but I feel confident in saying that the time to act is now. Are homes at the lowest prices we are going to see? I don’t know. But I can promise that by the time we’ve all figured out that we are at the very bottom, home prices will be going back up.

One last observation to share: the glass is half full. That’s right. I said it. Although there are many naysayers among us, every fiber of who I am sees the best for our state. I was at a meeting this week where the keynote speaker kindly informed the group that she has chosen not to participate in the recession. What a novel idea! I have adopted this philosophy myself. We have a choice, we can change our attitudes and we will see a change in our results!



Len Montgomery is a REALTOR for GMAC The REALTY Team in Greensboro/High Point/Winston Salem area. Website: www.LenMontgomery.com or call at 336-812-8128.

Job Seeking in the Age of Facebook

This is a guest post by Donna Ray Chmura, Esq. Sands Anderson Marks & Miller, P.C. Photo is by Andrew Feinberg.

We live in a time of unparalleled access to people’s personal information and a resulting loss of anonymity. Or, as the blogosphere puts it, “Google is Forever”.

In this day and age, job applicants need to be very aware of what their online profiles say about them. According to a CareerBuilder survey published in The Business Insider, 22 percent of employers check applicant’s Facebook, Twitter and MySpace profiles.

From personal knowledge, I can tell you that parents are checking out potential babysitters and nannies. I have always searched job applicants to spot check their resumes (I never considered interviewing the woman with a great resume whose last three listed jobs had no internet presence at all—was she making it all up?).

Now I conduct a more general online search, including scrutinizing profiles. I am looking for general character and maturity, drug and/or alcohol abuse, whether you are trashing former employers or being sloppy with confidential information.

Try it. Go to your favorite search engine (Google, Yahoo, Dogpile) and type in your name in quotes (use your proper name and your nickname and see if it makes a difference. What do you see?

Do you look responsible and trustworthy, or will I assume you will be too hung over to work on Mondays? Do your friends trash their co-workers, bosses and employers on MySpace? If so, I might assume you will come in and destroy morale. Do you present the kind of image your new employer would be proud to share with vendors or clients, or do you look like a Hooters waitress?

Sure you have a right to express your opinion and be yourself. But, as long as they are not basing their hiring decision on your race, sex, religion, age, family status or national origin, employers are entitled to their opinion of you as well.

Only you can decide if employment is worth a little online clean-up.

Donna Ray Chmura practices in the areas of contract and commercial law, business formation, employment law, commercial real estate, merger and acquisition, licensing, trademark and copyright prosecution and other areas of corporate legal interest. She is a member of the Business, Finance & Real Estate practice group in Sands Anderson’s Research Triangle Park office. She is an author of www.NCLawLife.com. Follow her on Twitter: @DonnaChmura. Call: (919) 993-3300 or Email.

Guest Post: Tax Tips for Job Searchers

This is a guest post by Patsy Schober, H&R Block, Charlotte, N.C.

This year, Americans are looking for every way to keep more of their money in their wallets, especially those currently searching for a job. If you find yourself between jobs, there are several things to remember this tax season, to ensure you minimize your tax liability and maximize your return. More than ever, taxpayers should consult the services of a professional to help them navigate through the complicated tax code.

1. Unemployment benefits are taxable income:
To avoid being shocked by a tax bill on April 15, taxpayers can complete Form W-4V – Voluntary Withholding Request so that 10 percent of an individual’s benefits are withheld for federal taxes. This won’t cover the cost of state taxes, so make sure to plan for that as well.

2. Job search expenses may be deductible:
If you’ve been unemployed for less than one year and you’ve acquired significant job-search expenses – such as out-of-pocket travel to interviews, educational courses, etc. – these costs may be deductible. Job-search expenses are claimed as part of the miscellaneous itemized deductions.

3. Another potential deduction could come from a job move:
Qualified moving expenses (the cost of moving you, your family and your belongings) may be deductible, even if you don’t itemize. To be eligible, your move must meet certain rules, so consult tax rules or your tax professional.

4. Think twice about lump-sum severance:
These can be a quick boost to retirement savings, but income infusions bring tax implications that you should carefully consider. If a lump-sum payment makes your total annual income higher than it was last year, some credits or deductions that you normally claim may be reduced or unavailable. Severance may be paid over several pay checks, which provides you with salary continuance and a more “regular” tax picture for the year.

5. Check your lump-sum severance withholding:
Companies that provide lump-sum severances are generally required to withhold 25 percent to cover federal income tax. This may or may not be enough to cover federal taxes. State taxes would also have to be accounted for as well.

Patsy Schober is an H&R Block tax professional in Charlotte, N.C. For more tax tips, visit www.hrblock.com/taxes/tax_tips