We are at the beginning of a new decade and a new year, what will it bring?
I wish I could tell you with complete certainty but unfortunately, no one person has the correct answer. However, I can give you my nerve racking predictions as to what I believe will happen, and with my nearly perfect record of being correct, so far, I hope I’m wrong.
1. Interest rates will go up; oil will pass $100 per barrel driving gasoline and diesel beyond $4.50 a gallon, the cost of building materials will skyrocket smashing the profits of unsuspecting contractors who will get caught in the change.
2. The Democrats will pass their costly Health Care Reform bill; contractors with payrolls of $250,000 or five or more employees, will get saddled with a $750 fine per employee for not providing their employees with health insurance. Either the fines for not providing or the cost of providing Health Insurance will raise havoc with their bottom-line.
3. Over 50% of contractors, who have survived the economic downfall so far, will go belly-up within the next 12 to 18 months because of their lack of sound business knowledge. Not understanding their numbers and their failure to market will leave them out in the cold for the sales they need to survive.
4. Taxes will go up more than the average person expects since the government has a 3 to 4 Trillion unfunded liability due for its rampant spending spree of 2009. This will force taxes to increase and/or the printing of more funny money, which will drive inflation through the roof.
5. The banking industry will fall flat once again and come begging for additional handouts as the ARM’s come due this coming year and into 2011. With Fannie Mae draining the reserves to the tune of 745 Billion, the Federal Reserve Rescue of 6.4 trillion and the 700 Billion TARP, this government has pushed our republic to the brink of destruction.
Hopefully, through sensible reasoning, the American people will say “Enough!” and take their government back and put a stop with this senseless spending. Otherwise, I pray these bold predictions never come true.