In Ted Bauman’s article, Debt: The Invisible Threat to Your Wealth, he discusses the barriers that some Americans may face when it comes to growing their personal wealth. Taxes feature heavily in Bauman’s article because they have become a common gripe for those wanting to get more out of their paychecks. They are a hot-button issue for many families in the United States as they struggle through life. Bauman explains that some families might see as much as 25% of their income disappear to taxes, sometimes causing significant financial strain. This is of little comfort for them, especially when they believe that they are not being spent properly and would do better for their own personal benefit. Bauman posits that people are being distracted by taxes when the real problem is debt in general.
Throughout the United States, individuals are presented with the opportunity to acquire credit. They may have a higher interest rate, but they look at it as the price of doing business with the creditor. This credit can be easily manipulated to increase the prices on things like mortgages and car loans. Additionally, when a person has credit they are more likely to spend beyond their means and create a problem for themselves later. Bauman says that while people are not happy about taxes, the real problem is in personal debt and creditors because of interest. If Americans were keener on working on removing their own debt, it would be the same as getting that tax cut they had been hoping for. They would then have that income that they had been asking for from their taxes and still be able to enjoy the public works that taxes afford them without a cutback. In summation, Bauman is calling for his readers to analyze their personal debt and determine if their hardships are based on overspending or credit hardships.
Ted Bauman is a brilliant economist contributing substantially to his field through his work as an Editorial Director at Banyan Hill Publishing. In his previous international work, Bauman found a calling to help people with financial investments and freedom. From working with companies to create low-cost housing to his current role, he has made substantial contributions to the global financial population. He continues to bring his audience important information in The Bauman Letter, Plan B Club, and Alpha Stock Alert. Anyone interested in his expertise in low-risk investment strategies should use the publications as a valuable resource.