Friday Financial Five – December 18th, 2015
Daniel P. Forbes GoLocalProv MINDSETTER™
Friday Financial Five – December 18th, 2015
The inevitable finally occurred as the Federal Reserve opted to raise the target federal funds rate by a quarter point, the first increase since 2006. A rate hike may be new territory for those looking to buy a house for the first time but a higher mortgage rate isn’t a foregone conclusion. The Fed committed to continue reinvesting principal payments from mortgage-backed securities into new mortgage-backed securities. They will also continue rolling over maturing Treasuries. This continued support should help provide some stability in the bond market, even with another expected increase in the first half of 2016.
Congress Finally Addresses Permanent Tax Changes
GET THE LATEST BREAKING NEWS HERE -- SIGN UP FOR GOLOCAL FREE DAILY EBLASTCongress came to agreement on the Protecting Americans from Tax Hikes (PATH) Act of 2015. Many provisions, habitually extended each year over the last decade, have been permanently renewed. Others were extended but are expected to pass within the next week. The permanent provisions include the deductions from IRAs to charities, which allows taxpayers who are over 70 ½ to make a tax-free contribution up to $100,000 to a charity. The Enhanced Opportunity Tax Credit allows families to take a credit of up to $2,500 per year for up to 4 years of post-secondary education. The Enhanced Child Tax Credit raises the threshold for calculating the additional refundable portion of the tax credit. Finally, the deduction for schoolteacher expenses is now permanent, allowing elementary and secondary schoolteachers to deduct up to $250 per year in school supplies or expenses.
Most Charitable States
There are plenty of ways the United States can improve but the country has always been at the forefront of generosity. Coinciding with the holidays, Wallethub promoted giving by putting together a meaningful comparison of different states’ generosity. The rankings are based on, among other things, number of public charities, percentage of people donating, and median amount of giving. Utah, Maryland, and Idaho ranked at the top of the chart, while California, Louisiana, and Rhode Island filled the last three spots.
Growth Rate of Women Billionaires Outpacing Men
As women continue the fight for income equality in the workplace, longevity and estate planning practices are working to help females take their place amongst the wealthiest in the world. UBS/PricewaterhouseCoopers examined the rate of increase in the number of billionaires since 1995 and females are outpacing males by a healthy rate. The number of women worth over a billion has grown 6.6 times as opposed to 5.2 times for men. Asian women have the led the way for this growth, increasing from 3 in 2005 to a total of 25 today. There are still more total female billionaires in Europe and the United States, with the U.S. numbering 63.
Payday Lending Takes a Big Hit
In a holiday feel-good story for those against payday lending, the CFPB (Consumer Financial Protection Bureau) took action this week against EZCORP for illegal debt collection practices. Due to the finding, the company will refund $7.5 million to 93,000 customers and pay $3 million in penalties. For 130,000 consumers, their payday and installment loans will not be collected. EZCORP was accused of illegally visiting these consumers in their homes and workplaces, while lying about their rights and unlawfully drawing money from their bank accounts.
Dan Forbes, a CFP Board Ambassador, is a regular contributor on financial issues. He leads the firm Forbes Financial Planning, Inc in East Greenwich, RI and can be reached at dforbes@forbesplanning.com.
Top 50 Business Delinquent Taxpayers
50.
Business Name: Gina R. Durante DBA New 2-U Consignment Store
Business Address: PO Box 8833 Cranston RI 02920
Amount Owed: $75,146
49.
Business Name: Gary Branch DBA Branch Woodworking
Business Address: 500 Wood St. Bristol RI 02809
Amount Owed: $76,731
48.
Business Name: American Window Enterprises Inc.
Business Address: 20 School Street Rehoboth MA 02769
Amount Owed: $77,849
47.
Business Name: Jamestown Tavern LLC
Business Address: 580 Weetanoe Street Fall River MA 02720
Description: The tavern, which was located in Jamestown, was reportedly closed in 2013 after its liquor license was pulled.
Amount Owed: $78,301
46.
Business Name: Newgrange International Inc.
Business Address: 600 Putnam Pike Greenville RI 02828
Amount Owed: $80,283
45.
Business Name: Bird Incorporated
Business Address: 750 East Swedesford Road Valley Forge PA 19482
Description: Bird Incorported was founded in the mid-1790s, when George Washington was in his second term. Today it is best known as a manufacturer of roofing shingles and vinyl siding.
Amount Owed: $81,742
44.
Business Name: AA Thrifty Services Inc.
Business Address: 17 Paolino Circle Scituate RI 02857
Description: A sign and awning design and fabrication company. Its business registration with the state was revoked in 2011.
Amount Owed: $83,944
43.
Business Name: Applebee's International Inc.
Business Address: 450 N. Brand Blvd 7th Floor Glendale CA 91203
Description: With more than 2,000 locations worldwide and $4.5 billion in sales in the United States alone, Applebee's is among one of America's most popular restaurant chains.
Amount Owed: $85,625
42.
Business Name: CDE Corporation
Business Address: 15 Greenhill Rd. Johnston RI 02919
Description: A local demolition and debris removal contractor.
Amount Owed: $85,813
41.
Business Name: SCI Funeral & Cemetery Purchasing
Business Address: 1929 Allen Parkway Houston TX 77019
Description: A Fortune 500 company that had $2.9 billion in revenues last year, SCI describes itself as the "largest provider of funeral and cemetery services" with 4,500 locations in 20 countries, according to its Web site.
Amount Owed: $88,014
40.
Business Name: Wayne Prolux DBA East Bay Flooring
Business Address: 628 Metacom Ave. Warren RI 02885
Amount Owed: $92,125
39.
Business Name: Robert Cucino Jr.
Business Address: 14 Sallsbury Rd. Foster RI 02825
Description: Robert Cucino, Jr. is the president of the Cucino Corp., a heavy truck hauler based in Johnston.
Amount Owed: $95,495
38.
Business Name: Floortech Industries LLC
Business Address: 2 Navaho Dr. Canton MA 02021
Amount Owed: $97,989
37.
Business Name: Affordable Lanscape Concepts Corp.
Business Address: 296 Simmonsville Ave. Johnston RI 02919
Amount Owed: $98,517
36.
Business Name: Off Track Bedding Ltd.
Business Address: 209 Cambridge Lane Nicholasville KY 40356
Amount Owed: $104,643
35.
Business Name: Pytko Construction Corp.
Business Address: 654 Eddie Dowling Highway North Smithfield RI 02896
Description: Owner Paul Pytco last year pled guilty to conspiring to sell company equipment and conceal the sales from the IRS in order to pay off more than $1 million in alread-accumulated back taxes, according to an FBI news release.
Amount Owed: $107,144
34.
Business Name: Highway Construction Serv Inc.
Business Address: PO Box 40369 Providence RI 02940
Amount Owed: $107,404
33.
Business Name: America House Comm Ltd.
Business Address: 28 Jacome Way Middletown RI 02842
Description: A yacht design firm with more than $1 million in sales a year.
Amount Owed: $111,026
32.
Business Name: Contemporary Telephone Group Inc.
Business Address: 72 Reservoir Avenue Providence RI 20907
Description: A 30-year local business that provides voice mail and other telephone services, according to its Web site.
Amount Owed: $112,632
31.
Business Name: Symmetry International Inc.
Business Address: 55 Industrial Circle Lincoln RI 02865
Description: A local manufacturing firm of exhibits, sculptures, and other products ranging from a 28-foot tall Optimus Prime statue to set pieces for the movie Zookeeper.
Amount Owed: $112,930
30.
Business Name: Stephanie Masoian DBA Delicacies
Business Address: 108 Whitewood Dr. Cranston RI 02920
Amount Owed: $114,565
29.
Business Name: EZ Mart LLC DBA Diamond Hill Market
Business Address: 1166 Washington St. Weymouth MA 02189
Amount Owed: $118,318
28.
Business Name: CSCS Inc., FKA Strategic Supply Chain Inc.
Business Address: 59 Greenhill Street West Warwick RI 02893
Description: A national supply chain services company with headquarters in Grand Rapids, Michigan.
Amount Owed: $118,366
27.
Business Name: JH Prestige Granite Countertops Inc.
Business Address: 940 Wellington Ave. Cranston RI 02910
Amount Owed: $118,597
26.
Business Name: Freedom Funding Group Inc.
Business Address: 591 Main St. East Greenwich RI 02818
Amount Owed: $132,588
25.
Business Name: Athens 2005 Inc.
Business Address: 828 Lake Avenue N. Apt. #6 Delray Beach Fl 33483
Amount Owed: $133,530
24.
Business Name: Conversent Communications LLC
Business Address: 5 Wall St. Burlington VT 01803
Amount Owed: $134,405
23.
Business Name: Bradford Printing & Finishing LLC
Business Address: 2540 Claire Marsh Rd. Seabrook Island SC 29455
Description: A local military uniform manufacturer located in the Westerly area. It reportedly went out of business in 2011. (It's business address is where its former executive vice president lived.)
Amount Owed: $142,000
22.
Business Name: Adla LLC
Business Address: PO Box 40369 Providence RI 02940
Amount Owed: $144,536
21.
Business Name: Precision Granite Works Inc.
Business Address: 14 Audrey Street Warwick RI 02886
Amount Owed: $152,012
20.
Business Name: Greystone Equipment LLC
Business Address: 154 Sylvan Drive East Greenwich RI 02818
Amount Owed: $162,176
19.
Business Name: Alves Productions Inc.
Business Address: 327 Barton St Pawtucket RI 02860
Description: A local liquor store.
Amount Owed: $164,880
18.
Business Name: Amore Inc.
Business Address: 27 Porter Pond Road Moosup CT 06354
Amount Owed: $167,103
17.
Business Name: DBC Occupations Unlimited Inc.
Business Address: 61 Hewett Street Warwick RI 02886
Description: A local employment agency.
Amount Owed: $185,933
16.
Business Name: RAF Corporation
Business Address: 501 Roosevelt Ave. #207 Central Falls RI 02863
Amount Owed: $209,460
15.
Business Name: Capco Steel LLC
Business Address: 55 Holly Hill Lane Cranston RI 02921
Description: A leading regional steel manufacturer that has experienced a series of well-publicized difficulties after a $5 million state-backed loan failed to help the business offset a loss of $85 million in contracts during the recession.
Amount Owed: $213,203
14.
Business Name: ADF Incorporated
Business Address: Po Box 40369 Providence RI 02940
Amount Owed: $272,300
13.
Business Name: Quality Concrete Corp
Business Address: 114 Martin St. Rehoboth MA 02769
Amount Owed: $283,306
12.
Business Name: So Fresh So Clean LLC
Business Address: 140 Vandewater Street Providence RI 02908
Amount Owed: $285,693
11.
Business Name: The Potting Shed Inc.
Business Address: 711 Union Street Portsmouth RI 02871
Description: A local gardening shop.
Amount Owed: $307,733
10.
Business Name: Coastal Recycling Inc.
Business Address: 71 Great Road North Smithfield RI 02896
Amount Owed: $372,363
9.
Business Name: Regal Auto Body& Radiator Work Inc.
Business Address: 135 Adirondack Drive East Greenwich RI 02818
Description: A local auto body shop based in Pawtucket (despite an official East Greenwich address). Its business registration has been revoked by the state.
Amount Owed: $389,242
8.
Business Name: Builders Resource Inc.
Business Address: 154 Sylvan Drive East Greenwich RI 02818
Amount Owed: $411,380
7.
Business Name: Richard D'Ambra DBA Mr. Flowers
Business Address: 9 Bowling Lane Bradford RI 02808
Description: A local flower shop.
Amount Owed: $527,584
6.
Business Name: Northeast Concrete Products LLC
Business Address: P. O. Box 2189 Plainville MA 02762
Description: A regional construction firm that offers precast concrete for stormwater and ulility projects.
Amount Owed: $608,530
5.
Business Name: Edward S. Johnson D/B/A Johnson's Boat Works
Business Address: 1128 Narragansett Boulevard Cranston RI 02905
Description: Johnson's Boat Works bills itself as New England's number one repair shop for Yanmar engines, a Japanese brand. The company offers other repair, restoration, and replacement services and also hauls and stores boats for customers.:
Amount Owed: $638,925
4.
Business Name: United Convenience & Petroleum Inc.
Business Address: 91 Modena Ave. Providence RI 02908
Description: A local gas station whose state registration has been revoked.
Amount Owed: $683,591
3.
Business Name: RI Marble & Granite Inc.
Business Address: 35 Terminal Road Providence RI 02905
Description: A marble and granite manufacturer and contractor that serves homes and businesses.
Amount Owed: $1,028,778
2.
Business Name: Frank J. Ogarek DBA Access O/F Group
Business Address: 17 Riverwoods Ct Rumford RI 02916
Amount Owed: $1,148,372
1.
Business Name: S & P Temporary Help Services Inc.
Business Address: 17 Florence Ave Lowell MA 01851
Description: S&P was a temp agency. In 2010, its owner, Cheang Chea, was sentenced to two years in prison for failing to pay millions in payroll taxes for the some hundreds of temp workers he had provided to 30 local businesses.
Amount Owed: $4,284,023
