Congratulations, America, you're 249 years old! But this last one has been rough
Today, you turn 249 and, honestly, you don't look a day over 248. (Ha ha.)
Seriously, it's perfectly understandable why there's more gray on your scalp and deeper worry lines on your face. This last year has been challenging, to say the least.
A convicted felon and adjudicated sex abuser was elected president — history made! — and ever since has worked tirelessly and diligently to establish himself as the nation's first monarch, and a fabulously remunerated one at that.
Federal troops are occupying the nation's second-largest city, over the objection of the state's leaders, as masked agents scoop people off the streets of Southern California for the temerity of venturing out with brown skin and an accent.
Our social safety net is being shredded, the country is pulling back from its international leadership in the arts and science, and we've squandered our global standing as a beacon of hope and compassion.
But that's not all.
Political violence is becoming about as familiar and normalized as schoolyard shootings. In roughly the last 12 months we've witnessed two attempts on Trump's life and the assassination of a Minnesota lawmaker and her husband.
Medicaid, the program that serves millions of the needy, elderly and disabled, is on the chopping block. The Federal Emergency Management Agency, which helps Americans weather the worst times after natural disaster, has been drastically depleted just as we're heading into the fire and hurricane seasons.
As for the loyal opposition, Democrats are in bad odor with voters and even many of their own partisans after Joe Biden's handlers gaslighted the public on the frailty and declining faculties of the octogenarian president.
Only after a cataclysmically bad debate performance, which revealed his infirmities for all to see, did Biden grudgingly stand aside in favor of his anointed successor, Vice President Kamala Harris.
Once more, Democrats are wandering the wilderness, wearing a familiar groove in their desolate pathway as they debate — again — whether to veer left or hug the center.
That's quite the catalog.
But no one ever said this representative democracy thing was going to be easy, or endlessly uplifting.
America, you're a big, boisterous nation of more than 342 million people, with all sorts of competing impulses and interests, and no end of certitude to go around.
In our last presidential election, we split nearly evenly, with Trump squeaking past Harris in the popular vote 49.8% to 48.3%. It was one of the narrowest margins of victory in the last century, though you wouldn't know it from Trump's radical actions and the servility of the Republican-run Congress.
But our differences go even deeper than the now-familiar gulf between red and blue America.
In a recently completed deep dive on the state of our democracy, researchers at UC Berkeley found an almost even divide over how to measure our political system's success.
Slightly more than half of those surveyed said a successful democracy is one that's adaptable and has the capacity for change, while nearly half said success stems from adherence to long-standing principles.
With that kind of stark disagreement on such a fundamental question, is it any wonder we struggle to find consensus on so much else?
But, heck, if it's any consolation on this star-spangled holiday, the country has been through worse. Much worse. And you, America, have not only survived but also in many ways grown stronger by facing down your flaws and overcoming some knee-buckling challenges.
Slavery. Civil war. Racist exclusionary laws. Two worldwide conflicts. Depression. Financial crises. And too many deadly natural disasters — floods, fires, earthquakes, hurricanes — to possibly count.
Your treatment of some Americans, it should be said, hasn't always been fair and just.
People are despairing over the Supreme Court and its deference to the president. But it's worth noting that earlier court majorities held that Black Americans — 'beings of an inferior order,' in the words of the notorious Dred Scott decision — could be denied citizenship, that racial segregation was constitutional and that compulsory sterilization based on eugenics was perfectly legal.
That sordid history won't necessarily make anyone feel better about the current state of affairs, nor should it. But it does give some perspective.
All of that said, today's a day to celebrate the good things and the bright, shining place you aspire to be, with liberty and justice for all. So, chin up, America! Have another slice of birthday cake, and don't worry about the calories — you really do look terrific for 249!
Meantime, it's up to us, your citizens, to keep working toward that more perfect union. Whatever ails you, America, the remedy resides with we the people and the power we hold, particularly at the ballot box. Unhappy with the wrecking crew that's chain-sawing federal programs and allowing Trump to blowtorch the Constitution and rule of law? Vote 'em out, starting with the 2026 midterm election.
Don't give up hope or the belief that, as dark and difficult as things seem right now, better days lie ahead.
That abiding faith is what makes America great.
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Yahoo
an hour ago
- Yahoo
Tax breaks and spending cuts: Here are the winners and losers in Trump's big bill
There are major changes coming for Americans' finances, after the House of Representatives passed a landmark tax and spending bill at the center of President Donald Trump's domestic agenda. House Republicans passed the legislation Thursday in a 218-214 vote along party lines. The Senate passed it in a 51-50 vote two days earlier. Trump's signature, which came Friday, was the last thing needed to usher in the changes that many people will start seeing early next year. Now that the megabill has passed, expect a ton of short-term debt to be sold to finance the government's deficit 'I'm single': At 70, I have $500,000 in stocks and $220,000 in savings. How do I invest my $130,000 windfall? 'Today is my 61st birthday': I have my ex-spouse's Social Security benefits. Should I retire at 65 and travel? 'I do all the yard work, cooking and cleaning': I live with my daughter and her lazy boyfriend. She wants me to buy her house. Do I say yes? My wife and I are in our late 60s. Do I sell stocks to pay our $30,000 credit-card debt — or do it gradually over 3 years? The bill is permanently etching lower income-tax rates into the tax code and averting a widespread 2026 tax hike, when the 2017 tax cuts from Trump's first term were supposed to expire. But the bill is about more than tax cuts, and its myriad provisions mean that some Americans will benefit from the legislation while others will lose out. For a law Trump calls the 'One Big Beautiful Bill,' the beauty may be in the eye of the beholder. For example, millions of Americans are poised to receive tax cuts — but richer Americans are more likely to see bigger tax savings. There are new tax breaks geared at low- and moderate-income households, but also spending cuts that could make it harder for some to receive public assistance or hold onto health insurance. Homeowners win, so long as they live in areas where they can put a more generous write-off to good use. Car buyers win too, depending on the vehicle they are getting. 'The One Big Beautiful Bill delivers for the American people,' Republican Rep. Jason Smith of Missouri, chair of the House Ways and Means Committee, said in a predawn floor speech. 'This is the largest tax cut for working families, farmers and small businesses in U.S. history.' But House Democratic Minority Leader Hakeem Jeffries railed against 'this one big, ugly bill,' recounting the stories of people across the country who talked about the necessity of their Medicaid health insurance — and their fears of losing the coverage. The bill is 'the largest cut to health care in American history,' he said in his marathon remarks. In promoting the bill, the White House and Republican leaders emphasized the wins for everyday Americans. The widely-used standard deduction is becoming more generous, along with the child tax credit. There are new deductions for tips, overtime and other expenses that will add to the ways many Americans can cut their taxable income. The full force of taxes and predicted economic growth would boost annual take-home pay up to roughly $10,000 for a family with two kids, according to the White House. But there's also the value of provisions like a permanently higher estate tax, generous business expensing and partnership accounting rules that all help richer taxpayers. Outside models agree the majority of taxpayers are getting tax cuts when the tax provisions are tallied up. Yet those estimates show that the higher up the income ladder, the better those cuts look. That's both in dollar value and as a share of after-tax income. Estimates from the Tax Foundation, the Tax Policy Center and the Penn Wharton Budget Model show the pattern, each comparing the bill to what would happen if the 2017 tax law expired. In the Tax Policy Center numbers, a household making between roughly $67,000 and almost $120,000 a year would be getting a $1,780 tax cut next year, a 2.3% addition to their after-tax income. The top 20% of households, in a band that starts with households making nearly $220,000 and soars to multimillionaires, get an average $12,500 tax cut. That's a 3.4% increase in their after-tax income. The Penn Wharton Budget Model takes into account the effects of stricter rules for Medicaid and Supplemental Nutrition Assistance Program — two programs geared at low-income households — in determining how the bill would affect Americans' incomes. In 2027, a household making less than $18,000 would lose $165 and a household making less than $51,000 would gain $30. By 2030, when temporary deductions go away, households in these income bands would be projected to lose more than $1,000. For the top band of households, 2027 increases in after-tax income range from nearly $6,700 to over $300,000, Penn Wharton researchers said. The nation's 4 million tipped workers are getting a deduction worth up to $25,000 in a win for hairdressers, bartenders and waiters, among others. Workers who rely on tips could save an average of $1,700 per year, according to the White House Council of Economic Advisers. The tax break runs from 2025 from 2028, meaning people could start taking the deduction on the 2025 taxes they file next tax season. The question is how many tipped workers will use the tax break, according to the Yale Budget Lab. More than a third of the nation's workers relying on tips had incomes so low, they didn't have to file an income-tax return in 2022, while only 4% of workers earning less than $25 an hour received tips. The break on overtime could save workers between $1,400 and $1,750 per year, the White House Council of Economic Advisers said last month. It runs from 2025 to 2028. Workers who earn regular overtime pay, like nurses, firefighters and construction workers, also stand to benefit from the bill's tax provisions. It's a sliver of the workforce, with 8% of hourly workers and 4% of salaried workers conceivably qualifying for the deduction, according to the Yale Budget Lab. Car buyers will gain a deduction up to $10,000 on their auto loans, applying to the interest paid on loans for new vehicles assembled in the U.S. The average buyer paid $1,332 on auto-loan interest charges in 2024, according to AAA. The tax break is available for loans through 2028, but it's limited to new cars. It's expensive buying a new car, with the average final price at $48,799 in May, according to Cox Automotive. So the question is how many people take up the offer of a tax break? A new-vehicle buyer's income averaged $115,000 in 2023, Cox Automotive data said. Other research suggests a six-figure salary is necessary to afford a new car. Homeowners are getting more firepower to write off their state income taxes and local property taxes. After much wrangling, the state and local tax (SALT) deduction is going to at least $40,000. It will drift higher with inflation through 2029 before tumbling back to $10,000 in 2030. The quadrupled deduction is a win for people living in areas with high state income taxes and big property-tax bills. Critics say that's a giveaway putting other homeowners at a disadvantage if they live in states with lower tax bills. People ages 65 and up are getting a $6,000 deduction, in a nod to Trump's campaign pledge to end taxes on Social Security benefits. The tax break coming to seniors technically isn't excluding their benefit money from taxes, due to the budget rules lawmakers had to follow. But the White House says the deduction zaps out the tax differently. The deduction will exceed taxable Social Security benefits for 88% of recipients. The deduction will reach 51.4 million beneficiaries, according to the Council of Economic Advisers. It's a major break for older Americans living on fixed incomes. Coupled with a standard deduction that's already enhanced for seniors, deductions would total $23,750 for single filers and $46,700 for married couples. It's a short-term win with a tax break that runs from 2025 to 2028. But the bill creates indirect problems for retirees, according to critics. Less tax revenue coming into Social Security and Medicare trust funds will speed up insolvency, according to the Committee for a Responsible Federal Budget. Starting in 2034, Social Security trust funds will hit a shortfall and pay 81% of the promised benefit, according to the latest official projections. Social programs like Medicaid and the Supplemental Nutrition Assistance Program are getting tighter eligibility rules and more verification requirements. More SNAP administrative costs are getting pushed onto states and new limits are coming for the ways states generate the fund to pay their side of Medicaid. A tax-credit boost is going away for people getting their health insurance through the Affordable Care Act exchange. Almost 12 million more people will be without health insurance by 2034, according to the nonpartisan Congressional Budget Office's tally of the bill. An earlier CBO estimate put the number at 16 million. Democrat criticism is a scare tactic, Republican leaders say. No one who really needs public assistance will lose it, they say, and work requirements are worth adding to promote work and prevent benefit misuse, they say. Still, the Medicaid changes and their possible fallout have been enough to concern some GOP members. Sen. Thom Tillis of North Carolina voted against the bill due to parts of the Medicaid changes. A reporter asked Trump on Tuesday about the CBO's estimate of nearly 12 million people losing health insurance. The amount of people falling off Medicaid would be smaller and that amount would be targeting Medicaid's waste, fraud and abuse, he said. Medicaid is also the country's biggest payer for long-term care including nursing homes, according to the AARP. Tighter funding may have implications on nursing home access and staffing levels, according to KFF. But the White House says Medicaid without waste, fraud and abuse can better serve the populations it's supposed to help, including low-income seniors. The bill's other main flash point was its price. The bill raises the debt ceiling by $5 trillion, coming at a time when national debt exceeds $36 trillion. Deficit critics on Capitol Hill slammed the bill. So did Elon Musk. Consumers who need financing may lose out with the national debt worries. Lenders use Treasury yields to help determine interest rates for mortgages, car loans and more. For example, the rate on a 30-year fixed mortgage tends to follow the 10-year Treasury note BX:TMUBMUSD10Y. A bond's price and its yield move in opposite directions. If the Treasury Department issues more debt to finance government operations and buyers aren't willing to buy as much, that would lower the price of government debt and raise its yields — which would raise consumer borrowing costs. The bond market has been watching the bill's twists and turns, said Lawrence Gillum, LPL Financial's chief fixed-income strategist. Though investors are expecting higher deficits, Gillum said their reaction will depend on how big those deficits go. The one thing Gillum can say with some certainty 'is that interest rates are not going to go down because of this bill.' An excise tax on private university endowments is becoming steeper. The excise tax tops out at 8% for universities with a per-student endowment value of $2 million or more, but constitutes a significant increase from the current, flat rate of 1.4%. That's likely a hit to schools, including those in the Ivy League — like Harvard University. Schools will have less money for research and financial-aid packages, said Steven Bloom, assistant vice president of government relations with the American Council on Education. 'Students will lose out in that,' he said. The bill is also set to overhaul the way students repay their federal student loans. Among other things, it's scrapping many repayment plans and going with two ways borrowers can repay their debts. The bill does have some help for borrowers repaying their loans. Workers don't have to count it for tax purposes when their employers paid up to $5,250 on these bills. The bill makes the tax break permanent. The legislation is tough news for Americans who want to buy electric vehicles. The bill eliminates a $7,500 tax credit for the purchase or lease of new EVs, as well as a $4,000 credit for used EVs. Those are just some of the clean-energy tax breaks fading fast under the legislation. 'Renewable energy is the big loser, set to lose hundreds of billions in Biden-era subsidies, while most companies that spent 2025 playing defense on taxes walked away mostly unscathed,' John Gimigliano of KPMG. Now, would-be EV buyers have to step on it if they want the tax code to help defray their costs. The credits on new and used EVs are good through Sept. 30. What personal-finance issues would you like to see covered in MarketWatch? We would like to hear from readers about their financial decisions and money-related questions. You can fill out or write to us at . A reporter may be in touch to learn more. MarketWatch will not attribute your answers to you by name without your permission. My wife and I have $7,000 a month in pensions and Social Security, plus $140,000 cash. Can we afford to retire? 'Finance makes me break out in hives': I inherited $240K from my parents. Do I pay off my $258K mortgage and give up my job? The Dow and Russell 2000 are joining the stock market's party. Is it a game changer for the bulls? My job is offering me a payout. Should I take a $61,000 lump sum — or $355 a month for life? I'm a stay-at-home mom. Do I take a part-time job to spend more time with my kids — or get a job for six figures? Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Hamilton Spectator
2 hours ago
- Hamilton Spectator
Brazil hosts BRICS summit, eager to avoid provoking Trump's ire
RIO DE JANEIRO (AP) — Brazil will play host to a summit of the BRICS bloc of developing economies Sunday and Monday during which pressing topics like Israel's attack on Iran, the humanitarian crisis in Gaza and trade tariffs imposed by U.S. President Donald Trump are expected to be handled with caution. Analysts and diplomats said the lack of cohesion in an enlarged BRICS, which doubled in size last year, may affect its ability to become another pole in world affairs. They also see the summit's moderate agenda as an attempt by member countries to stay off Trump's radar. Brazilian President Luiz Inácio Lula da Silva will have some of his priorities, such as debates on artificial intelligence and climate change, front and center for the talks with key leaders not in attendance. China's President Xi Jinping won't attend a BRICS summit for the first time since he became his country's leader in 2012. Russian President Vladimir Putin, who will make an appearance via videoconference, continues to mostly avoid traveling abroad due to an international arrest warrant issued after Russia invaded Ukraine. Debate over language on hot-button topics The restraint expected in Rio de Janeiro marks a departure from last year's summit hosted by Russia in Kazan, when the Kremlin sought to develop alternatives to U.S.-dominated payment systems which would allow it to dodge Western sanctions imposed after Russia's full-scale invasion of Ukraine in February 2022. A source involved in the negotiations told journalists Friday that some members of the group want more aggressive language on the situation in Gaza and Israel's attack on Iran. The source spoke under the condition of anonymity because they were not authorized to speak about the matter publicly. 'Brazil wants to keep the summit as technical as possible,' said Oliver Stuenkel, a professor at the Getulio Vargas Foundation think tank and university. Consequently, observers expect a vague final declaration regarding Russia's war in Ukraine and conflicts in the Middle East. As well as suiting Brazil, a watered-down and non-controversial statement may be made easier by the absences of Putin and Xi, Stuenkel said. Those two countries have pushed for a stronger anti-Western stance, as opposed to Brazil and India that prefer non-alignment. A Brazilian government official told The Associated Press Thursday that the group is expected to produce three joint statements and a final declaration, 'all of which less bounded by current geopolitical tensions.' The official spoke on condition of anonymity because they were not authorized to speak publicly about the summit's preparations. João Alfredo Nyegray, an international business and geopolitics professor at the Pontifical Catholic University in Parana, said the summit could have played a role in showing an alternative to an unstable world, but won't do so. 'The withdrawal of Egypt's President Abdel Fattah al-Sisi and the uncertainty about the level of representation for countries like Iran, Saudi Arabia and the UAE are confirming the difficulty for the BRICS to establish themselves as a cohesive pole of global leadership,' Nyegray said. 'This moment demands high level articulation, but we are actually seeing dispersion.' Brazil skittish in light of Trump tariffs Brazil, the country that chairs the bloc, has picked six strategic priorities for the summit: global cooperation in healthcare; trade, investment and finance; climate change; governance for artificial intelligence; peace-making and security; and institutional development. It has decided to focus on less controversial issues, such as promoting trade relations between members and global health, after Trump returned to the White House, said Ana Garcia, a professor at the Rio de Janeiro Federal Rural University. 'Brazil wants the least amount of damage possible and to avoid drawing the attention of the Trump administration to prevent any type of risk to the Brazilian economy,' Garcia said. While Brazil will continue to advocate for the reform of Western-led global institutions, a cornerstone policy of the group, the country wants to avoid becoming the target of tariffs — a predicament it has so far largely escaped. Trump has threatened to impose 100% tariffs against the bloc if they take any moves to undermine the dollar. Other leaders shun the summit Iranian President Masoud Pezeshkian and Egypt's Abdel-Fattah el-Sissi will also be absent. Those two countries joined the BRICS in 2024, alongside Ethiopia, Indonesia and the United Arab Emirates. Saudi Arabia has been invited and is participating in member discussions, but it has yet to send its confirmation letter. As well as new members, the bloc has 10 strategic partner countries, a category created at last year's summit that includes Belarus, Cuba and Vietnam. That rapid expansion led Brazil to put housekeeping issues — officially termed institutional development — on the agenda to better integrate new members and boost internal cohesion. Despite notable absences, the summit is important for attendees, especially in the context of instability provoked by Trump's tariff wars, said Bruce Scheidl, a researcher at the University of Sao Paulo's BRICS study group. 'The summit offers the best opportunity for emerging countries to respond, in the sense of seeking alternatives and diversifying their economic partnerships,' Scheidl said. For Lula, the summit will be a welcome pause from a difficult domestic scenario, marked by a drop in popularity and conflict with Congress . The meeting also represents an opportunity to advance climate negotiations and commitments on protecting the environment before November's COP 30 climate talks in the Amazonian city of Belem . Error! Sorry, there was an error processing your request. There was a problem with the recaptcha. Please try again. You may unsubscribe at any time. By signing up, you agree to our terms of use and privacy policy . This site is protected by reCAPTCHA and the Google privacy policy and terms of service apply. Want more of the latest from us? Sign up for more at our newsletter page .
San Francisco Chronicle
2 hours ago
- San Francisco Chronicle
Brazil hosts BRICS summit, eager to avoid provoking Trump's ire
RIO DE JANEIRO (AP) — Brazil will play host to a summit of the BRICS bloc of developing economies Sunday and Monday during which pressing topics like Israel's attack on Iran, the humanitarian crisis in Gaza and trade tariffs imposed by U.S. President Donald Trump are expected to be handled with caution. Analysts and diplomats said the lack of cohesion in an enlarged BRICS, which doubled in size last year, may affect its ability to become another pole in world affairs. They also see the summit's moderate agenda as an attempt by member countries to stay off Trump's radar. Brazilian President Luiz Inácio Lula da Silva will have some of his priorities, such as debates on artificial intelligence and climate change, front and center for the talks with key leaders not in attendance. China's President Xi Jinping won't attend a BRICS summit for the first time since he became his country's leader in 2012. Russian President Vladimir Putin, who will make an appearance via videoconference, continues to mostly avoid traveling abroad due to an international arrest warrant issued after Russia invaded Ukraine. Debate over language on hot-button topics The restraint expected in Rio de Janeiro marks a departure from last year's summit hosted by Russia in Kazan, when the Kremlin sought to develop alternatives to U.S.-dominated payment systems which would allow it to dodge Western sanctions imposed after Russia's full-scale invasion of Ukraine in February 2022. A source involved in the negotiations told journalists Friday that some members of the group want more aggressive language on the situation in Gaza and Israel's attack on Iran. The source spoke under the condition of anonymity because they were not authorized to speak about the matter publicly. 'Brazil wants to keep the summit as technical as possible,' said Oliver Stuenkel, a professor at the Getulio Vargas Foundation think tank and university. Consequently, observers expect a vague final declaration regarding Russia's war in Ukraine and conflicts in the Middle East. As well as suiting Brazil, a watered-down and non-controversial statement may be made easier by the absences of Putin and Xi, Stuenkel said. Those two countries have pushed for a stronger anti-Western stance, as opposed to Brazil and India that prefer non-alignment. A Brazilian government official told The Associated Press Thursday that the group is expected to produce three joint statements and a final declaration, 'all of which less bounded by current geopolitical tensions.' The official spoke on condition of anonymity because they were not authorized to speak publicly about the summit's preparations. João Alfredo Nyegray, an international business and geopolitics professor at the Pontifical Catholic University in Parana, said the summit could have played a role in showing an alternative to an unstable world, but won't do so. 'The withdrawal of Egypt's President Abdel Fattah al-Sisi and the uncertainty about the level of representation for countries like Iran, Saudi Arabia and the UAE are confirming the difficulty for the BRICS to establish themselves as a cohesive pole of global leadership,' Nyegray said. 'This moment demands high level articulation, but we are actually seeing dispersion.' Brazil skittish in light of Trump tariffs Brazil, the country that chairs the bloc, has picked six strategic priorities for the summit: global cooperation in healthcare; trade, investment and finance; climate change; governance for artificial intelligence; peace-making and security; and institutional development. It has decided to focus on less controversial issues, such as promoting trade relations between members and global health, after Trump returned to the White House, said Ana Garcia, a professor at the Rio de Janeiro Federal Rural University. 'Brazil wants the least amount of damage possible and to avoid drawing the attention of the Trump administration to prevent any type of risk to the Brazilian economy,' Garcia said. While Brazil will continue to advocate for the reform of Western-led global institutions, a cornerstone policy of the group, the country wants to avoid becoming the target of tariffs — a predicament it has so far largely escaped. Trump has threatened to impose 100% tariffs against the bloc if they take any moves to undermine the dollar. Other leaders shun the summit Iranian President Masoud Pezeshkian and Egypt's Abdel-Fattah el-Sissi will also be absent. Those two countries joined the BRICS in 2024, alongside Ethiopia, Indonesia and the United Arab Emirates. Saudi Arabia has been invited and is participating in member discussions, but it has yet to send its confirmation letter. As well as new members, the bloc has 10 strategic partner countries, a category created at last year's summit that includes Belarus, Cuba and Vietnam. That rapid expansion led Brazil to put housekeeping issues — officially termed institutional development — on the agenda to better integrate new members and boost internal cohesion. Despite notable absences, the summit is important for attendees, especially in the context of instability provoked by Trump's tariff wars, said Bruce Scheidl, a researcher at the University of Sao Paulo's BRICS study group. 'The summit offers the best opportunity for emerging countries to respond, in the sense of seeking alternatives and diversifying their economic partnerships,' Scheidl said. For Lula, the summit will be a welcome pause from a difficult domestic scenario, marked by a drop in popularity and conflict with Congress. The meeting also represents an opportunity to advance climate negotiations and commitments on protecting the environment before November's COP 30 climate talks in the Amazonian city of Belem.
