Sometimes you need cash.

[Koolau]

Dunno about the gummint, but Google already knows all about my spending habits and where I have been. I hate it, but boy, it's tough to escape from their watchful eyes, unless I turn myself into a caveman.

For other people, it would be Apple who tracks them. You cannot hide.

Escape with cash. Make it more difficult for the gummint to institute a cashless society. If you think Google is bad - keep in mind they only want to make money off of you. They only want to change your behavior to SPEND MORE. The gummint wants to take away your gas stove and lots of other weird stuff. When they know you bought a black-market gas stove, you might hear foot steps at the door and a bull horn telling you to push your stove out on the landing. YMMV

 

[NW-Bound]

In the past, there were instances where the government decreed overnight that it was changing to a new currency. Everybody could exchange only so much from the old currency bills to the new ones. Any excess above the personal limit held by a citizen became scrap paper.

So, hoarding cash will not make it safe. You need precious metals, but then there are other practical problems.

 

[Koolau]

In the past, there were instances where the government decreed overnight that it was changing to a new currency. Everybody could exchange only so much from the old currency bills to the new ones. Any excess above the limit that a citizen held became scrap paper.

So, hoarding cash will not make it safe. You need precious metals, but then there are other practical problems.

Or pick a country whose currency you trust and hoard some of that instead of your own country's currency. Unfortunately, most of the folks here denominate their currency in Green Backs. With that in mind, and with our currency being safe and all, maybe hoard those AND some PMs. Backups, my son. Backups!

 

[NW-Bound]

In some of these countries, people hoarded the US dollars in addition to gold, because the US dollars in smaller denominations were easier for trading instead of gold coins or gold bars.

Their government decreed that possession of the US dollars was a crime. You might as well hoard heroin or LSD. More liquid, easier to sell. Penalty if caught was the same.

What's I am saying is to fight against tyranny gives you more chance for success than evading it.

 

[Koolau]

In some of these countries, people hoarded the US dollars in addition to gold, because the US dollars in smaller denominations were easier for trading instead of gold coins or gold bars.

Their government decreed that possession of the US dollars was a crime. You might as well hoard heroin or LSD. More liquid, easier to sell. Penalty if caught was the same.

What's I am saying is to fight against tyranny gives you more chance for success than evading it.

Heh, heh, I think that's what I've been saying as well. Resist the "cashless" idea that the gummint is pushing (subtle so far.)

 

[NW-Bound]

Well, the cash is what the gummint creates.

Why don't we "give back to Caesar what belongs to Caesar"?

 

[HarveyS]

Going cashless to "catch criminals" means no one has privacy anymore. We all hate criminals, but loss of privacy is worse than criminals in my opinion. Trust me, the gummint would find ways to alter your behavior if they knew every cent you received and paid out. If you doubt that - see my tag line. It's unrefutable .

I vote for less criminals. I checked and in the last 2 years 98.2% of my annual transactions were electronic in some form or a paper check. That leaves 1.8% cash/barter. And, when I do use cash I usually get it from the ATM (rare for me to sell things and I don't work in a service industry). So, the gummint already has access to those records.

I'll take less criminals to give the gummint the last 1.8% of the info.

I'd also like tax, SS and medicare to be collected from all, as per the current law. (Yes, I assume that many people who are paid in cash under-report income and thus underpay taxes. I can't imagine all these people have ledgers and notebooks and record every day's transactions...). Moving away from cash would assist in fair tax collection.

 

[EastWest Gal]

I vote for less criminals. I checked and in the last 2 years 98.2% of my annual transactions were electronic in some form or a paper check. That leaves 1.8% cash/barter. And, when I do use cash I usually get it from the ATM (rare for me to sell things and I don't work in a service industry). So, the gummint already has access to those records.



I'll take less criminals to give the gummint the last 1.8% of the info.



I'd also like tax, SS and medicare to be collected from all, as per the current law. (Yes, I assume that many people who are paid in cash under-report income and thus underpay taxes. I can't imagine all these people have ledgers and notebooks and record every day's transactions...). Moving away from cash would assist in fair tax collection.

I agree. And those who get paid under the table do not have reported income that contributes to SS and Medicare. They don’t realize they screw themselves in the end because their SS checks are reduced by underreporting their income.

I worked 35 years in medicine and all of my income was reported to the government. And my SS check will reflect that.

 

[Koolau]

Well, the cash is what the gummint creates.

Why don't we "give back to Caesar what belongs to Caesar"?

Your biblical quote is about paying taxes - not privacy. Pay your taxes and protect your privacy. I don't see a dichotomy but YMMV.

 

[Koolau]

I vote for less criminals. I checked and in the last 2 years 98.2% of my annual transactions were electronic in some form or a paper check. That leaves 1.8% cash/barter. And, when I do use cash I usually get it from the ATM (rare for me to sell things and I don't work in a service industry). So, the gummint already has access to those records.

I'll take less criminals to give the gummint the last 1.8% of the info.

I'd also like tax, SS and medicare to be collected from all, as per the current law. (Yes, I assume that many people who are paid in cash under-report income and thus underpay taxes. I can't imagine all these people have ledgers and notebooks and record every day's transactions...). Moving away from cash would assist in fair tax collection.

I agree. And those who get paid under the table do not have reported income that contributes to SS and Medicare. They don’t realize they screw themselves in the end because their SS checks are reduced by underreporting their income.

I worked 35 years in medicine and all of my income was reported to the government. And my SS check will reflect that.

Be careful what you wish for because you shall surely get it.

 

[Car-Guy]

Well, the cash is what the gummint creates.

Why don't we "give back to Caesar what belongs to Caesar"?

As mentioned earlier in this thread, I did my part at the 3570 South Las Vegas Blvd drop off point.

 

[NW-Bound]

Your biblical quote is about paying taxes - not privacy. Pay your taxes and protect your privacy. I don't see a dichotomy but YMMV.

Speaking of privacy, I recall an interview with Scott McNealy back in 1999 or so, then CEO of Sun Microsystems. When asked about privacy invasion in the computer age, he said "You have zero privacy anyway. Get over it".

I was taken aback, and was mildly upset. But he was right.

As mentioned earlier in this thread, I did my part at the 3570 South Las Vegas Blvd drop off point.

I had to look that up.

OK, am I straying too far from the thread topic? Someone let me know to delete this?

 

[Music Lover]

I vote for less criminals. I checked and in the last 2 years 98.2% of my annual transactions were electronic in some form or a paper check. That leaves 1.8% cash/barter. And, when I do use cash I usually get it from the ATM (rare for me to sell things and I don't work in a service industry). So, the gummint already has access to those records.

I'll take less criminals to give the gummint the last 1.8% of the info.

That's dangerously naïve thinking.

Are you aware that some credit card companies are preventing some people from performing legal transactions? Have you not read stories about people's bank accounts being closed due to them having the wrong "opinion" on some issues?

 

[HarveyS]

That's dangerously naïve thinking.

Are you aware that some credit card companies are preventing some people from performing legal transactions? Have you not read stories about people's bank accounts being closed due to them having the wrong "opinion" on some issues?

Please elaborate. What is dangerously naïve thinking?

Yes, I am aware that some cc companies prevent some people from making legal transactions. It happens to me sometimes - most recently when I was overseas and my purchase via the internet was denied. Do you feel I should not use a cc and only do business in cash? Didn't you see the thread about someone wanting to buy a house with $100,000 cash down payment. Everyone who commented saw that as a red flag. So, some people are against cash transactions. Fair to say, the larger the transaction the higher the percentage of people who would be against the transaction. Your point is?

Yes, banks have closed accounts. It's not new. Between 2011 and 2016 Wells Fargo froze or closed over 1 million accounts. Is your point that we should not do business with banks because they can close/freeze our accounts?

Out of curiosity, what percent of your annual spend is cash?

 

[brucethebroker]

1. Dog groomer is cash only, not even checks. They remind me when they make the "Poochie is ready to be picked up" call.
2. Too much of a yard sale lover to not carry cash. Can't use the credit cards there, but I do have fun passing $2 bills to the young'uns.

 

[NW-Bound]

Yes, I am aware that some cc companies prevent some people from making legal transactions. It happens to me sometimes - most recently when I was overseas and my purchase via the internet was denied...

I have read that because MJ is legal in some states, yet frowned upon by the Fed, some banks stay clear of this business to be safe.

 

[Alan]

I agree sometimes you need cash, and I usually have some with me. And, I used to always tip with cash. I've stopped that. I tip with the credit card. If the employee needs to pay taxes (and social security), well then "welcome to my world". Very low earners will likely get any tax withheld returned at year-end. Social security payments should be made to support the system.

I’m pretty sure tips are not subject to payroll taxes (FICA and Medicare). I used to do taxes as part of the Taxaide program and one day I did the taxes of a single mother who had held several waitressing jobs during the year. One of her W2s had the bulk of her money listed as tips and she said that there was no way she got that much in tips, but the total looked about right. I explained that the owner must have done that to avoid paying payroll taxes “saving” money for both of them but it meant that in the long run she would get a little less in SS benefits.

 

[pb4uski]

I don't think that is right.

All cash and non-cash tips an received by an employee are income and are subject to Federal income taxes. All cash tips received by an employee in any calendar month are subject to social security and Medicare taxes and must be reported to the employer.

https://www.irs.gov/businesses/smal...cash and non-cash,be reported to the employer.

 

[audreyh1]

I’m pretty sure tips are not subject to payroll taxes (FICA and Medicare). I used to do taxes as part of the Taxaide program and one day I did the taxes of a single mother who had held several waitressing jobs during the year. One of her W2s had the bulk of her money listed as tips and she said that there was no way she got that much in tips, but the total looked about right. I explained that the owner must have done that to avoid paying payroll taxes “saving” money for both of them but it meant that in the long run she would get a little less in SS benefits.

Tips are definitely subject to FICA which comes out of non-tip wages on the paycheck.

 

[SecondCor521]

I’m pretty sure tips are not subject to payroll taxes (FICA and Medicare). I used to do taxes as part of the Taxaide program and one day I did the taxes of a single mother who had held several waitressing jobs during the year. One of her W2s had the bulk of her money listed as tips and she said that there was no way she got that much in tips, but the total looked about right. I explained that the owner must have done that to avoid paying payroll taxes “saving” money for both of them but it meant that in the long run she would get a little less in SS benefits.

Agree with the above posters. Tip income is wage income, and therefore subject to FICA. See also IRS Form 4137 (which would be for tip income received but not reported to or paid through the employer).

What the employer might have been trying to do is get around is making up the difference to the minimum wage for tipped workers. See https://www.dol.gov/general/topic/wages/wagestips.

 

[Koolau]

Please elaborate. What is dangerously naïve thinking?

I'm sure you know what Music Lover is talking about.

 

[Koolau]

Do you feel I should not use a cc and only do business in cash?

You know that's not what Music Lover is suggesting.

 

[Alan]

I don't think that is right.



https://www.irs.gov/businesses/smal...cash and non-cash,be reported to the employer.

Thanks, I stand corrected.

I now wonder why that guy put most of that lady’s income under “tips” on her W2? (This was for tax 2009)

 

[Music Lover]

Please elaborate. What is dangerously naïve thinking?

Yes, I am aware that some cc companies prevent some people from making legal transactions. It happens to me sometimes - most recently when I was overseas and my purchase via the internet was denied. Do you feel I should not use a cc and only do business in cash? Didn't you see the thread about someone wanting to buy a house with $100,000 cash down payment. Everyone who commented saw that as a red flag. So, some people are against cash transactions. Fair to say, the larger the transaction the higher the percentage of people who would be against the transaction. Your point is?
Yes, banks have closed accounts. It's not new. Between 2011 and 2016 Wells Fargo froze or closed over 1 million accounts. Is your point that we should not do business with banks because they can close/freeze our accounts?

Out of curiosity, what percent of your annual spend is cash?

You made my point. If cc companies can deny legal transactions and banks can close your account for no good reason, then what are your options if cash is no longer accepted?

My annual cash spend is irrelevant.

 

[ncbill]

I pay cash to those who offer a reasonable discount...reasonable in my mind, of course.

Everything else goes on cash-back credit cards...2-5 percent depending on category.