This is what we know so far…
The Good News
1 – The Commerce Department has reported that U.S. personal income and consumption increased in February.
2 – Incomes rose by 0.8%. This exceeded analysts’ expectations of 0.4%.
3 – Consumer spending increased by 0.4%. This aligned closely with the anticipated 0.5% growth that reversed January’s decline.
The Bad News
1 – The personal-consumption expenditures price index, which the Fed uses to monitor inflation, has increased by 2.5% over the past 12 months. This remains above the Fed’s 2% target. It also rose by 0.3% over the previous month.
2 – The core version of PCE inflation, excluding food and fuel, is up 2.8% over the past 12 months, marking an increase from January.
Overall
The data indicates an economy with ongoing momentum that faces substantial risks. While spending figures for February were robust, they’ve slowed compared to the post-pandemic boom.
Inflation has generally moved towards the 2% target over the last three years, but progress has stalled.
More Tariffs
The New Administration announced that they would impose a 25% tariff on all imported vehicles. Over half of all cars sold in the US, some 7K units annually, are imports.
As a result of all of this economic news, the major US Indexes were down again in morning trading.
Let me leave you with this…
As I complete income tax returns this season, I’m reminded of something I learned so many years ago. It’s the fact that…
Entrepreneuring is the process of learning how to fail well.
I’ve had more failures in this life than successes. So many, that even I have a problem counting them all. But my failures have taught me ten times what my successes have.
As I do these returns I see the entire visible spectrum; extreme successes, extreme failures, and everything in between.
But as Entrepreneurs we must understand that wherever we are on that spectrum, our futures are ours to either make or break. You are in control of your destiny. If you don’t like how things work out, you’ll have no one to blame but yourself.
Such is the life we have chosen.
When we fail in business, as in life, we must learn to pivot. Don’t spend days, hours, or even minutes crying about it. Pick yourself up, dust yourself off, and try again. Try until it hurts worse than anything has ever hurt before in your life.
But do yourself a favor. Get it done.
When we succeed in business, as in life, we must never stop trying. There’s always something waiting around the bend, to knock you off of that pedestal.
Never stop inventing, creating, and innovating. If it ain’t broke, break it. Wake up every day with only one thing in mind.
An unstoppable desire to be better.
It’s obvious that we’ll have some difficult economic times ahead, but do yourself a favor.
Consider it an opportunity rather than a crisis.
Bad economies are good for entrepreneurs if you play the game right. Your weaker competitors will fall off the vine. If you’re ready and properly placed, you could pick up all of that business.
Fear and complacency is the enemy.
Wade into it. Realize that this will either be the best or the worst time of your life.
You’re an entrepreneur. You’re in control, but above all.
Get it done.
We’re all going to get through this. Let’s get through it together.
Accounting Solutions Ltd. stands ready to complete our mission and purpose of protecting you, your family, and your business. Whether you need Payroll Services, or Accounting and Tax Work, you have but to ask. I’m here and I remain,
Sincerely yours,
Chris Amundson
President
Accounting Solutions Ltd.
773-267-7500
888-310-0300
www.SalarySolutions.net
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