Radio Essay on Milwaukee's NPR Station
My essay on Charging Children as Adults appeared on Milwaukee's NPR station, WUWM, 89.7 on May 15, 2014. Check it out.
Yes you can: Open an IRA for your Child
Money seems to be a preoccupation of mine these days, which is ridiculous, as there are more important things to consume one’s time, like albums, ping-pong and baseball. But one aspect of money management I’ve embraced recently is one that every parent should at least consider: opening Roth IRAs for your children.
Back in college, when my friend Mark announced that he’d just opened an IRA, not only did I not know what an IRA was, but once explained to me, I didn’t understand what the hurry was. After all, I was still visiting the TYME machine (ATM to those of you from outside Wisconsin) three times a night to buy “just one more” pitcher of Hamm’s; the only foresight I possessed was drinking a glass of water to minimize the inevitable hangover the following morning.
Over time, I learned about saving early and saving often, and by now my family has reaped the benefits of this strategy, but I could no doubt be in a better position had I started saving prior to obtaining a full-time job after college graduation. As a father of three, I’ve looked for ways to get my kids on the right track earlier than I did, particularly since debt accumulation is higher than ever and wages for many careers are stagnant. Saving money might be more important for those currently in their teens and 20s than it ever was for those currently in their 40s and 50s.
Enter the custodial Roth IRA. Yes, your kids can open an IRA (or, more accurately, you can open one for them if they’re under age 18). Any money your kids earn up to $5500 this year can be put into an IRA. That doesn’t mean your child can’t spend or save the money she’s earned this year; my two daughters earned small amounts in 2013, and they were allowed to spend or save that money as they saw fit, but I matched their amounts and put it into their respective IRA accounts. Some companies don’t allow you to open up a custodial IRA – Fidelity is one example – and some brokerage firms require minimums that my 16 year-olds couldn’t reach, but there are several options to fit most people’s needs. I ended up opening accounts through E*Trade, though I could just as easily have opened accounts at TRowe Price, Vanguard, Charles Schwab or TD Ameritrade.
The idea of course is twofold: get your kids to become accustomed to saving (even if they’re currently not flipping the bill, they’re learning that saving for one’s retirement is important), and start growing their money. My daughters only earned $900 and $1500, respectively, in 2013. But if they manage to earn 7% for the next 50 years, that money will grow to $26,511 and $44,186. Not a bad start.
If you can’t afford to match your children’s income in total, perhaps come up with a compromise and have your kids save a portion of their savings and you match that portion. Even a couple of hundred dollars is better than nothing, and there are funds that will allow you to open an IRA for as little as $100.
One note: you can only invest legitimate earnings, so keep good records of your child’s income and file a tax return even if they don’t have any withholdings to recoup. One of my daughters earned all of her income by babysitting and doing other odd jobs that didn’t require a W2 or generate a 1099, but I still had her fill out a tax return (form 1040EZ only took her 5 minutes to complete). Throughout the year, I kept track of all of her earnings on an Excel spreadsheet and included it with my tax records.
There are great resources to get you up to speed on opening Roth IRAs for your children. Three than I perused before taking the plunge are below:
http://www.forbes.com/sites/baldwin/2011/04/18/make-your-kid-rich-with-a-roth-ira/
http://www.investopedia.com/articles/personal-finance/110713/benefits-starting-ira-your-child.asp
http://www.kiplinger.com/article/saving/T046-C001-S001-give-the-gift-of-a-roth-ira.html
Now start keeping track of your children's savings, open up an IRA, select an index mutual fund, and watch it grow.
Hodgson in Milwaukee
Prior to his performance on Saturday night at the Northern Lights Theater in Milwaukee, I hadn’t seen Roger Hodgson grace the stage since his final tour with Supertramp in 1983, and it was hard to believe the same man could belt out the same tunes as forcefully as he had three decades ago. Sporting a white shirt and black vest, Hodgson alternated between keyboards and acoustic guitar, backed up by a four-piece band and a largely superfluous 17-piece orchestra.
Beginning with “Take the Long Way Home,” Hodgson stuck largely to his Supertramp repertoire, performing each of his songs from 1974’s breakout album Crime of the Century and the mega-hit Breakfast in America, along with several from the intervening albums. Particularly surprising were the inclusions of “Easy Does It” and “The Two of Us” from 1975’s Crisis? What Crisis? Notable absences on this particular evening were songs he performed on other nights of his four-night run in Milwaukee: “A Soapbox Opera” and “Even In the Quietest Moments.” That he mostly ignored his solo career was a little disappointing, as I would have loved to have heard “Had a Dream” and “In Jeopardy” from his debut solo album, and I wish the Supertramp song “Crazy” would have been part of the setlist. Also oddly absent from the evening was electric guitar. Hodgson is a master at the tasteful solo or well-placed wail – placing him in the same category as David Gilmore – but these parts were instead arranged for the orchestra, whose presence was most appreciated on “Fool’s Overture,” Hodgson’s epic composition from 1977, and “Hide in Your Shell” from Crime of the Century.
Roger seemed genuinely pleased at both being able to perform his old material at such a high level and by the audience’s reaction. Supertramp made their North American debut in Milwaukee, and back when radio stations had more leeway to support particular artists, Milwaukee was one of the band’s hubs. Hence the four successive shows at Northern Lights, an intimate theater that allowed Roger to give special dedications and wishes to various members of the audience between songs. When he was with Supertramp, Hodgson and fellow singer/composer Rick Davies yielded audience interaction duties to saxophonist John Helliwell. Now Hodgson takes on these duties himself, and he seems more comfortable in his own skin today than when he was at the height of his career.
Hearing Hodgson’s band faithfully reproduce the parts originally played by Dougie Thomson, Bob Siebenberg, John Helliwell and Rick Davies only made me appreciate how adept the original band was at creating a “sound.” Tastefully understated parts made the whole bigger, and though they may not have been household names, these guys what they were doing. Current woodwind virtuoso Aaron Macdonald blew through recognizable solos from tunes such as “The Logical Song” and “It’s Raining Again,” and it highlighted how innovative and integral John Helliwell’s contributions to the original band were. Drummer Bryan Head played behind a drum shield of Plexiglass, and while this may help with sound separation, it was visually unappealing. More intricate bands have managed happily without one, and I wish sound engineers would employ other techniques to improve their live mixes.
Back in 1979, when Supertramp temporarily ruled the Billboard charts, “Take the Long Way Home” was a favorite of mine, but when I heard Hodgson sing it on Saturday, the following lines hit home harder than they ever had before:
When you look through the years and see what you could have been
Oh, what might have been
If you’d had more time
When I last saw Hodgson in 1983, I was fifteen, and the world’s expanse was limitless, the future so vast, I could hardly contain the very thought of it, my arms unable to open wide enough to embrace what lay ahead. I no longer feel that way. I suspect Roger doesn’t either, but it was cool to see a man happy to revisit the past for an evening and share it with an appreciative audience.
Charging Children as Adults
A child is not an adult. Even if we ignore recent research that concludes human brain development continues well into our 20s, there is long-held support that teenage brains are developing throughout adolescence.
And yet…
When a crime is committed – particularly a horrifically violent crime – district attorneys seem hell-bent on charging children as adults. Alex Hribal, the 16 year-old knife-wielding student who attacked classmates and a security guard at a Pennsylvania high school last week, has been charged as an adult with four counts of attempted murder and 21 counts of aggravated assault.
But a 16 year-old is not an adult, and pressing charges as an adult does not change this fact. We don’t yet live in some Orwellian world in which two plus two equals five. Calling a child an adult does not – in fact – transform the child into an adult.
The idea behind the propensity to charge violent teens as adults is presumably to ensure that the perpetrator of the crime doesn’t get off easy, the way he might in a juvenile court. Sometimes this gets taken to extremes that most would find preposterous: in 2011, a 12-year old in Florida was charged as an adult for murder (a plea deal was reached last year that will keep him in a juvenile facility until he’s 19 years old).
If the concern is that juvenile courts are too lenient on violent offenders, then it would seem that juvenile courts need to change, but as this is probably a monumental task, prosecutors take the easy way out by - in effect - changing the definition of an adult. But if a 16 year-old truly has the faculties of an adult, then you can't change the definition simply to suit your own needs: you have to go all the way. A 16 year-old should then be able to smoke, drink, defend his country, participate as a juror, vote, create contracts, live independently of parental control, sue and make a will.
Would you like to stand trial before a jury of twelve 16-year-olds? How about appear in court against a lawsuit filed by a 16 year-old?
I thought not.
Perhaps then, we shouldn’t be so quick to raise the ante by zealously charging a child whose brain is still wiring itself. It could be argued that the age that defines adulthood is somewhat arbitrary and that some leeway should be given to prosecutors to determine whether or not a child has matured to the extent required to be considered an adult. But that’s not how the courts work in any other circumstance. One cannot stand before a judge and argue that he should be allowed to smoke as a 16 year-old because he’s more mature than his peers.
If the goal is to ensure that a lengthy sentence be achieved, then why stop at charging Alex Hribal as an adult? Why not charge him as a black man? That ought to put him away for a long time. According to one study, black men serve jail sentences that are twenty percent longer than white men for the same crime.
But black is not white. Adults are not children. Two plus two does not equal five.
Reducing Waste From Our Lives
In Amy Korst’s how-to book, The Zero Waste Lifestyle, she describes how she and her husband went from normal garbage-producing Americans to generating less than three pounds of trash per year (enough to fill a shoe box), a feat which I suppose could cause some folks to intermittently consider them role models or complete wackjobs. Either way, just because the author’s family is “all-in” doesn’t mean the rest of us should be “all out,” and to Korst’s great credit, the message of her book isn’t one of deprivation and denouncement of all things 21st Century, but rather an encouragement to start thinking about garbage differently and to take steps towards reducing it. To help the reader along, she illustrates what other American’s have done – some whose goals are quite lofty, others whose missions are more modest.
Prior to reading her book, I felt like my family was already practicing what I consider to be the low-hanging fruit of waste reduction, and I wanted additional ideas. My family of five normally produces about 1½ kitchen bags of garbage per week. Less than many. More than most, especially if one considers the world beyond the U.S.’s borders. But I wondered if there were other simple steps I could take. Turns out there are, and I’ve incorporated a few additional practices in the past few months without any effort at all.
Here’s what we’d already been doing:
1) Using reusable grocery bags, lunch boxes and lunch food containers.
2) Double siding nearly all of our printing paper, including sheets my kids bring home from school.
3) Recycling anything we can, even those things that our city doesn’t pick up: things like electronics, ink cartridges, batteries, old smoke alarms, fluorescent light bulbs, etc. (note: recycling is not the panacea some people think it is. More on that later.)
4) Choosing cloth napkins rather than paper napkins (most of the time).
5) Avoiding using paper plates, plastic utensils and plastic cups. There are exceptions, but we now use these products maybe a few times a year.
6) Composting all of our food-based scraps and using the compost in our garden each year (this is neither difficult, smelly nor messy. Couldn’t be easier and the benefits are huge).
As a result of these efforts, we’ve virtually eliminated plastic baggies from our lives, have limited the number of plastic grocery bags we accumulate, created garbage that’s much less messy and limited our new paper consumption to approximately two reams a year.
Not perfect, but a start.
I looked for addition ideas in Korst’s book. Some I found useful, some not so much, but that’s cool. The idea is do what you can and then do a little more. The most important accomplishment of her book is to get readers to start thinking about garbage differently. As a result, in addition to using some of her suggestions directly, I came up with a few of my own, and continue to ask the question: is this disposable item necessary, or can there be another way?
Here’s what we’ve incorporated into our lifestyle since reading Korst’s book:
1) We’ve started using reusable produce bags. I was concerned that these mesh bags might pose a problem for cashiers, but that hasn’t been the case at all. In fact, most of the time I get compliments for using them, and now we can even purchase the bags at our local grocery store, so they’re becoming less of a novelty.
2) I no longer use Swiffer sheets for my hardwood floors. Instead, I use cut-to-size scrap pieces of fleece we had laying around. When they get overly dusty, I grab off the clumps and throw the fleece in the wash. Wa la (this was my own idea, and it works beautifully).
3) I no longer throw out scraps of wood, but rather use them as kindling for our camping and backyard fires.
4) When I have a choice between purchasing something in a plastic bottle vs. something in aluminum or glass, I choose the latter. Recycling is a messy business, and it’s important to note that not all recycling is created equal. Aluminum and steel recycle very efficiently compared to, say, paper and plastic. Best to avoid plastic whenever possible for a variety of reasons.
5) I don’t use paper towels very often, but when I do they come from post-consumer material. That goes for bathroom tissue, too. Is it as soft? Heck no! But it’s really not a big deal.
6) I no longer buy plastic bags for pet waste.
About that last point, allow me to elaborate about plastic bags. I’ve heard some people say, “Why should I use canvas bags at grocery stores when I reuse the plastic bags for my dog’s or cat’s waste? And besides, those reusable grocery store bags don’t last very long and I end up having to throw them out.” Good questions, for sure. Here’s what my recent experience has been.
First, I’ve been using some grocery store bags for over fifteen years, but they’re not the cheap synthetic bags you’ll find at Target and other stores. They’re made of thicker cotton – almost like denim – and these last forever. Here’s an example.
As for pet waste, what I’ve found is that I have more sources for carrying waste than I realized. Consider the following:
1) The liners of cereal boxes. It never occurred to me to use these prior to reading Korst’s book, but now I use each and every one of them. In the morning when we finish up a box of cereal, I take the liner out and clean the cats’ little boxes. Yes, it’s still producing waste, but it’s using what I already have. It’s a small step.
2) The bags that paper towels and toilet paper come in. These work great for litter, and would probably even work for dog waste in the back yard.
3) Newspaper bags. You might be saying, “If you really care about eliminating waste, why get a paper in the first place?” Good point. This will be one of my goals in the upcoming weeks. I only get the Sunday paper, but it’s a huge waste. However, I also get a neighborhood paper delivered automatically, and I reuse the bag it comes in for pet waste.
There is so much more I can do, and little by little, I’m reducing my family’s garbage addiction. Some of Korst’s suggestions seem almost batty, like taking a glass straw when you go out to restaurants or convincing women to stop using tampons or pads. Not all of her suggestions are for everyone. But there’s no question that all of us can do better.
Why not take some modest steps and see where it takes you?