Wild Bill, ain’t no fighting City Hall

If I’ve got any authority in Hays, Mrs. Lake isn’t going to pay this town a cent of license for showing, and if any man attempts to stop this show, then just put it down that he’s got me to fight.

Wild Bill Hickok, http://www.brainyquote.com

Some may wonder which came first, shaping stones and bone into spearpoints and arrowheads, or the village council that decided Mog and Og needed approval, licenses and regular inspections of their enterprise.

Eight thousand years later, an enterprising small business person who ventures into performing a service or providing a product, is supporting a community. She has not just her own family’s living to support, but an entire “industry” of bureaucrats, at the local, state and federal levels of Government. And in California particularly, as a businessperson, earning a living that minimizes the costly regulations that have environment, employment practices, taxes, fees and so forth, driving small businesses under.

Deciding to start one’s own enterprise, in California, and certainly elsewhere, requires a great deal of capital up front, a niche market, and establishing quickly an efficient organization. Mentors, business seminars and other resources can provide training and encouragement, but skilled and dedicated owners and employees find, serve and retain clients. Many, like myself, who have decades of employee experience, soon realize the challenge of one’s own business to balance investment, expenses, and fees against recurring income to make a decent return in the first and succeeding years. It takes planning, and frequent tweaking of the business model. The bureaucracy is another thing entirely.

After filing the regulatory paperwork with the State, including forming a Limited Liability Company, we loaned the business personal funds for the contractual and mandated types of insurances, paying filing fees, and notarizing documents, setting up business banking, bookkeeping, and a Google GSuite of Cloud-based calendar, business email and document storage. Since we were still working for our respective employers, tax considerations of incorporation or forming and LLC were and remain an important issue. Prior to earning a cent, our Liabilities were looking to be a very big motivator to getting our business moving forward.

As a residence-based service business, our enterprise does not operate in an office building, nor manufacture products, nor maintain an inventory. Operating out of a residence located in an unincorporated area, I learned that reporting the actual physical location – separate from the mailing address – in business organization documents would mitigate municipal taxes, inspections and other recurring fees. (The mailing address bears the nearby municipality name.)

But there are other concerns as well. Operating a business, even one that travels to a customer site as our business does, is required to file for a business license. The “gray area” that no municipal clerk whose job it is issuing business licenses and collecting fees, would likely err on the side of the entrepreneur – is whether a license to do business in every municipality that one performs a service – is required. Of course, every municipality’s City Hall will state categorically that a license is required by a business according to a list of industry types. Some types require fees and inspections from safety professionals, zoning and building code enforcement officials. Business coaches I have spoken with, concur that paying fees willy-nilly can quickly eat away an enterprise’s bottom line. While membership in associations that help small entrepreneurs may be a necessary expense, I am considering that expertise gained in those associations may help steer a small business toward profitability.

At least, one of my prospective clients is a State agency, so there is an opportunity, however slight, that money coming out of my pocket, might eventually trickle somewhat back to me. And while I might appreciate a Wild Bill Hickok helping me fight City Hall, I think even he might be outgunned, particularly if he has not paid the required 2019 firearm licensing and entertainment business fees.

the value of you

Too many people spend money they earned..to buy things they don’t want..to impress people that they don’t like. —Will Rogers

https://www.forbes.com/sites/robertberger/2014/04/30/top-100-money-quotes-of-all-time/#7be817564998

Talking with another entrepreneurial co-worker my age, most working people are in one of two situations. Either there is not sufficient income to meet needs like housing, transportation, medical coverage, and school-age children’s support, or the opposite extreme, too little income to pay for the ego-boosting debts of expensive homes, cars, boats, entertainment and $1000 IPhones.

But there is a third option. Establishing a plan (earlier in adult life, the better) that develops skills and experience with a disciplined savings and investment strategy. Some reputable standout entrepreneurs I know began that way; building a great reputation among friends, employers, customers and peers, they had entrepreneurial ambitions, and were willing to risk failure.

Try not to become a man of success, but rather try to become a man of value. Albert Einstein

https://www.brainyquote.com/quotes/albert_einstein_131187

In our industrial society, age instead of financial stability, is a commonly-held benchmark for “retirement”. Instead, I support the notion that a disciplined approach to provide that stability at a self-determined age is the foundation. And an entrepreneurial venture providing a valued service, personal challenge and some material reward, is a valued “retirement”.

Wealth consists not in having great possessions, but in having few wants. —Epictetus

https://www.forbes.com/sites/robertberger/2014/04/30/top-100-money-quotes-of-all-time/#7be817564998

Navy Reserve Retirement

For me, if I have done my duty, the continued approbation of Congress and the Marine Committee will make me rich indeed, and far more than reward me for a life of service devoted from principles of philanthropy, to support the dignity of human nature. John Paul Jones

 when you tire of the b#@@s&!t

In recent months I have been thinking of retiring – again.  A few of my civilian friends do not want to retire because they associate it with an early demise.  A few of my industry peers cannot retire because they have expenses that they cannot afford without working.  But other friends, military retirees, private sector employees, businessmen and other with thirty years or more years in the state or federal system,  decided they were financially, and mentally, ready to retire and did so.   Of course, an important consideration for retiring, besides financial security, is having interests that keep a retiree involved.   While a boat sounds tempting to while away time in my old age, I think I will prefer buying a ticket to go cruising rather than paying for maintenance and dock fees.

making good choices 

I am rather fortunate in that I have a portion of my retirement plan based on a twenty-six year career in the Navy.  While a little more than half was spent on Active Duty,  the remainder – and in fact, on the date I retired, I  was a Selected Reservist.   For the twenty years that have preceded my turning sixty and eligibility for retirement pay,  I have been working in the private sector, accumulating  401K investments and paying down a home in California.  Much of this has been supported and augmented by my spouse having a well-paying career.  And putting off  “keeping up with the Joneses” that so many others have fallen into.  From studying and application from numerous financial educators, advisers, and both good and poor examples in your ‘circle’, almost everyone who plans carefully from their earliest working years – or with arduous self-denial and fiscal obsessiveness in later, higher-salaried years can retire with some degree of security.   

war, sea duty and broken service

I applied to go back on Active Duty, in the same rating I had originally entered the service in the late 1970s.  For the next thirteen years,  I had traveled the world, but the bureaucracy and politics regarding advancement opportunities and changing personal goals inspired a change.  I left the service at the end of my enlistment in 2000.   But a few months later,  I enlisted (again) in the Navy Reserve!   To sum it up,   I retired with almost 26 years of service as a Senior Chief Cryptologic Maintenance Technician,.  But as a Reservist, the retirement system is calculated not to pay the retiree until he or she turns 60 years of age. 

Second, the retiree must file for her retirement stipend on or after age sixty.  The unique feature of Reserve retirement, is that the service member who is eligible for and requests retirement after 20 good years – the Navy sends a statement to each member when they have qualified – can transfer to the Retired Reserve without pay until age 60.  Retirement is calculated as though the member continues to remain on the service rolls.  The retirement calculator uses the Active Duty member’s base pay – in effect for their final paygrade – at the time one starts drawing payment.   One other caveat determining the pay calculation is whether the service member entered military service initially prior to September 1, 1980.   Those retired Reserve members like me, will receive their pay calculation based on the paygrade held at the time of retirement.  All  enlistees after September, 1980 retire have their pay calculated from the last three years of service regardless of their final pay grade, divided by 36 months.  

veterans’ benefits

Additionally,  when a service member retires, it is worth all the bureaucratic tape, to file for review by the Veterans’ Administration for any potential Service-Connected Disability rating.  Even a finding of a connection, but a rating of zero – the condition is not posing debilitation in health at the present time – is able to help those members through other benefits.  In California,  children of a service-connected disability -veteran or retiree, are eligible to attend a UC or CSU university-system school tuition-free.

For more information

  •  DOD Military Reserve retirement compensation information 
  • Navy Department website for Reserve Retirement. (Each service branch has similar sites.)
  • Application for retirement pay upon reaching age 60,  DD  Form 108
  • Data  DD Form 2656 
  • BUPERS INSTRUCTION 1001.39, ADMINISTRATIVE PROCEDURES FOR NAVY RESERVISTS ON INACTIVE DUTY, Chapt 20