Chag Sameach To All
Wishing all my readers a good yom tov.
Thursday, May 28, 2009
Tuesday, May 26, 2009
Millionaires Go Missing
This is worthwhile reading from the WSJ. The article provides a current example of what happens when you ignore basic economic theory. Maryland raised taxes on the highest income earners, budgeted around the projected income, and lo and behold the "Millionaires [are] missing." This isn't really surprising. People lose incentive to earn if the incentive is lessened. And when the highest income earners are asked to bankroll everyone else, they just might pack their bags.
I point this article out because the examples provided therein I believe are extremely relevant to Orthonomic issues discussed right here on a regular basis.
This is worthwhile reading from the WSJ. The article provides a current example of what happens when you ignore basic economic theory. Maryland raised taxes on the highest income earners, budgeted around the projected income, and lo and behold the "Millionaires [are] missing." This isn't really surprising. People lose incentive to earn if the incentive is lessened. And when the highest income earners are asked to bankroll everyone else, they just might pack their bags.
I point this article out because the examples provided therein I believe are extremely relevant to Orthonomic issues discussed right here on a regular basis.
Monday, May 25, 2009
NNJKIDS: A New Kehilla Fund Is Rolled Out
I have no clue why it has taken so long for region to implement something so logical as to have a single address where community members can donate to area schools. I reported on this idea as proposed by Elliot Pasik before the inception of this blog. The advantages of a central fund (regional/city funds being my own preference) include placing money into day schools in general, rather than into a single day school that may fail (three years later I believe the cracks are r"l starting to form) and a greater ability to attract large donors interested in a cause rather than a particular school.
Fortunately there is finally a fund in Northern New Jersey. Time will tell just how successful the kehillah fund is. The goal stated is to near 100% participation in demonstration that funding schools is a communal obligation. I think the goal is a bit, uh, lofty given that at least 1/3 of students in modern orthodox schools are on some sort of tuition assistance. It would seem that those families should be directing what they can to their own schools, should they be able to give. It should be interesting to see how the fund develops. Hopefully it will thrive.
The fund as proposed is to collect funds centrally through participating Orthodox shuls, and then distributing these funds to the schools in the network based on the number of students.
But is distributing the funds per capita the best idea? I guess you could say that I was hoping for a little more supervision regarding distributing funds. I am told that in Northern New Jersey the modern Orthodox schools are bursting at the seams. So perhaps my comment is not particularly applicable to Northern New Jersey. But in other communities, there are schools with numerous empty seats, that could literally be absorbed into another school with some empty seats with little to hire additional administration, staff.
Of course the parents in these very small schools have chose these schools for good reasons. But having schools that are not filled to capacity not particularly efficient and distributing per capita does nothing to address this conjecture.
Unlike the Catholic Diocese, the Jewish community has no ability to combine smaller schools or close schools that are near death. What I do believe that the community has an ability to do via communal funds is to set up parameters regarding qualification. I hope those administering communal funds will consider setting up parameters regard transparency, enrollment, efficiency, hiring, debt load, sound financial management, etc. I think it behooves communities to invest only in schools that are a "going concern" if the talk of potential school failures isn't just hysteria.
At the end of the article are the following quotes:
"The kehillah fund will not solve the tuition crisis, but it is a good first step"
"Every dollar raised by the fund is a dollar the schools do not have to charge in tuition"
“The impact is going to be on funds available for scholarship, which will mitigate future tuition increases."
I'm a bit confused. If the funds are going to be used to increase scholarships, I don't see how tuition can be lowered across the board.
If the funds are going to be used to lower tuition at all, I don't believe you can also increase scholarships.
What am I missing? I'm sure I'm missing something.
Anyways, the fund is a good start. But like it says in the article, it will not solve the tuition crisis. I do think a communal fund administered with strict parameters could encourage the very things that will helpsolve mitigate the crisis.
I have no clue why it has taken so long for region to implement something so logical as to have a single address where community members can donate to area schools. I reported on this idea as proposed by Elliot Pasik before the inception of this blog. The advantages of a central fund (regional/city funds being my own preference) include placing money into day schools in general, rather than into a single day school that may fail (three years later I believe the cracks are r"l starting to form) and a greater ability to attract large donors interested in a cause rather than a particular school.
Fortunately there is finally a fund in Northern New Jersey. Time will tell just how successful the kehillah fund is. The goal stated is to near 100% participation in demonstration that funding schools is a communal obligation. I think the goal is a bit, uh, lofty given that at least 1/3 of students in modern orthodox schools are on some sort of tuition assistance. It would seem that those families should be directing what they can to their own schools, should they be able to give. It should be interesting to see how the fund develops. Hopefully it will thrive.
The fund as proposed is to collect funds centrally through participating Orthodox shuls, and then distributing these funds to the schools in the network based on the number of students.
But is distributing the funds per capita the best idea? I guess you could say that I was hoping for a little more supervision regarding distributing funds. I am told that in Northern New Jersey the modern Orthodox schools are bursting at the seams. So perhaps my comment is not particularly applicable to Northern New Jersey. But in other communities, there are schools with numerous empty seats, that could literally be absorbed into another school with some empty seats with little to hire additional administration, staff.
Of course the parents in these very small schools have chose these schools for good reasons. But having schools that are not filled to capacity not particularly efficient and distributing per capita does nothing to address this conjecture.
Unlike the Catholic Diocese, the Jewish community has no ability to combine smaller schools or close schools that are near death. What I do believe that the community has an ability to do via communal funds is to set up parameters regarding qualification. I hope those administering communal funds will consider setting up parameters regard transparency, enrollment, efficiency, hiring, debt load, sound financial management, etc. I think it behooves communities to invest only in schools that are a "going concern" if the talk of potential school failures isn't just hysteria.
At the end of the article are the following quotes:
"The kehillah fund will not solve the tuition crisis, but it is a good first step"
"Every dollar raised by the fund is a dollar the schools do not have to charge in tuition"
“The impact is going to be on funds available for scholarship, which will mitigate future tuition increases."
I'm a bit confused. If the funds are going to be used to increase scholarships, I don't see how tuition can be lowered across the board.
If the funds are going to be used to lower tuition at all, I don't believe you can also increase scholarships.
What am I missing? I'm sure I'm missing something.
Anyways, the fund is a good start. But like it says in the article, it will not solve the tuition crisis. I do think a communal fund administered with strict parameters could encourage the very things that will help
A Stamp of Approval from a Prominent Chareidi Rav
Hat Tip: DAG and L. Lennhoff
Just a month ago I wrote a post that any wedding takana beginning with debt, even interest free debt, wasn't much of a plan to begin with and that only the two rules needed to govern weddings should be 1) don't spend a penny more than you have in available cash and 2) govern all affairs with modesty.
Turns out a prominent Chareidi Rav, Rav Michel Yehuda Lifkowitz, is saying the same things. He is quoted as saying:
"A person may not marry his children relying on getting money for the expenses from free loan funds."
So there you have it: don't go into debt (unless you are Belz, or something like that). Unfortunately there is no real substance behind these statements of position so long as things remain the same.
Hat Tip: DAG and L. Lennhoff
Just a month ago I wrote a post that any wedding takana beginning with debt, even interest free debt, wasn't much of a plan to begin with and that only the two rules needed to govern weddings should be 1) don't spend a penny more than you have in available cash and 2) govern all affairs with modesty.
Turns out a prominent Chareidi Rav, Rav Michel Yehuda Lifkowitz, is saying the same things. He is quoted as saying:
"A person may not marry his children relying on getting money for the expenses from free loan funds."
- "Many times, the happiness one sees in weddings is only a facade, because of the heavy debts crouching on the parents," he said.
- [In response to a question whether or not a father can obligate himself to payments that will result in an endless cycle of debt and borrowing from one gemach to pay another] he answers there is no heter to marry children at others' expense."
- "A young avreich should not take upon himself a heavy load of debt that he must pay monthly because this will not let him concentrate on his studies."
So there you have it: don't go into debt (unless you are Belz, or something like that). Unfortunately there is no real substance behind these statements of position so long as things remain the same.
Sunday, May 24, 2009
Some Links for Your Reading Pleasure
The Rebbetzin's Husband has put together some tips on (successfully) bringing children to shul. This is a very helpful list. Articulating expectations and having a back up plan is key. I might add choosing an appropriate minyan to the list, where applicable. Role modeling is important.
Ezzie has put up some figures regarding Orthodox Credit Card debt from the Jewish Economic Survey he has been running. It appears that there is a huge jump in credit card debt once a couple has four children. The average amount is simply staggering: $31,640. If you calculate out the potential amount of interest being paid on that type of debt, and stare at that amount for a while, you can see that we can't bury our head regarding the problems of debt in our communities.
Amen Brother! Honestly Frum is screaming about money leaving our own backyard while many local institutions are on the verge of major financial problems. I have no idea how much tzedakah leaves our own communities that could possibly stay within the communities if parlor meetings and solicitations for every one's favorite project were to cease. But, so long as drivers are still carting around 3-4 meshulachim on a regular weeknight, I'm afraid that we are only shooting ourselves in the foot by sending money abroad. My own phone seems to be ringing off the hook lately with solicitations for non-local tzedakahs. And meshulachim aren't any less in number as per my own amateur observation. I believe it was just Wednesday night when I told a collector that our own children in our own community needed our funds desperately too.
Perhaps a more face to face approach to keep tzedakah in the community is needed. Door to door collections featuring the local principal anyone? Doesn't seem time efficient. But if collectors can both afford plane tickets and a driver, perhaps it is time to send the troops out marching?
Mrs. Braverman of Aish.com seems to have hit a cord with some of her readers in her column on selfish kindness. But it didn't hit the same chord with me. In fact, fairly recently we made a small birthday party with family for one of my kids. And I gave the same little talk before the party started that I always give: after you open a gift you say thank you whether or not you like the gift. My mother used to give me the same talk and after receiving some rather hideous outfits and saying thank you (as well as writing the card), my mother would say, you only have to wear that when Grandma comes around.
The Rebbetzin's Husband has put together some tips on (successfully) bringing children to shul. This is a very helpful list. Articulating expectations and having a back up plan is key. I might add choosing an appropriate minyan to the list, where applicable. Role modeling is important.
Ezzie has put up some figures regarding Orthodox Credit Card debt from the Jewish Economic Survey he has been running. It appears that there is a huge jump in credit card debt once a couple has four children. The average amount is simply staggering: $31,640. If you calculate out the potential amount of interest being paid on that type of debt, and stare at that amount for a while, you can see that we can't bury our head regarding the problems of debt in our communities.
Amen Brother! Honestly Frum is screaming about money leaving our own backyard while many local institutions are on the verge of major financial problems. I have no idea how much tzedakah leaves our own communities that could possibly stay within the communities if parlor meetings and solicitations for every one's favorite project were to cease. But, so long as drivers are still carting around 3-4 meshulachim on a regular weeknight, I'm afraid that we are only shooting ourselves in the foot by sending money abroad. My own phone seems to be ringing off the hook lately with solicitations for non-local tzedakahs. And meshulachim aren't any less in number as per my own amateur observation. I believe it was just Wednesday night when I told a collector that our own children in our own community needed our funds desperately too.
Perhaps a more face to face approach to keep tzedakah in the community is needed. Door to door collections featuring the local principal anyone? Doesn't seem time efficient. But if collectors can both afford plane tickets and a driver, perhaps it is time to send the troops out marching?
Mrs. Braverman of Aish.com seems to have hit a cord with some of her readers in her column on selfish kindness. But it didn't hit the same chord with me. In fact, fairly recently we made a small birthday party with family for one of my kids. And I gave the same little talk before the party started that I always give: after you open a gift you say thank you whether or not you like the gift. My mother used to give me the same talk and after receiving some rather hideous outfits and saying thank you (as well as writing the card), my mother would say, you only have to wear that when Grandma comes around.
Friday, May 22, 2009
Entitlement on Steriods: Thanks Mom and Dad!
I've written plenty about attitudes of entitlement and where such entitlement comes from. After reading the continuation of a letter to Rebbitzen Jungreis in the Jewish Press there is no question that the chicken came first. Or would that be the egg? Oh well.
The letter writer talks about a friend and mother of six whose home was turned into a hotel by her four married children and grandchildren who never offered a hand, after the mother kashered her kitchen and cooked up a storm starting a month before Pesach.
The letter writer asks: "How is it that it doesn't occur to them that Mom may need a rest and they should take over? How is it that they never think of cleaning up or picking up after their kids or taking over the kitchen duties so Mom can sit at the table?"
I think the answer is SIMPLE. The mother has never asked (make that demanded) help and so no help is offered. It turns out that thismotherhotel operator has a warped hashkafah.
The mother says: I was afraid - I don't want to lose them. A long time ago, I learned that if you want to have a good relationship with your children, you have to zip your mouth and open your purse.
The hashkafah is a particularly warped one. Our goal as parents isn't to have a "good relationship" with our children, which seems to imply an absence of conflict, rather than an actual good relationship which would be defined by respect and caring. Rather our goal is to raise our young children and make the fully functional adults. While this mother's philosophy that she is simply an ATM who should do whatever is asked of her at the touch of a button, there are plenty of parents who try to make life such so pleasant and easy for their children that they eventually cripple them.
Those of us with kids in the younger set I'm certain have run into more than one younger child who can't put on their own shoes or clothing, won't walk a reasonable distance, can't use a table knife to spread peanut butter (this one got me riled up when we recently have a neighborhood kid over, 8 years old, parents don't let him use a kitchen knife. My 5 year old had to spread the peanut butter on his cracker). There are parents who have yet to let their nine year old cut with a regular knife. There are parents who call the schools every time their child has an unpleasant situation.
Once the kids get older and are more brand aware, which isn't all that old come to think of it. . . some of these kids who aren't spreading their own peanut butter yet are asking their parents for $100 outfits. The kids asking for such things often have parents who buy into another facet of this philosophy, i.e. our kids can't be left out so we much do everything that other parents are doing. Doesn't help that the "Goldberg's kids" are setting some ridiculous trends. I sat in shock as a in-law of an in-law talked incessantly about how she was so happy to find some sort of Juicy Couture knock off for one-third the cost for her 8 year old. The mother has yet to put two and two together, but complains that her kids are really picky about what they wear, imperfections with their clothing, etc. Hello!
As it has been said, bigger kids, bigger problems. Things get really dicey with older children. I know a mother who wonders how her son can spend so much money when he takes his wife and kids on a trip to the US. This money is in addition to the monthly check they send, as the parents have been supporting their son and daughter-in-law for many years now. His mother wants him to get a job because she feels drained by all of the support. It bothers her that the son isn't making any move towards work, although she has addressed her hope that he will start to make the shift from the beit midrash to some type of parnasah. But, she won't pull the plug. In her words: "What can I do? I can't let them starve." A simple survey of economics or human behavior will show that when others pull weight for someone, that the same someone is less inclined to pull their own weight. I doubt they will starve.
I think the bottom line in child rearing (an old fashioned term I know) is that you don't do for your child what they can do for themselves.
I've written plenty about attitudes of entitlement and where such entitlement comes from. After reading the continuation of a letter to Rebbitzen Jungreis in the Jewish Press there is no question that the chicken came first. Or would that be the egg? Oh well.
The letter writer talks about a friend and mother of six whose home was turned into a hotel by her four married children and grandchildren who never offered a hand, after the mother kashered her kitchen and cooked up a storm starting a month before Pesach.
The letter writer asks: "How is it that it doesn't occur to them that Mom may need a rest and they should take over? How is it that they never think of cleaning up or picking up after their kids or taking over the kitchen duties so Mom can sit at the table?"
I think the answer is SIMPLE. The mother has never asked (make that demanded) help and so no help is offered. It turns out that this
The mother says: I was afraid - I don't want to lose them. A long time ago, I learned that if you want to have a good relationship with your children, you have to zip your mouth and open your purse.
The hashkafah is a particularly warped one. Our goal as parents isn't to have a "good relationship" with our children, which seems to imply an absence of conflict, rather than an actual good relationship which would be defined by respect and caring. Rather our goal is to raise our young children and make the fully functional adults. While this mother's philosophy that she is simply an ATM who should do whatever is asked of her at the touch of a button, there are plenty of parents who try to make life such so pleasant and easy for their children that they eventually cripple them.
Those of us with kids in the younger set I'm certain have run into more than one younger child who can't put on their own shoes or clothing, won't walk a reasonable distance, can't use a table knife to spread peanut butter (this one got me riled up when we recently have a neighborhood kid over, 8 years old, parents don't let him use a kitchen knife. My 5 year old had to spread the peanut butter on his cracker). There are parents who have yet to let their nine year old cut with a regular knife. There are parents who call the schools every time their child has an unpleasant situation.
Once the kids get older and are more brand aware, which isn't all that old come to think of it. . . some of these kids who aren't spreading their own peanut butter yet are asking their parents for $100 outfits. The kids asking for such things often have parents who buy into another facet of this philosophy, i.e. our kids can't be left out so we much do everything that other parents are doing. Doesn't help that the "Goldberg's kids" are setting some ridiculous trends. I sat in shock as a in-law of an in-law talked incessantly about how she was so happy to find some sort of Juicy Couture knock off for one-third the cost for her 8 year old. The mother has yet to put two and two together, but complains that her kids are really picky about what they wear, imperfections with their clothing, etc. Hello!
As it has been said, bigger kids, bigger problems. Things get really dicey with older children. I know a mother who wonders how her son can spend so much money when he takes his wife and kids on a trip to the US. This money is in addition to the monthly check they send, as the parents have been supporting their son and daughter-in-law for many years now. His mother wants him to get a job because she feels drained by all of the support. It bothers her that the son isn't making any move towards work, although she has addressed her hope that he will start to make the shift from the beit midrash to some type of parnasah. But, she won't pull the plug. In her words: "What can I do? I can't let them starve." A simple survey of economics or human behavior will show that when others pull weight for someone, that the same someone is less inclined to pull their own weight. I doubt they will starve.
I think the bottom line in child rearing (an old fashioned term I know) is that you don't do for your child what they can do for themselves.
Wednesday, May 20, 2009
Time for a Total Money Makeover
I believe we will continue to see more and more of these letters about teachers not getting paid. I can't think of much that makes me more passionate than those who bounce checks on unsuspecting people or employers that bring such injustice on their employees.
As a parent, I find the idea that a child's school might not be paying their staff horrifying! I applauded when unpaid teachers in Lakewood walked out because I don't think anyone should put up with such treatment. Months later, it doesn't seem teachers in other schools have jumped on that band wagon. I really don't understand why teachers don't just up and quit after two or three months of not being paid. I do understand why the schools don't do what some businesses and even government are doing/have done which is closing the doors for a period of time. The schools don't want to admit defeat and still want to "make Shabbos for themselves," a trend noted by Marvin Schick. We can't detract from the dedication these teachers have, something I have a hard time relating to being that the reason I work is primarily for the money. It isn't easy when chesed and work cross paths.
But I don't believe that non-payment is a matter of being "simply unable to pay their teachers." I think the issue of teachers not being paid is a much bigger issue, and that issue is not knowing and/or remaining in perpetual denial, about when it is time to have a "Total Money Makeover" (a reference to Dave Ramsey's book on personal finance). Insolvency, or near insolvency, is something that the financial records should show coming.
Personally, if I found out that my own school wasn't paying their employees, I'd (hope that I would) take my own "drastic" step and pull my kids out. If the school can't manage the money I and others have already paid, I don't see a lot of purpose in giving them even more money to handle with no detailed plan regarding the long term. And if the schools aren't announcing their own "Total Money Makeover," no matter how unpopular, I'm not sure that a giving them a band aid is of any long term consequence.
(I apologize if I'm in a negative mood this afternoon. I am in one! Wish I could talk about that, but I can't. So you get this instead. It is related.)
I believe we will continue to see more and more of these letters about teachers not getting paid. I can't think of much that makes me more passionate than those who bounce checks on unsuspecting people or employers that bring such injustice on their employees.
As a parent, I find the idea that a child's school might not be paying their staff horrifying! I applauded when unpaid teachers in Lakewood walked out because I don't think anyone should put up with such treatment. Months later, it doesn't seem teachers in other schools have jumped on that band wagon. I really don't understand why teachers don't just up and quit after two or three months of not being paid. I do understand why the schools don't do what some businesses and even government are doing/have done which is closing the doors for a period of time. The schools don't want to admit defeat and still want to "make Shabbos for themselves," a trend noted by Marvin Schick. We can't detract from the dedication these teachers have, something I have a hard time relating to being that the reason I work is primarily for the money. It isn't easy when chesed and work cross paths.
But I don't believe that non-payment is a matter of being "simply unable to pay their teachers." I think the issue of teachers not being paid is a much bigger issue, and that issue is not knowing and/or remaining in perpetual denial, about when it is time to have a "Total Money Makeover" (a reference to Dave Ramsey's book on personal finance). Insolvency, or near insolvency, is something that the financial records should show coming.
Personally, if I found out that my own school wasn't paying their employees, I'd (hope that I would) take my own "drastic" step and pull my kids out. If the school can't manage the money I and others have already paid, I don't see a lot of purpose in giving them even more money to handle with no detailed plan regarding the long term. And if the schools aren't announcing their own "Total Money Makeover," no matter how unpopular, I'm not sure that a giving them a band aid is of any long term consequence.
(I apologize if I'm in a negative mood this afternoon. I am in one! Wish I could talk about that, but I can't. So you get this instead. It is related.)
HAVEN’T GOTTEN PAID IN MONTHS
Dear Editor,
This letter is to make the general public aware of a situation that needs to be addressed. There are yeshivos and Bais Yaakovs that are simply unable to pay their teachers. If you are in a financial situation which allows you to help, please get involved. Before you take that well-needed vacation, buy that luxury car, or redecorate your home, please consider the option of scaling down and spending what you would have spent on yourself to help the mechanchim who are going to work despite not being paid. Exceptional times call for exceptional measures. Won't you step up to the plate and help the schools meet their payroll? By the way, teachers aren't the only ones struggling. Please support all mosdos of tzedaka in the most generous way possible.
A Teacher Whose Last Paycheck Was in
February
Tuesday, May 19, 2009
Must Read Articles
Hat Tip: anonymous commentor
This NY Times article, My Personal Credit Crisis, written by an economics reporter for the NY Times, is a must read. Ever wonder how it is that finances can get so out of control, so quickly? Check out this profile about an already overextended husband, who took on yet another obligation (a mortgage) and soon found out he was down to $196. Next thing you know, the credit card debt incurred when the cash had run out how balloned out of control. The $3,000 of initial debt was now $50,000. The loan officer that originally helped secure the mortgage made him feel that their situtation was normal, and naturally he suggested a plan that would get their on better footing by borrowing their way out of debt (huh?). Things were going a bit more smoothly, until his wife, who was now back in the job force and making a respectable sum of $60,000, lost her job. Now they are awaiting foreclosure.
Hat tip: Jeremy
What about those credit card users who always pay off their balance in full and enjoy getting some cash back? Well, times are a changin' and while members of Congress keep themselves busy trying to make sure irresponsible credit card users don't get hit with the type of fees that can make their debt spiral out of control in the blink of an eye, there is speculation that borrowers who have been taking a "free ride" are going to suffer the collateral damage as a result. Someone has been paying for the gravy, and when the plug gets pulled. . . . . .well, it is probably time to start thinking about maintaining a check register again (I can't even tell you what a terrible mode a small discrepancy send me into. Going back to check writing hardly seems appealing to me). Perhaps I can make it more fun by ordering some cute checks! It is very possible that the clock is going to be turned back.
Hat Tip: anonymous commentor
This NY Times article, My Personal Credit Crisis, written by an economics reporter for the NY Times, is a must read. Ever wonder how it is that finances can get so out of control, so quickly? Check out this profile about an already overextended husband, who took on yet another obligation (a mortgage) and soon found out he was down to $196. Next thing you know, the credit card debt incurred when the cash had run out how balloned out of control. The $3,000 of initial debt was now $50,000. The loan officer that originally helped secure the mortgage made him feel that their situtation was normal, and naturally he suggested a plan that would get their on better footing by borrowing their way out of debt (huh?). Things were going a bit more smoothly, until his wife, who was now back in the job force and making a respectable sum of $60,000, lost her job. Now they are awaiting foreclosure.
Hat tip: Jeremy
What about those credit card users who always pay off their balance in full and enjoy getting some cash back? Well, times are a changin' and while members of Congress keep themselves busy trying to make sure irresponsible credit card users don't get hit with the type of fees that can make their debt spiral out of control in the blink of an eye, there is speculation that borrowers who have been taking a "free ride" are going to suffer the collateral damage as a result. Someone has been paying for the gravy, and when the plug gets pulled. . . . . .well, it is probably time to start thinking about maintaining a check register again (I can't even tell you what a terrible mode a small discrepancy send me into. Going back to check writing hardly seems appealing to me). Perhaps I can make it more fun by ordering some cute checks! It is very possible that the clock is going to be turned back.
Monday, May 18, 2009
Public Service Annoucement: Torah Homeschooling Conference
Where: Park Heights Jewish Community Center, 5700 Park Heights Ave. Baltimore, 21215
What: First ever Homeschooling Conference for Orthodox families
When: Sunday, June 28, 2009
Registration begins at 8:15AM, Seminars run from 9AM to 5PM with a break for lunch
Cost: Preregistration, $15 individual/ $25 couple. Childcare available for additional cost.
Schedule as Per the Website:
Where: Park Heights Jewish Community Center, 5700 Park Heights Ave. Baltimore, 21215
What: First ever Homeschooling Conference for Orthodox families
When: Sunday, June 28, 2009
Registration begins at 8:15AM, Seminars run from 9AM to 5PM with a break for lunch
Cost: Preregistration, $15 individual/ $25 couple. Childcare available for additional cost.
Schedule as Per the Website:
8:15 am – Check in begins
9 – 10 am – General session – “Building the Connection” – Mrs. Molly Koch, parent educator and author of 27 Secrets to Raising Amazing Children
10 – 11 am:
1) “Deciding How to Homeschool – Exploring Different Approaches” - Mrs. Ahuvah Feldman
or
2) “Strengthening Your Family Through Homeschooling” - Mrs. Rifka Malka Perlman
11am – 12 pm:
1) “Creative Ways to Teach Kriyah and Ksiva” - Mrs. Adeena Pelberg
or
2) “The Myth of Socialization” - Dr. Nechama Cox
12 – 1 pm – General session – “Chanoch l’naar al pi darko – What does it mean for us?” – Rabbi Menachem Goldberger, mara d’asra of Tiferes Yisroel synagogue
1 – 2 pm – Lunch
2 – 3 pm:
1) “Yes, You Can Be Your Child’s Rebbe – Teaching Limudei Kodesh” – Rabbi Osher Werner , author of Pharoah and the Fabulous Frog Invasion
or
2) Veterans Panel (Questions will be accepted in advance for this panel discussion of experienced home educators.)
3 – 4 pm:
1) “Teaching the Multi-Age Family” - Mrs. Avivah Werner
or
2) “Homeschooling and Marriage: Stressing or Strengthening?” - Mr. Mort Fertel, author of Marriage Fitness
4 – 5 pm:
1) “Brain based learning” – Exercises for Whole Brain Integration - Mrs. Karen Zeitlin
or
2) “Maintaining Health and Spirit Under Stress” - Mrs. Rena Levin
5 – 5:15 pm – Closing
Note: The extensive library of the Center for Jewish Education contains a very large amount of Jewish teaching materials and curriculums. Be sure to make time to browse!
Sunday, May 17, 2009
CNN Money Should Get My Number on File
Hat Tip: Numerous readers who alerted me to the Money Magazine Article on Faith and the Expense. Please feel free to self-identify.
Money Magazine is featuring three families in a article about religion and money: a Muslim couple, a Christian family with three children, and an (Orthodox) Jewish family with four children and a fifth on the way. Each family pulls in combined income in the low six figures, and each family incurs religious based expenses, particularly tithes. Personally, I have a difficult time thinking of tithes as a religious expense, as we learn in Pirkei Avot that tithes (done right) are a protective fence for wealth.
The Muslim couple's issues don't particularly interest me. Being observant of one's religion comes at a price, and the $1,800 they pay to maintain a mortgage according to Islamic law seems more than manageable. Additionally, the mortgage won't last forever and given their current income and spending habits, I see no reason they couldn't knock off the mortgage early and rid themselves of the expense. Sure, they have racked up some student loans that they wished they hadn't. But they have no credit card debt, and have even managed to put together $17,000 in liquid savings, which will start to grow now that they have been educated about some of their options regarding investing and Muslim law (think heter iska). They are well on their way to creating a small, but reliable passive income.
And, while they have made some errors, such as passing on 401(k) match due to lack of education, they have a lot going for them. They are young (28 years old), have not yet started a family, although they plan to do so, appear to spend modestly and only on a cash flow basis, make a decent combined salary, and are saving. While I can see it is difficult not to have a full smorgasbord of potential investments, they do have options, and most importantly they have decently sound financial behavior. (My own preference would be to knock off the student loans before buying a home, but I don't see their situation as unmanageable).
The Christian family is a bit more interesting. Only recently has their combined income surpassed six figures. Amongst loyal Christians there are those that believe in wealth building and those that believe that wealth building detracts from service to the church. We seem to have a similar divide amongst Orthodox Jews. Already into their 40's and with 3 growing children, they found themselves tired of living on the edge and decided that perhaps taking care of their own needs isn't quite the distraction they had been raised to believe it to be. They discovered that not having funds to fall back upon, worrying about how they would educate their children in the future, and having to take on 2nd and 3rd jobs, was also a bit of a distraction. So, the husband trained for a higher paying position and now they are firmly within the middle class.
Like the Muslim couple, I don't see impending doom and gloom. The Christian couple, while a bit older, certainly has time ahead of them. They are using their increased income to save, and in only two years have put away $18,000 ($8,000 in retirement accounts and $10,000 in liquid savings). Assuming that they continue to save consistently and do not touch their savings, it won't be too much longer until those savings start to provide a second, yet passive income of their own. The family seems committed to debt free living, e.g. the wife is planning to attend divinity school, but they are saving for the expense in cash. And while cutting spending, as recommended by the financial planner, was met with some skepticism, they are putting in effort and surprising themselves by just how much extra savings they can squeeze out of their budgets by changing their habits. One hopes that buying a new, larger home, won't be a mistake. I wish they had went in for something at a lesser cost, but they seem to be on the up and up.
And now we come to the Jewish Family. . . . . . . . . and I think the financial planner procured by Money Magazine should have called Yours Truly before dispensing advice!!!
The good news is this: this family can get out of debt and this family can build a better financial future. But, they won't do so following the financial planner's advice which have little to do with the underlying issues. (I don't really blame the financial planner. He probably believes that the ritual and religious costs are completely non-negotiable).
The bad news is this: The numbers presented don't tell the entire story and I believe that the situation is worse than it appears.
Here is my math. The article notes that they sold a home in Los Angeles and walked away with a $300,000 profit. The article notes that they bought a home in Houston for $270,00 and paid an additional $30,000 to renovate the kitchen (total: $300,000). Yet, the family lists its investments at $95,000 and they have a current mortgage liability of just over $105,000.
Scenario 1: Not having a multi-year balance sheet, I can't presume to know the entire story, but the most positive version of the story would be that the couple hasn't saved a penny since they sold their Los Angeles home for a $300,000 gain and that the missing $100,000 disappeared in the fall of the market making it "on paper."
Scenario 2: Another, unfortunately likely scenario is that the couple took about a mortgage in the low $100,000's, leaving them with a bit less than $200K from their $300K gain. Their moving costs and the $30,000 for the kitchen remodel, left them with a large chunk of change, perhaps around $150,000. The $95K, much or all of which I believe sits in the 401(k) came from annual contributes and employer match, and therefore did not come from the $300K the couple had in cash at one point. Somehow, between their move from Los Angeles to Houston, they have worked through a sizable chunk of change and more, evidenced by their sizable and mounting credit card debt of $25,000. In other words, they are spending more cash than even they (or the financial planner) cares to realize.
Perhaps the truth as what has happened along the way lies somewhere between scenario 1 and 2. No matter what happened in the past, the couple needs to change course via a change of spending habits. The money that has disappeared somewhere along the line isn't coming back, and it appears they have some out of the ordinary needs with their 3rd child.
The financial planner recommended the following:
*Restructuring their debt from their current 15 year mortgage to a 30 year mortgage that the planner predicts will be somewhere between a .5% or 1% lower. He suggests rolling their $25,000 of credit card debt into a new mortgage.
The financial planner notes that the increased cash flow should take care of future tuition increases and allow them to contribute more to retirement. (I don't think the financial planner has a clue about day schools and how "financial aid" works! I also don't know how financial aid works in Houston either, but in other areas, restructuring liabilities to free up cash sticks you with a higher tuition bill. Many people refinance regularly to make more room for tuition).
The wife is perhaps a step ahead of the financial planner noting that she fears they will just end up in the same position, i.e. running up credit card debt, because of *behavior.* She is willing to consider the idea after seeing if they can stick to a strict budget. I think that if they stick with a strict budget, they should be able to knock off a good amount of their credit card debt and won't have to worry so much about refinancing.
*Increase the amount of life insurance they carry to cover day school in the event of early death of the breadwinner.
Talk about one step forward and two steps back. I am in disbelief that the Mrs. believes that if her husband passes that the community will 1) take care of her children and 2) marry her off within 2 years [getting her back on her feet]. Of course, it isn't that a school doesn't want to help the widow and her children (we are rachamim bnei rachamim), but it seems that day schools from North to South and West to East are coming to the realization that it is sink or swim time, or in other words, not all can be helped to the extent needed. Sad, but true. Regarding remarriage, I simply don't think it is always in the best interest of the widow and children to remarry quickly, even if it were so easy.
* Write a will, especially to provide for the needs of their special needs child.
Fine advice, but it simply doesn't address the here and now. But, we all (and I'm talking to myself here) should probably get on task.
Here is my advice:
*Go on a super-duper-financial-diet because credit card debt is an EMERGENCY. Track every single penny that is spent (including the amount spend every month to pay for financing the debt because that is likely to provide some serious motivation):
1. Put the credit cards on ice. They are completely off-limits.
2. Put together a small cash emergency fund as quick as possible, perhaps $1,000. If you have to advertise yourself as a fill in cleaning lady, do it. If you can watch neighborhood kids when you aren't working, do it. If you have stuff you can sale through Ebay, Craigslist, or a consignment store, part with it. You need cash and you need it quickly.
3. Take a full accounting of all credit card debt. Your inventory should list amounts due from the card with the highest APR to the lowest. Make minimum payments on the cards with the lower APRs and throw cash at the card with the highest APR. Once you have paid off a card, start throwing money at the next card.
4. Stop contributing to your 401(k) because you are going to get out of debt asap and will soon resume contributions after that. (Some might say stop contributing beyond match).
5. Make sure you are only withholding the taxes you need to pay. Many Americans over withhold and love to get their refund. Don't give Uncle Sam an interest free loan while your credit cards explode.
6. Cut the grocery bill in half immediately. Over $1,000 a month is simply too much to spend. $14.99 a pound brisket gets replaced by chicken or fish. Chicken and fish get replaced by canned tuna, beans, or legumes. Hard cheese gets replaced by soft cheese. And you start looking for alternatives to the $9 a bottle grape juice. If you can't buy grape juice for under $9 a bottle in Houston (Houston readers, I need your comments), you need to start freezing the 64 ounce bottle in four ounce increments for making kiddush. Even at $9 a bottle, this shouldn't be the thorn in the budget.
7. Medical expenses should be tracked for the past year or two so a reasonable prediction of future needs can be made. Set up a Flexible Spending Account with pre-tax dollars and pay expenses from the FSA.
8. Sponsoring a $500 kiddush is going to have to wait until it can be paid for in cash. According to the article, the family contributes $3,600 a year to their synagogue, of which $600 is dues. It also mentioned sponsoring a kiddush for birthdays. While the question of cutting back of tzedakah in order to get out of debt should be left to qualified Rabbonim, sponsoring kiddushes is something that can be cut back on, especially because it means IRREPARIABLE LONG TERM FINANCIAL DAMAGE.
9. Reprice your auto and home insurance. Shop for new quotes every 6 months to a year. Look into lower cost alternatives for all major expenses, from camp to childcare to auto insurance.
10. Slash all variable expenses. Turn off lights, put the lights you use on Shabbat on timers, hang laundry to dry, take shorter showers, etc.
While I see the Christian family and Muslim family building wealth little by little, I see the Jewish family loosing ground and quickly. $25,000 of revolving credit card debt can easily cost between $3,000 and $7,000 annually to finance. Think about this for a second. . . . . .that is a lot of money! It is easy to see their debt doubling in just a handful of years. But, if they get out of debt, they will be freeing up thousands of dollars a year, and they don't even need to refinance their home. The Jewish family can also get themselves on far better financial footing, even without cutting tuition out of the budget. They need to speak to a Rav about how to give tzedakah in the here and now. They need to cut their spending like their is no tomorrow. What they don't need to do right now is refinance their home. They are already likely a few years into their 15 year 5.5% mortgage. The size of their mortgage is not unreasonable, in fact is is lower than their combined annual incomes. While I will not declare that they should not refinance, I will declare that it won't solve the underlying problem.
I wouldn't leave a stone unturned, mostly because I believe that the family can win this battle.
Your comments.
Hat Tip: Numerous readers who alerted me to the Money Magazine Article on Faith and the Expense. Please feel free to self-identify.
Money Magazine is featuring three families in a article about religion and money: a Muslim couple, a Christian family with three children, and an (Orthodox) Jewish family with four children and a fifth on the way. Each family pulls in combined income in the low six figures, and each family incurs religious based expenses, particularly tithes. Personally, I have a difficult time thinking of tithes as a religious expense, as we learn in Pirkei Avot that tithes (done right) are a protective fence for wealth.
The Muslim couple's issues don't particularly interest me. Being observant of one's religion comes at a price, and the $1,800 they pay to maintain a mortgage according to Islamic law seems more than manageable. Additionally, the mortgage won't last forever and given their current income and spending habits, I see no reason they couldn't knock off the mortgage early and rid themselves of the expense. Sure, they have racked up some student loans that they wished they hadn't. But they have no credit card debt, and have even managed to put together $17,000 in liquid savings, which will start to grow now that they have been educated about some of their options regarding investing and Muslim law (think heter iska). They are well on their way to creating a small, but reliable passive income.
And, while they have made some errors, such as passing on 401(k) match due to lack of education, they have a lot going for them. They are young (28 years old), have not yet started a family, although they plan to do so, appear to spend modestly and only on a cash flow basis, make a decent combined salary, and are saving. While I can see it is difficult not to have a full smorgasbord of potential investments, they do have options, and most importantly they have decently sound financial behavior. (My own preference would be to knock off the student loans before buying a home, but I don't see their situation as unmanageable).
The Christian family is a bit more interesting. Only recently has their combined income surpassed six figures. Amongst loyal Christians there are those that believe in wealth building and those that believe that wealth building detracts from service to the church. We seem to have a similar divide amongst Orthodox Jews. Already into their 40's and with 3 growing children, they found themselves tired of living on the edge and decided that perhaps taking care of their own needs isn't quite the distraction they had been raised to believe it to be. They discovered that not having funds to fall back upon, worrying about how they would educate their children in the future, and having to take on 2nd and 3rd jobs, was also a bit of a distraction. So, the husband trained for a higher paying position and now they are firmly within the middle class.
Like the Muslim couple, I don't see impending doom and gloom. The Christian couple, while a bit older, certainly has time ahead of them. They are using their increased income to save, and in only two years have put away $18,000 ($8,000 in retirement accounts and $10,000 in liquid savings). Assuming that they continue to save consistently and do not touch their savings, it won't be too much longer until those savings start to provide a second, yet passive income of their own. The family seems committed to debt free living, e.g. the wife is planning to attend divinity school, but they are saving for the expense in cash. And while cutting spending, as recommended by the financial planner, was met with some skepticism, they are putting in effort and surprising themselves by just how much extra savings they can squeeze out of their budgets by changing their habits. One hopes that buying a new, larger home, won't be a mistake. I wish they had went in for something at a lesser cost, but they seem to be on the up and up.
And now we come to the Jewish Family. . . . . . . . . and I think the financial planner procured by Money Magazine should have called Yours Truly before dispensing advice!!!
The good news is this: this family can get out of debt and this family can build a better financial future. But, they won't do so following the financial planner's advice which have little to do with the underlying issues. (I don't really blame the financial planner. He probably believes that the ritual and religious costs are completely non-negotiable).
The bad news is this: The numbers presented don't tell the entire story and I believe that the situation is worse than it appears.
Here is my math. The article notes that they sold a home in Los Angeles and walked away with a $300,000 profit. The article notes that they bought a home in Houston for $270,00 and paid an additional $30,000 to renovate the kitchen (total: $300,000). Yet, the family lists its investments at $95,000 and they have a current mortgage liability of just over $105,000.
Scenario 1: Not having a multi-year balance sheet, I can't presume to know the entire story, but the most positive version of the story would be that the couple hasn't saved a penny since they sold their Los Angeles home for a $300,000 gain and that the missing $100,000 disappeared in the fall of the market making it "on paper."
Scenario 2: Another, unfortunately likely scenario is that the couple took about a mortgage in the low $100,000's, leaving them with a bit less than $200K from their $300K gain. Their moving costs and the $30,000 for the kitchen remodel, left them with a large chunk of change, perhaps around $150,000. The $95K, much or all of which I believe sits in the 401(k) came from annual contributes and employer match, and therefore did not come from the $300K the couple had in cash at one point. Somehow, between their move from Los Angeles to Houston, they have worked through a sizable chunk of change and more, evidenced by their sizable and mounting credit card debt of $25,000. In other words, they are spending more cash than even they (or the financial planner) cares to realize.
Perhaps the truth as what has happened along the way lies somewhere between scenario 1 and 2. No matter what happened in the past, the couple needs to change course via a change of spending habits. The money that has disappeared somewhere along the line isn't coming back, and it appears they have some out of the ordinary needs with their 3rd child.
The financial planner recommended the following:
*Restructuring their debt from their current 15 year mortgage to a 30 year mortgage that the planner predicts will be somewhere between a .5% or 1% lower. He suggests rolling their $25,000 of credit card debt into a new mortgage.
The financial planner notes that the increased cash flow should take care of future tuition increases and allow them to contribute more to retirement. (I don't think the financial planner has a clue about day schools and how "financial aid" works! I also don't know how financial aid works in Houston either, but in other areas, restructuring liabilities to free up cash sticks you with a higher tuition bill. Many people refinance regularly to make more room for tuition).
The wife is perhaps a step ahead of the financial planner noting that she fears they will just end up in the same position, i.e. running up credit card debt, because of *behavior.* She is willing to consider the idea after seeing if they can stick to a strict budget. I think that if they stick with a strict budget, they should be able to knock off a good amount of their credit card debt and won't have to worry so much about refinancing.
*Increase the amount of life insurance they carry to cover day school in the event of early death of the breadwinner.
Talk about one step forward and two steps back. I am in disbelief that the Mrs. believes that if her husband passes that the community will 1) take care of her children and 2) marry her off within 2 years [getting her back on her feet]. Of course, it isn't that a school doesn't want to help the widow and her children (we are rachamim bnei rachamim), but it seems that day schools from North to South and West to East are coming to the realization that it is sink or swim time, or in other words, not all can be helped to the extent needed. Sad, but true. Regarding remarriage, I simply don't think it is always in the best interest of the widow and children to remarry quickly, even if it were so easy.
* Write a will, especially to provide for the needs of their special needs child.
Fine advice, but it simply doesn't address the here and now. But, we all (and I'm talking to myself here) should probably get on task.
Here is my advice:
*Go on a super-duper-financial-diet because credit card debt is an EMERGENCY. Track every single penny that is spent (including the amount spend every month to pay for financing the debt because that is likely to provide some serious motivation):
1. Put the credit cards on ice. They are completely off-limits.
2. Put together a small cash emergency fund as quick as possible, perhaps $1,000. If you have to advertise yourself as a fill in cleaning lady, do it. If you can watch neighborhood kids when you aren't working, do it. If you have stuff you can sale through Ebay, Craigslist, or a consignment store, part with it. You need cash and you need it quickly.
3. Take a full accounting of all credit card debt. Your inventory should list amounts due from the card with the highest APR to the lowest. Make minimum payments on the cards with the lower APRs and throw cash at the card with the highest APR. Once you have paid off a card, start throwing money at the next card.
4. Stop contributing to your 401(k) because you are going to get out of debt asap and will soon resume contributions after that. (Some might say stop contributing beyond match).
5. Make sure you are only withholding the taxes you need to pay. Many Americans over withhold and love to get their refund. Don't give Uncle Sam an interest free loan while your credit cards explode.
6. Cut the grocery bill in half immediately. Over $1,000 a month is simply too much to spend. $14.99 a pound brisket gets replaced by chicken or fish. Chicken and fish get replaced by canned tuna, beans, or legumes. Hard cheese gets replaced by soft cheese. And you start looking for alternatives to the $9 a bottle grape juice. If you can't buy grape juice for under $9 a bottle in Houston (Houston readers, I need your comments), you need to start freezing the 64 ounce bottle in four ounce increments for making kiddush. Even at $9 a bottle, this shouldn't be the thorn in the budget.
7. Medical expenses should be tracked for the past year or two so a reasonable prediction of future needs can be made. Set up a Flexible Spending Account with pre-tax dollars and pay expenses from the FSA.
8. Sponsoring a $500 kiddush is going to have to wait until it can be paid for in cash. According to the article, the family contributes $3,600 a year to their synagogue, of which $600 is dues. It also mentioned sponsoring a kiddush for birthdays. While the question of cutting back of tzedakah in order to get out of debt should be left to qualified Rabbonim, sponsoring kiddushes is something that can be cut back on, especially because it means IRREPARIABLE LONG TERM FINANCIAL DAMAGE.
9. Reprice your auto and home insurance. Shop for new quotes every 6 months to a year. Look into lower cost alternatives for all major expenses, from camp to childcare to auto insurance.
10. Slash all variable expenses. Turn off lights, put the lights you use on Shabbat on timers, hang laundry to dry, take shorter showers, etc.
While I see the Christian family and Muslim family building wealth little by little, I see the Jewish family loosing ground and quickly. $25,000 of revolving credit card debt can easily cost between $3,000 and $7,000 annually to finance. Think about this for a second. . . . . .that is a lot of money! It is easy to see their debt doubling in just a handful of years. But, if they get out of debt, they will be freeing up thousands of dollars a year, and they don't even need to refinance their home. The Jewish family can also get themselves on far better financial footing, even without cutting tuition out of the budget. They need to speak to a Rav about how to give tzedakah in the here and now. They need to cut their spending like their is no tomorrow. What they don't need to do right now is refinance their home. They are already likely a few years into their 15 year 5.5% mortgage. The size of their mortgage is not unreasonable, in fact is is lower than their combined annual incomes. While I will not declare that they should not refinance, I will declare that it won't solve the underlying problem.
I wouldn't leave a stone unturned, mostly because I believe that the family can win this battle.
Your comments.
Thursday, May 14, 2009
RCA Resolution Calls for Modesty, Responsibility, and Tzedakah
A yashar koach to fellow blogger and small town community Rav for publishing this RCA resolution. The purpose of these resolutions is not particularly to solve problems, but to articulate a Torah viewpoint regarding modern day issues.
I'm a bit timid in accepting the Rabbi's thanks for some of the ideas contained in the resolution. But I do have to say it is exciting to see a discussion of modesty that encompasses more than just girls' and womens' clothing.
The text is as follows:
2009 Convention Resolution: Modesty, Responsibility and Tzedakah A Moral Call for Reducing Spending in the Jewish Community.
May 12, 2009 -- Even in ripest times, the Jew is commanded by Torah and tradition to "Walk modestly with G-d," eschewing ostentation. The Jewish citizen is further required to measure the arc of his financial steps with responsible care. Tzedakah, too, is a fundamental Jewish imperative, conveyed in both lore and law; our righteous ancestors defined their well-being not by the number of possessions they acquired, but by the number of mouths they fed.
Today, in the midst of an international economic crisis, our tradition demands that we re-commit ourselves to these values of modesty, responsibility and tzedakah. Modesty, because the Talmud teaches that we may not enjoy luxury when others suffer, let alone when we, ourselves, are suffering. Responsibility, because the bite of personal debt inflicts pain upon the entire community. Tzedakah, because since the days of Devarim we have been instructed to employ our wealth as a weapon against the poverty of others.
Were the financial crisis to end tomorrow, our community would, nonetheless, be required to live modest, responsible and generous lives; we can do no different when surrounded by unemployment and economic despair.
Therefore, the Rabbinical Council of America resolves that we must turn to Modesty and Tzedakah, as a community, in part through the following practical measures:
We call upon our communal institutions to join forces, pooling purchasing power as well as resources, and avoiding duplicate efforts;
We call upon our yeshivot and summer camps to eliminate expenses wherever possible, to enable more families to afford tuition;
We call upon our simcha vendors, including caterers, florists and photographers, to offer low-cost, modest options for weddings and other celebrations. At the other end of olam hazeh, we call upon funeral homes and cemeteries to likewise offer low-cost, modest options for their services;
We call upon our rabbonim and poskim to continue to be sensitive to the current financial she'at hadechak in legislating for our communities, as well as to look out for the welfare of the neediest among us;
We call upon every Jew to opt for modest choices and lower costs, to guard against deficit spending, and to direct some of the consequent savings toward assistance for others.
And we ask those who can afford more to purchase less, in pursuit of modesty and responsibility and in recognition of the social pressure that their luxury brings to bear upon others.
May Zion soon be redeemed with justice, and may her children return to her with righteousness.
A yashar koach to fellow blogger and small town community Rav for publishing this RCA resolution. The purpose of these resolutions is not particularly to solve problems, but to articulate a Torah viewpoint regarding modern day issues.
I'm a bit timid in accepting the Rabbi's thanks for some of the ideas contained in the resolution. But I do have to say it is exciting to see a discussion of modesty that encompasses more than just girls' and womens' clothing.
The text is as follows:
2009 Convention Resolution: Modesty, Responsibility and Tzedakah A Moral Call for Reducing Spending in the Jewish Community.
May 12, 2009 -- Even in ripest times, the Jew is commanded by Torah and tradition to "Walk modestly with G-d," eschewing ostentation. The Jewish citizen is further required to measure the arc of his financial steps with responsible care. Tzedakah, too, is a fundamental Jewish imperative, conveyed in both lore and law; our righteous ancestors defined their well-being not by the number of possessions they acquired, but by the number of mouths they fed.
Today, in the midst of an international economic crisis, our tradition demands that we re-commit ourselves to these values of modesty, responsibility and tzedakah. Modesty, because the Talmud teaches that we may not enjoy luxury when others suffer, let alone when we, ourselves, are suffering. Responsibility, because the bite of personal debt inflicts pain upon the entire community. Tzedakah, because since the days of Devarim we have been instructed to employ our wealth as a weapon against the poverty of others.
Were the financial crisis to end tomorrow, our community would, nonetheless, be required to live modest, responsible and generous lives; we can do no different when surrounded by unemployment and economic despair.
Therefore, the Rabbinical Council of America resolves that we must turn to Modesty and Tzedakah, as a community, in part through the following practical measures:
We call upon our communal institutions to join forces, pooling purchasing power as well as resources, and avoiding duplicate efforts;
We call upon our yeshivot and summer camps to eliminate expenses wherever possible, to enable more families to afford tuition;
We call upon our simcha vendors, including caterers, florists and photographers, to offer low-cost, modest options for weddings and other celebrations. At the other end of olam hazeh, we call upon funeral homes and cemeteries to likewise offer low-cost, modest options for their services;
We call upon our rabbonim and poskim to continue to be sensitive to the current financial she'at hadechak in legislating for our communities, as well as to look out for the welfare of the neediest among us;
We call upon every Jew to opt for modest choices and lower costs, to guard against deficit spending, and to direct some of the consequent savings toward assistance for others.
And we ask those who can afford more to purchase less, in pursuit of modesty and responsibility and in recognition of the social pressure that their luxury brings to bear upon others.
May Zion soon be redeemed with justice, and may her children return to her with righteousness.
Tuesday, May 12, 2009
Am I Reading This Right?
Or Was the Cart Placed Before the Horse?
Perhaps my reading comprehension is terrible. My commentators won't be the first to make such a comment.
My reading of this story is that a Chicago Orthodox Yeshiva/Bais Yaakov:
If my reading is correct, the commentary is clear. The eggs were counted before they hatched and/or the cart was put in front of the horse. I don't know much about obtaining properties and converting their use, but it seems to me that this was out of order. And to think that the school has expended $2 million. Oy!
Please tell me my reading comprehension is weak. Please tell me I should go back to middle school English. I do hope they win their case because otherwise I'm afraid that the ongoing battle will just result in throwing good money after bad, a scenario which I'm afraid isn't uncommon.
Or Was the Cart Placed Before the Horse?
Perhaps my reading comprehension is terrible. My commentators won't be the first to make such a comment.
My reading of this story is that a Chicago Orthodox Yeshiva/Bais Yaakov:
- bought a building in an industrial area (date unknown) and applied for a special use permit (December 2007)
- spent upwards of $2,000,000 on architectural design fees and insurance while holding the property
- was turned down by the city in their request for a zoning variance, 8-1
- is suing the city for estimated losses of two million (see above)
- argues that the city of Evanston wrongfully focused on the loss of property tax
- claims that the city failed to distinguish between a "religious institution" and a private school, claiming they are the former, rather than the latter, as attendance is " practically mandatory in the exercise of their religious faith," and like the nearby church, they too should be granted a zoning variance.
- argues that city's action was arbitrary and unreasonable and violates the constitutionally guaranteed rights to freedom of speech and religion.
If my reading is correct, the commentary is clear. The eggs were counted before they hatched and/or the cart was put in front of the horse. I don't know much about obtaining properties and converting their use, but it seems to me that this was out of order. And to think that the school has expended $2 million. Oy!
Please tell me my reading comprehension is weak. Please tell me I should go back to middle school English. I do hope they win their case because otherwise I'm afraid that the ongoing battle will just result in throwing good money after bad, a scenario which I'm afraid isn't uncommon.
Sunday, May 10, 2009
BINGO and Say What?
Some ideas are starting to surface regarding just how costs are going to be reduced in day schools. (I will hopefully find time for an Orthonomics radical brainstorm session). The following six ideas were presented by Rabbi Saul Zucker, OU Director of Day School Services (from an article in The Forward):
Long time readers know that I am not particularly comfortable with the so very popular Chinese Auctions to say nothing of regular BINGO, but in a brainstorming session, ideas should not be quickly dismissed. Nevertheless, bringing in new money is absolutely essentially, so I can see the utility of BINGO. Ultimately, introducing more gambling as a partial solution to our money problems will have to be on the shoulders of community Rabbonim and Gedolim.
Readers: would you be supportive of introducing BINGO as a fundraiser for your child(ren)'s school?
And, now, onto the SAY WHAT? part of my post.
At the end of the article in The Forward, the vice president of the Los Angeles Maimonides school is quoted regarding the possibility of things getting worse:
"There are people that are not only putting their kids in public schools because it’s cheaper, but they’re also home-schooling them.”
Certainly he met to say *not only home-schooling their children, but placing them in public school*, right? [Updated for clarity: Or is homeschooling possibly considered the greater of the two "evils" by some? I don't want to read too far into his comment, but it seems to me that when the choice is between public schooling and home schooling, giving home schooling a fair shake should be given acceptance as a valid option].
For a related article, see the Beliefnet blog. Thank you to a friend who introduced me to Google Alerts.
Some ideas are starting to surface regarding just how costs are going to be reduced in day schools. (I will hopefully find time for an Orthonomics radical brainstorm session). The following six ideas were presented by Rabbi Saul Zucker, OU Director of Day School Services (from an article in The Forward):
- Establishing a health plan for yeshiva school employees nationwide, via the O.U., that will be administered by a corporation that already insures tens of thousands of employees.
- Reducing energy costs by converting schools to alternative power sources, such as solar and wind. Zucker said the O.U. had located an agent willing to do a free assessment of conversion costs for individual schools.
- Setting up a kehilla, or community fund, via local Orthodox congregations to allow schools to broaden their fundraising base beyond the families of their students.
- Using a professional grants consultant, to be made available via the O.U., to identify government and private sources for additional financial support and draft the grant proposals to obtain the funds.
- Having yeshiva students, parents and faculty use and get others to use a custom Internet toolbar offered through the O.U. for their Web browser. With each click, corporate sponsors whose ads jump to the top of searches will contribute to a fund to be maintained by the O.U. and disbursed to the schools.
- Holding bingo fundraising events to generate income.
Long time readers know that I am not particularly comfortable with the so very popular Chinese Auctions to say nothing of regular BINGO, but in a brainstorming session, ideas should not be quickly dismissed. Nevertheless, bringing in new money is absolutely essentially, so I can see the utility of BINGO. Ultimately, introducing more gambling as a partial solution to our money problems will have to be on the shoulders of community Rabbonim and Gedolim.
Readers: would you be supportive of introducing BINGO as a fundraiser for your child(ren)'s school?
And, now, onto the SAY WHAT? part of my post.
At the end of the article in The Forward, the vice president of the Los Angeles Maimonides school is quoted regarding the possibility of things getting worse:
"There are people that are not only putting their kids in public schools because it’s cheaper, but they’re also home-schooling them.”
Certainly he met to say *not only home-schooling their children, but placing them in public school*, right? [Updated for clarity: Or is homeschooling possibly considered the greater of the two "evils" by some? I don't want to read too far into his comment, but it seems to me that when the choice is between public schooling and home schooling, giving home schooling a fair shake should be given acceptance as a valid option].
For a related article, see the Beliefnet blog. Thank you to a friend who introduced me to Google Alerts.
Wednesday, May 06, 2009
Another Tuition Event
Guest posters welcome. Wednesday, May 20, 7:30 PM at the Edmond J Safra Synagogue in New York. Join Rabbi Shmuely Boteach, Rabbi Kobrin (Ramaz), and Rabbi Adam Siegel (Ben Gamla Charter School) to discuss the Tuition Crisis and solutions. Moderated by Gary Rosenblatt of the Jewish Week who just wrote an op-ed with his own analysis and proposals to 1) rethink public/charter schooling and 2) push for vouchers, i.e. what I call the "same old, same old."
Here is hoping that one of these tuition events will result in the proposal of some new ideas, perhaps radical ideas, that don't involve the "same old, same old" of more fundraising and getting state governments to pass vouchers (not going to happen).
How about I dedicate my next post to a brainstorm of some radical ideas that don't include sending kids to public schools (although if we sit around chatting about vouchers, rather than taking radical action, that might just be what happens)?
Guest posters welcome. Wednesday, May 20, 7:30 PM at the Edmond J Safra Synagogue in New York. Join Rabbi Shmuely Boteach, Rabbi Kobrin (Ramaz), and Rabbi Adam Siegel (Ben Gamla Charter School) to discuss the Tuition Crisis and solutions. Moderated by Gary Rosenblatt of the Jewish Week who just wrote an op-ed with his own analysis and proposals to 1) rethink public/charter schooling and 2) push for vouchers, i.e. what I call the "same old, same old."
Here is hoping that one of these tuition events will result in the proposal of some new ideas, perhaps radical ideas, that don't involve the "same old, same old" of more fundraising and getting state governments to pass vouchers (not going to happen).
How about I dedicate my next post to a brainstorm of some radical ideas that don't include sending kids to public schools (although if we sit around chatting about vouchers, rather than taking radical action, that might just be what happens)?
Monday, May 04, 2009
Should We Pat Them on the Back?
The newest installment in the ongoing tuition series in the New Jersey Jewish Standard seems more like an infomerical than a frank discussion of reality.
Five Bergen County principals have kindly written the Jewish Standard in an op-ed to tell us:
The newest installment in the ongoing tuition series in the New Jersey Jewish Standard seems more like an infomerical than a frank discussion of reality.
Five Bergen County principals have kindly written the Jewish Standard in an op-ed to tell us:
- The children are counting on us to provide the current standard of Modern Orthodox education [Thanks for the guilt trip!],
- The schools have made significant cuts we should confuse cuts with "trimming the fat" as all of the services offered are educational necessities [Great, more guilt.],
- The schools really are actually doing a great job containing costs because they provide a dual education for significantly less per student than surrounding public schools [Perhaps a pat on the back is really in order? Perhaps we have nothing to complain about? Given that great amount of inefficiency in public education, I'm not quite sure this is the benchmark to brag about. If anyone is interested in my own take on a "dual curriculum" you can read this past post, Is Jewish Education Inherently More Expensive? Don't forget that many services benefiting private school students, from busing to therapies, are reflected in public school budgets].
- The schools try very hard to make Jewish education affordable by making millions of dollars in scholarships available. The schools will continue to do this and parents having "financial difficulties" should avail themselves. [Note to principals: Just because many of us can't afford the schools doesn't mean we are having "financial difficulties." Am I in a bad mood, or am I sensing a disconnect? And, let's not pretend that more financial assistance for some means rising tuition for others.]
- The schools are meeting as part of a joint committee to explore new avenues of funding for [Bergen County] yeshivot. "Concrete plans are being laid" and recommendations will be made soon. [Anyone want to guess what recommendations are coming?]
Now that the infomercial is over. . . . . . . . anyone want to talk about real change before it reality slaps us in the face? (Sorry to be pessimistic. It is that type of day/month/year).
Subscribe to:
Posts (Atom)