Warren City Limits

Mayor Jim Fouts - The Buck Stops Here

By Art

"I always remember an epitaph which is in the cemetery at Tombstone, Arizona. It says: 'Here lies Jack Williams. He done his damnedest.' I think that is the greatest epitaph a man can have - When he gives everything that is in him to do the job he has before him. That is all you can ask of him and that is what I have tried to do". President Harry S. Truman

Jim Fouts IS the Real Deal !

It's no secret that Jim Fouts is an admirer of former U.S. President, Harry S. Truman. Many of his former High School Students who enrolled in his Government class will confirm that. As a teacher, Jim Fouts was always bringing into his Classrooms people representing some of the examples of the diversity in American Government. Everything from Politicians to representatives of Right to Life of Michigan were invited to Jim Fouts Government classes in order to address his students on their positions on the matters near and dear to their heart. In order to level the playing field, Fouts also invited the opposing positions. The results gave the student a complete picture of real life. Prior to Fouts rise to Mayor of Warren several of his students were elected over the years to diverse posts in the tri-county area.

In this short article on the new Mayor of Warren my goal is to bring out the similarities between Harry S. Truman and Jim Fouts. In doing this I will present the two major areas where both men shine like a morning sunrise.

Harry Truman and Jim Fouts were both opposed by the status quo. When Harry Truman ran for President in 1948, the poll takers, the political reporters, the pundits, all the sundry prognosticators, and professional politicians--it didn't matter what they said or what they thought. Truman reminded everyone that only the people decide, He said "Here I am, here's what I stand for--here's what I'm going to do if you keep me in the job. You decide." In the Mayoral race Jim Fouts opponent Harry S. Truman

was the Warren City Clerk. He was popular and had more Campaign money then Mr. Fouts. His endorsements were a "Whos Who" list of elected officials and he was endorsed by the two major Detroit newspapers. Like Harry Truman, Jim Fouts counted on the people he had helped over the past 26 years. Like President Truman he said with absolutely no hesitation that it's "the people who will decide not the politicians and press."

Harry S. Truman and Jim Fouts both approached Government Service as being a battle "for the people" not "for the privileged few".

President Truman's closing statements in his Inaugural Address dated January 20, 1949, brought it all home. He said:

"We are aided by all who wish to live in freedom from fear--even by those who live today in fear under their own governments.

We are aided by all who want relief from the lies of propaganda-- who desire truth and sincerity.

We are aided by all who desire self-government and a voice in deciding their own affairs.

We are aided by all who long for economic security--for the security and abundance that men in free societies can enjoy.

We are aided by all who desire freedom of speech, freedom of religion, and freedom to live their own lives for useful ends"

Jim Fouts as a Councilman in 2007 Volumes could be written on all of the personal attacks on Jim Fouts by his fellow Council members over his 26 years on the council. But he ignored them all and went forth to do the people's business.

During 22 of his 26 years on the Council Jim Fouts was the" lone ranger" on the Council when it came to defending the rights of all the people. Fouts had to fight tooth and nail against the majority who supported the old system of "business as usual".

In the 2007 Warren Mayoral election, many of the People who withstood the rain in order to cast their votes for Jim Fouts did so in order to say "thank you" with their votes. Throughout those 26 years on the Council Jim Fouts served the people and at times was ridiculed by the status quo but as other politicians fell around him like bowling pins Fouts continued to follow the advice of Frank Sinatra in his hit recording of "I did it my way".

It's impossible to say who voted for Jim Fouts in the November 6, 2007 Mayoral Election but you can bet that , when the final numbers were tallied, there were many who could be defined in Harry S.Truman's closing statement of his 1949 Inaugural Address.

Jim Fouts and I are close in age. We both came from a time when people looked right, acted right and did the right thing. We were taught that being in Government was a way of helping people and not a way of stuffing your own pockets with money. Today many politicians are in it for money and don't give a damn about those they are supposed to represent.

In the mid 1970's I was elected President of a local Union with a membership of about 5,000 members. I held to the same values Jim Fouts does today. Unfortunately my opponent did not. In the next election I was voted out of office because of my opponents lies and half-truths. My fear today is that there are people right now who want to remove Jim Fouts from office. They are planning to take back City Hall so it could be "business as usual". I'm convinced that Jim Fouts with his experience, his dedication to help others will defeat those efforts.

Epilog

This story was written right after the election in November, 2007. Jim Fouts has already exceeded his expectations and is going beyond it.

Five Mistakes to Avoid in Your 401(k)

Special Thanks to Lauren Tara LaCapra

While nearly a third of workers participate in 401(k) plans, some common mistakes and oversights limit the rewards they ultimately reap.

Many participants choose the wrong funds, fail to monitor or simply forget about a plan when they change jobs frequently, says Lisa Van Fleet, a partner at St. Louis-based Bryan Cave LLP who specializes in employee benefits and compensation. She suggests that employees contribute as much as they can for as long as they can and stay informed about their investments' performance and how legislation and tax rules apply.

"Arrive early, push your contributions to the limits, pay attention to the game, and, if possible, play into overtime," says Van Fleet.

Whether participants are pressed for time, confused by financial mumbo-jumbo or plain lazy, there are some simple guidelines to maximize returns.

1. Contribute more

Participants who don't contribute enough to receive matching funds from their employer are "leaving money on the table," says Van Fleet. Still others don't take advantage of special "catch-up" contributions that allow those who are 50 years old or over to contribute more on a tax-free basis than their younger counterparts.

The maximum annual 401(k) deferral allowed in 2008 is $15,500 for those under 50. It's $20,500 for those age 50 or older. If an employer provides 3% in matching funds, a $10,000 contribution by the participant will result in a $20,150 overall contribution.

2. Strategize, then track performance

Formulate an plan based on your age, risk-appetite and market outlook. Van Fleet suggests using life-cycle funds, which shuffle the investment mix to reduce risk (and, usually, returns) as the participant ages. Many participants have been automatically enrolled into this type of 401(k) because an increasing number of employers are using it as the default option.

Participants with multiple plans from various jobs should make sure each is a part of a comprehensive investment strategy. Otherwise, it might make sense to combine the individual funds into one account to minimize paperwork, fees and the hassle of overseeing several plans.

It's also important to check returns and fees on a regular basis, not just once a year when the Fidelity statement comes in the mail. If the 401(k) is performing poorly, it might be wise to alter strategies. But keep in mind that retirement funds are long-term and that churning investments frequently can diminish returns just as easily as neglect.

3. Inform former employers of address changes

Participants who don't inform former employers about their relocation could lose out if the company is unable to locate them when it comes time to distribute benefits. Van Fleet says this happens to a "surprising" number of people, when a simple change-of-address card could have kept thousands in their retirement coffers.

4. Don't raid the piggy bank

Some participants opt to take out loans and hardship distributions or cash out of small accounts when they're in a bind. But doing so too often or without a good reason can deplete resources that will be needed even more down the road. This is particularly true for younger investors, because they are robbing themselves of even more compounded interest than older participants would eventually receive.

"This is most likely to be a temptation early in your career when you have more frequent changes, smaller account balances and a longer retirement horizon," says Van Fleet. "However, these small benefits, if left in a plan and allowed to compound over your working career, can significantly enhance your ultimate retirement resources."

5. Avoid the avoidable taxes

Not many participants deposit cash above the maximum deferral amount, but there are other ways to get taxed on retirement savings as well. For instance, transferring benefits directly, rather than allowing them to roll over to a successor plan, eliminates the need to satisfy withholding tax obligations and timing rules.

Another factor to consider is a Roth IRA -- which gets taxed before the contribution -- versus a 401(k), which is taxed upon withdrawal. The right choice depends on whether one believes rates will rise or fall.

All participants should know the tax rules and how they apply to each individual situation before choosing a plan, figuring out contributions and making any withdrawals or changes. While no one has a crystal ball, it's always best to make an informed choice.