I think that we will have a much slower economy once people finish doing their tax returns. I am hearing from more and more people that instead of getting money back, they are having to pay. Chalk this up to higher tax rates and the affordable care act. Usually after the April tax deadline there is an increase in spending as people get some of their withholding back. That will either not be as large as usual, or as I am expecting, non existent. The new reality is that people are tapped out. People are maxed out on credit and most (if not all) of their paychecks go to pay bills and put food on the table. As for my family and many of our friends and relatives, we are all basically tapped out as well. So what is going to drive growth?
What do you think?