Once the Olympic Games were long awaited opportunities for athletes from all around the world to earn international fame as well as big pay packets. Now, some of the players, like those from the US basketball team comprising of NBA stars, are already getting eight-figure salaries. Thus has led to a growing trend among the top earning athletes of Olympics to put up at five star hotels instead of staying at the Olympic village.

Among the highest earning NBA players are LeBron James and Kobe Bryant who also enjoy a rock star status back home. While Bryant brings in $17 million through his endorsement deals and an additional $136.4 million from his contract with LA Lakers, James reportedly has an annual income exceeding $38 million from various endorsements as well as league contracts. No wonder then that Bryant and James are currently the two highest earning athletes of the Olympics.

Basketball players from other countries are also raking in millions. Some of the others who are earning more than $14 million are Germany’s Dirk Nowistzki, Spain’s Gasol as well as the local Chinese star Yao Ming. Most of these big earners complain of the noise and the lack of privacy in the Olympic village and thus prefer to put up at five star hotels. Elite tennis players like Roger Federer and Maria Sharapova are also reluctant to stay at the Olympic village. Many women basketball players, runners, and triathletes from some other countries are also reported to be going for five-star accommodation in a sign of growing influence of individual sports federations.

-Kalyani Mookherji

Residents of New Jersey and New York are among the most heavily taxed citizens in the U.S, according to a report compiled by the Tax Foundation. On the other extreme are the states of Alaska and Nevada whose people have the lightest tax burden compared to other states.

The annual report has been brought out by a non-profit, Washington D.C foundation which is known for its anti-tax stance. The report found that the national average for the percentage of a citizen’s income spent on state and local taxes stood at 9.7. This is the second time in a row that New York has come in the second position while it was the top most taxed state for seven straight years, beginning in 1999.

New Jersey topped the list of the most-taxed with its residents spending 11.8 % of their income on taxes while Alaska residents had it the easiest, with just 6.4%. Other three states in the top five most-taxed list were Connecticut, Maryland and Hawaii. Besides Alaska and Nevada, residents of Wyoming, Florida, New Hampshire and South Dakota pay less than 8% of their income on taxes.

The report compiled by Tax Foundation differs from that of the U.S Census Bureau in that the former includes only those taxes paid in the tax-payers’ state.
The Bureau on the other hand counts all those taxes paid by nonresidents of the state like tourists, commuters, and traveling businessmen.

-Kalyani Mookherji

Federal authorities have ordered the bus company involved in Friday’s crash to pull out its services. The orders ban two motor coach companies and their chief, Angel De La Torre from continuing their operations. The ban comes in the wake of a bus crash which killed seventeen people at Sherman, on the Texas-Oklahoma border.

The Federal Motor Carrier Safety Administration announced that Angel Tours Inc and Iguana Busmex, both owned by Angel De La Torre have been prohibited from operating on the grounds that their unsafe vehicles pose an “imminent hazard” to the public.

The ban was issued after a bus owned by De La Torre’s company and carrying 54 pilgrims blew a tire on the northbound US 75, lost control and crashed into a guard rail. The crash left twelve dead on the spot while five others lost their lives in the hospitals. According to police estimates, 33 to 39 of the passengers including the driver have suffered mild to moderate injuries.

Federal officials claim that in June De La Torre had been warned against operating unsafe vehicles and had been ordered to shut down Angel Tours but he continued to operate it under another name, Iguana Busmex. Authorities also released the driving record of the bus driver which shows that the 52-year old Barrett Wayne Broussard had been cited by the police on three occasions since 2001.

-Kalyani Mookherji

Threats of a recession in the US have been making news for quite some time now. Newspapers and magazines keep yelling out ominous headlines and experts reel of numbers on low GDP, rising fuel prices, restricted credit and falling demand from consumers. small to medium businesses have responded to the economic situation by taking measures like limiting staff, tightening credit terms, launching new products and investing in better technology.

One of the lingering effects of the housing market crisis has been the restriction on easy availability of capital. Banks have now put in place stricter lending policies. Companies are thus being compelled to look for ways of cutting costs like relocating to a place where the rent is cheaper.

Spiraling fuel prices have hit a range of industries which depend on petrol or its derivatives. Many of these companies have responded by measures like tightening credit terms and stopping free transportation to employees. Again the crash in housing market has led to a decline in related businesses like those engaged in home decoration or furnishing. Many of these plan to weather it out by adopting measures like recycling scrap or sourcing from countries like Indonesia and Taiwan where costs are low.

Thus even as recession updates keep streaming in, America’s small businesses are not yet ready to give up. Armed with patience, creativity and some smart cash-management tips, entrepreneurs are willing to wait till the economy recovers.

-Kalyani Mookherji

Credit cards have become an indispensable part of the modern cashless economy. However, if you are without an adequate budget or woefully short of self control, plunging into a relationship with this little bit of plastic can leave you buried in an avalanche of debts.

Credit card companies sell dreams of being able to buy what you want and when you want. But there is a dark side to this pleasure of immediate gratification. Credit card bills are calculated at very high rates of compound interest, roughly around 20-25%. If you have inadequate funds in your account, not only will you be shelling out more for the actual amount of your purchase but also adding up on late payment and other such items on your credit card bill. The final amount could balloon up into an unaffordable sum, landing you in debt for a long time to come.

Again credit card companies keep varying the interest rates which can go up for reasons like late payment or balance exceeding the credit limit. If you start getting smug at having landed a card with ridiculously low rate of interest, think again; the offer is most likely for an introductory period only and the rate will probably double after the period is over.

Even though credit cards have many advantages in online shopping and booking travel, it should always be used with caution and within income limits.

-Kalyani Mookherji

The owner of Virgin Atlantic Airlines, Sir Richard Branson is set to pull out all stops in an attempt to scuttle the planned merger of British Airways and American Airlines. On Sunday, he wrote to the US presidential candidates, Barak Obama and John McCain, warning of the anti-competitive impact if the two major airlines decide to link up.

Branson pointed out in the letter that a merger between the British Airways and American Airlines would drastically restrict competition on major trans-Atlantic routes and take up almost half of all the take-off and landing slots at London’s Heathrow Airport. The lack of competition brought about by the proposed merger would eventually lead to a rise in air fares and harm the consumers in the long run.

Plans for a British Airways and American Airlines merger come in the wake of another proposed tie-up between British Airways and its Spanish rival, Iberia. A report in The Sunday Telegraph said that Virgin Atlantic is prepared to shell out $5.78 million in advertising and lobbying efforts in a bid to scuttle negotiations of a BA-AA alliance.

On the other hand, the British Airways is reported to have agreed to give up its right to hundreds of transatlantic flights if the move helps in gaining the support of US authorities for the merger. The report which appeared in the Mail in Sunday also writes that BA plans to meet officials from the US Department of Justice down the week to make its offer.

-Kalyani Mookherji

A US federal law which banned visitors with AIDS or HIV from entering the country is set to come to end. Recently President Bush signed a bill which pledges to add another $48 billion to ongoing efforts in fighting the dreaded disease. The bill also removes the bar on entry of foreigners living with AIDS.

A report in the San Antonio News Sunday said that the bill does away with the visitor clause from the U.S Immigration Law. However not all restrictions on foreigners with AIDS or HIV have been removed. The Department of Health and Human Services’ list continues to include them under “communicable diseases of public health significance.”

The bill which is an extension of the President’s Emergency Plan for AIDS Relief, commits around $48 billion to a global initiative on making life better for those living with AIDS or HIV+ status. The United States has achieved impressive goals towards this end, enabling HIV-afflicted people from around the world to have better access to health care and medical treatment. The program has brought life-saving drugs to some 1.4 million people with almost 6.6 million people receiving medical care and services. The setting up of critical prevention programs under the President’s Emergency Plan has further prevented HIV infection in an estimated 157000 infants.

-Kalyani Mookherji

For the business traveler who has to fly in and out of destinations every other day, air travel has increasingly become a source of stress and fatigue. Lost baggage, rude co-passengers and lengthy check-ins are some of the many reasons why flying does not seem to be fun any more. However, here are some ways to minimize the hassles of air travel.

Traveling light is of utmost importance. And if you can limit your luggage to hand baggage, nothing like it. However the rules governing the number and kind of hand baggage varies from one airline to another, so check with their representative early on to avoid last-minute hassles.

Long queues at airports can be bypassed with online checking which can be done up to 24 hours in advance. Some airlines may even allow you to choose a preferred seat if checking in early.

Try to fly at regional airports which are usually less crowded as compared to bigger international ones like Heathrow. Again choose off-peak days for flying, like mid-week dates. You may also travel to the airport by trains if they are dependable in order to lessen the stress caused by driving on the road.

Try to book a window seat as it offers a nicer view. And if your budget permits you can also upgrade to a higher class which will allow you more legroom.

Take advantage of executive lounges which offer less stressful environment for a small fee. And if you can afford it, stick to the more reputed airlines as they will have better passenger facilities and standards of service which in turn will raise your chances of a tension-free flight experience.

-Kalyani Mookherji