Dear John: You recently wrote about people being able to sell tickets for entertainment events they couldn’t attend.
Why can’t I sell or give my airline tickets to someone? Our kids play travel sports, which is basically keeping the Obama economy going on its own. When we make flights and hotel reservations, it is very far in advance.
It would be great to be able to change my ticket to the other spouse’s name if an emergency came up at work or one of us got sick. Or even sell my ticket on Stub Hub. But no dice.
What’s up? C.C.
Dear C.C. That is a very good question. And the only answer I can think of is because you can’t.
In the case you outline, airlines assume that they own the seat you are going to sit in, and they make the rules. They might let you switch the ticket if you beg and pay them a stiff cancellation fee. But generally you have to eat the ticket.
Worse, if you aren’t there when the flight leaves, the airline is probably going to give your seat to another paying customer. So airlines get to sell the seat twice.
That’s what entertainment and sports venues would have to achieve — the concept that they own the seat and can do anything they want if you don’t show up.
The only difference I see between your example and entertainment tickets is that airlines have to be concerned about security. But of course, airlines don’t check a passenger out until he shows up at the airport. So switching a ticket to someone else wouldn’t threaten security.
If anyone has an answer to this mystery, I’d be happy to publish it.
Dear John: Is it illegal for Warren Buffett, or any citizen, to send a check to the US Treasury after they have paid their income taxes in full? CNJ
Dear CNJ: It’s not illegal. But it is insane, especially the way Washington spends money.
Any person can give Washington a “gift”— in fact, the issue is raised on the US Treasury website: “Citizens who wish to make a general donation to the US government may send contributions to a specific account called ‘Gifts to the US.’”
In case you or anyone else wants to contribute, the address is: Gifts to the US, US Department of the Treasury, Credit Accounting Branch, 3700 East-West Highway, Room 622D, Hyattsville, Md. 20782.
This office was set up in 1843 (when things were simpler) “to accept gifts, such as bequests, from individuals wishing to express their patriotism to the US.”
Gifts can be sent by check or money order. If you have any questions about the tax implications, call the IRS at (800) 829-1040.
Dear John: I am a super senior who spent a career in some form of financing.
I have tried my best to understand what a derivative is.
Could you please explain them to me with a simple example? J.K.
Dear J.K. It’s really simple. And very complex.
On the simplest level, a derivative is a security that is derived from other things, like mortgages. Or student loans. Or peanut-brittle futures, if you want.
But it gets complex when the term comes to stand for any product that Wall Street sells that isn’t a simple stock or bond. For instance, there are derivatives that are essentially insurance on mortgage-backed securities — which, as I already said, are derivatives in their own right. AIG got in trouble insuring derivatives.
Hope that helps.
Send your questions to Dear John, The NY Post, 1211 Ave. of the Americas, NY, NY 10036, or john.crudele@nypost.com.