Yup, if you consider Social Security “taxes,” (and you should, it all goes into the General Fund) the middle-class (as in wages between $37,451 and $118,599) pays between 40-43% of their wages as tax…higher than the fattest of the fat cats!
Note that the “working man” is scandalously forced to prop up bad government debt with his retirement. (The rich, it seems, are too smart for that.) If XOM tried to run their retirement this way, they’d be locked up, no joke! And the [rolls eyes] “Party of the Workingman” is the one most defending the status quo…
EDIT: meant to say “marginal rate,” not total averages. Still, the marginal rate us what determines decisions like the utility of continuing to work, etc.
I remember back in McGovern’s day, he proposed a negative income tax for people not making enough to even out the income distribution. Many of us young South Dakotans back in 68 thought that was a grand and fair thing to do. Years later ole George lamented that some of the anti-business things he supported were very bad for business and after his own business went bankrupt he had a clearer understanding of what it took to make a profit. Somehow though while the rest of us were sleeping, the earned income credit did the same thing McGovern proposed-just a different name
We fall for the divisive rhetoric of the privileged 1% while never looking at the 40% that now contribute no income tax to help run the country. Not saying that they shouldn’t pay the same as everyone else but its just so easy to be jealous of people who have clawed their way to a higher income. A recent news article talked about how often people move in and out of that 1% club as their incomes rise and fall. Its not just a static group to hate. But clearly the politics of the last 7 years has been to pit one group against the other and when everyone hates everyone else, its easy to dupe people. Pick a group and see if they aren’t pitted against another group. Rich/poor, young/old, rural/city, red state/blue state, male/female, gay/straight, black/white, socialist/capitalist, gun owners/non-gun owners, union member/non-union. We should be ashamed of ourselves.
Karl Marx had a great deal of financial and social unrest to work with @CSA. He didn’t dream up starving masses. And neither did Robespierre. If only Louis XIV and Nicholas II had paid attention to the Roman aristocracy’s success in using religion, bread and circus to keep the poor from rebelling they might have lived to enjoy their old age. But successful political leaders around the world take advantage of that policy to this , of course the circus is now seen on a digital screen.
I’ve told my friends “bread and circuses” is really “football and fireworks” in my town. As long as the Steelers make the playoffs, and there’s a couple of kick-butt pyrotechnic displays a year…everything else seems to be forgiven.
Keep in mind if you think the rich are getting out of paying their “fair share” in taxes… The 1% ers pay 38% of all federal taxes. If you look to the top 5%, the total is 59%, for 2013. That’s right, only 5% pay more than half the federal taxes collected. Taken a bit further, the top 25% pay 86%. The bottom wage earners get a tax refund despite not paying any federal taxes at all throughout the year. Yes, they pay SS and Medicare taxes but no income tax. This refund is the earned income credit, a negative tax rate. So what really is “fair” ?.
Most revolutions have been about unfair distribution of wealth. Singapore is a very undemocratic state, but because of the high living standard and social services no one thinks about a revolution.
I agree with Sanders that income distribution in the US has taken a turn for the worse, and the big financial meltdown was caused by financial institutions.
A country as rich as the US should have universal free health care and free education for those capable of learning. That’s different from state colleges and universities making saw filing and basket weaving into “academic” courses.
Great democracies all pay for or subsidize these services. Socialist countries, on the other hand, want equality at the finish line as well, and that’s where I get off the bus. It does not mean I don’t believe in welfare for those who need it.
To keep this on a car focus, since there are many who cannot drive for various reasons, access to good public transportation should be considered a citizen’s right.
Imposing a carbon tax makes sense; many countries did this before the words “environment” or “climate change” were even coined. Gasoline prices in Europe and Japan have been well over twice those in the US since the end of WW II. Because oil was so cheap, heavy fuel taxes were needed to insure roads could be built and the total transportation system could be maintained.
Eisenhower initiated the Interstate system with a 4 cents per gallon fuel tax. Sadly not enough fuel taxes are now collected to maintaining this great system properly.
Somewhere behind the smoke and mirrors the truth is hidden @Mustangman and I believe you might want to take a deep breath and rush in for a closer look. Wealthy people don’t calculate their taxes on the same schedule as working people. I recall Mr Romney being forced to disclose his financial situation
I paid a higher rate than him, nearly triple in fact, for more than 30 years and never hit 6 digits.
And if you look at your source for the top 10% paying 38% of the taxes you’ll find that Social Security is conveniently left out of the figure. Recalulate with FICA included.
@Docnick
"A country as rich as the US…" Rich? This country is beyond broke! When the country does take a dollar from its citizens it spends 2 dollars. Once the debt is paid up and the deficit eliminated then…
…Oh, never mind because that’s not going to happen, ever.
Besides, what ever happened to the idea that one takes personal responsibility for oneself? I already have been paying for everything my family needs, including health insurance and education, but also subsidizing food and education for those receiving benefits from our “Rich” country.
You were joking, right? If not, are you sending in extra money with your taxes? The Treasury will take it. Anybody who feels they owe more to others should step up and send it in, but don’t expect others to want to do so. CSA
@Docnick
"Imposing a carbon tax makes sense…"
Here again, if it makes sense to you then figure what you think you owe and send it in! Send it. You don’t even have to mention it to anybody. Others of us figure enough tax revenue is being collected, already. It’s just being squandered. Cut the waste and use what’s there. CSA
If both parties were forced to own up to all the chicanery and subterfuge that they have dumped on US for several decades very few incumbents would even attempt re-election. But the parties will continue to pull off all their schemes and scams and the hard working people that are called “middle class” will keep getting stuck paying all the bills.
No doubt @Docnick, the politicians who run the country and spend our money learn to play the shell games with taxes and spending to paint themselves in a good light to ensure re-election. They play into the fears and prejudices of their constituents and become wealthy while in office and even wealthier when they get out and become lobbyists. The previous governor of my state was a world class con artist whose lobbying firm is a money machine today. As governor he wore the conservative hat and waved the conservative flag but refused to restrict illegal aliens and spent federal subsidies from Blue states to cover 40% of his budgets. The conservative politicians in this state are all about pomp and circumstance and spending federal dollars like monopoly money and the voters here love them.
@barkydog A mileage tax makes good sense, provided there is a foolproof way of collecting it.
Most countries that have no oil or a car industry have a 1) horsepower tax/gas guzzler tax, or 2) vehicle weight tax, 3) hefty gasoline tax. Countries such as Denmark have to do this to keep cars from wrecking the economy.
In Holland, for instance any car buyer’s guide has all these spelled out so when you buy a Range Rover or a Jeep Grand Cherokee ($70,000+), you know what you are in for. In France a large V8 powered vehicle has a $1500 ANNUAL plate fee, while a small 4 cylinder Renault would only incur a $65 annual fee.
In Germany, it’s pretty much the same thing @Docnick described
For the most part, people buy the car they actually need and can afford to operate, versus buying the car they merely want and can’t really afford to operate
In other words, “soccer moms” drive economical minivans, versus a Ford Expedition with a V10 under the hood
I’m talking about your average non-Billionaire citizen, by the way
Obviously, if you’re the ceo of a large corporation, you can afford to drive whatever you want
I do believe that we already highly subsidize our state colleges and universities. It costs a lot more than what the tuition is. But no, they aren’t free. You don’t take a state controlled test in high school to determine what your path in life is either. Its up to the individual. On the other hand, student loans should have very very low interest (1-2%), deductible off income, and so on, but not free.
