Welfare State: Handouts Make Up One-Third of U.S. Wages

[Zero Sum 305]

It's always been the case.

100 years ago, 50 years ago, 20 years ago, 10 years ago, a year ago.

Exactly. It puts things into perspective for those whining about the ultra rich continuing to be ultra rich, while contributing to keep the nation in the modern era.

[JohnSmith2007 353]

Lets end the Bush Tax Cuts across the board. That would be a good starting point.

You need to stop calling them the "Bush" tax cuts. Those cuts expired and Obama reinstated them. They are now the Obama tax cuts.

[Zero Sum 305]

Somewhere a faucet that was open got left that way. Ignore the fact that as the adult that went to close it got detained by a pouting toddler at the kitchen door. Maybe next time, the adult will just do what adults have to do.

[mawilson 2,133]

We already pay 60% or so, if all taxes are taken into account, no?

The effective rate is lower than that, but if you happen to be in the upper brackets in NYC, you pay

Federal income tax: 35%

Medicare tax: 1.45% (2.9% if self-employed)

NY State tax: 6.85%

NY City tax: 3.876%

Total: 47.176% (48.626% if self-employed).

I purposely excluded the Social Security tax because it maxes out at $106k.

We haven't crossed the line where the government takes more than 1/2 of your income yet, but we're getting there.

[Zero Sum 305]

The effective rate is lower than that, but if you happen to be in the upper brackets in NYC, you pay

Federal income tax: 35%

Medicare tax: 1.45% (2.9% if self-employed)

NY State tax: 6.85%

NY City tax: 3.876%

Total: 47.176% (48.626% if self-employed).

I purposely excluded the Social Security tax because it maxes out at $106k.

We haven't crossed the line where the government takes more than 1/2 of your income yet, but we're getting there.

This government action against the rich must stop. Eventually they won't be ultra ultra ultra rich and just be ultra ultra +1/2 rich.

[mawilson 2,133]

This government action against the rich must stop. Eventually they won't be ultra ultra ultra rich and just be ultra ultra +1/2 rich.

What about the poor sods in the tri-state area making $200-300k per year who are lumped into the same category as millionaires and billionaires?

[Zero Sum 305]

What about the poor sods in the tri-state area making $200-300k per year who are lumped into the same category as millionaires and billionaires?

Definitely can be adjusted for cost of living; but I'd avoid the hyperbole in calling them 'poor.'

[mawilson 2,133]

Definitely can be adjusted for cost of living; but I'd avoid the hyperbole in calling them 'poor.'

A decent 2 bedroom apartment in NYC rents for $4-5k per month.

Parking: another $500 per month

Bills: another $500 (cell phone $100, electric+gas $200, cable+internet $200)

Edited March 10, 2011 by mawilson

[I AM NOT THAT GUY 5,715]

California:

Federal income tax: 35%

Medicare tax: 1.45% (2.9% if self-employed)

State income tax: 10.3%

[Zero Sum 305]

A decent 2 bedroom apartment in NYC rents for $4-5k per month.

Parking: another $500 per month

Bills: another $500 (cell phone $100, electric+gas $200, cable+internet $200)

I believe NYC and tri-state area are different in what's available and what constitutes 'decent.' All of your 'examples' are matters of choice.

Nevertheless, people that don't make $200-$300K per year, making much less, apparently find comfort in the city without going on food stamps or other signs that they are 'bottom feeders' as I've read here. They must me either selling drugs or laundering cash for the unions.

[rika60607 215]

Do not forget to add to this property taxes, which in effect you pay regardless if you rent or own.

I think it is over 50% already.

[Gary and Alla 3,694]

FAIR TAX is the answer. Eliminate all income tax, SS tax, Medicare tax. Gone. Replace it with consumption tax paid by ALL people on everything they buy. You keep ALL the money you earn and pay tax ONLY when you spend money. Each PERSON regardless of income, gets a rebate equal to the tax on basic necessities.

Poor people would pay little if any tax. Rich people would pay more, ultra rich even more. Everyone pays, even people who work for cash illegally. Even tourists. It is NOT a "value added Tax" nor is it a "tax cut", it is a system designed to replace the existing system. No tax returns, no filing, no tax loopholes, no withholding, no deductions, etc. You make $10 per hour, you work 40 hours, your take home pay is $400. If you save your money, their is no tax. If you spend it you pay tax. The more you spend the more you pay.

[Gary and Alla 3,694]

Do not forget to add to this property taxes, which in effect you pay regardless if you rent or own.

I think it is over 50% already.

Add excise tax, gasoline tax, tax on cigarettes, alcohol, restaurant tax, cell phone tax, cable TV tax, hotel tax, tolls, parking meters, government fees, fishing licenses, hunting licenses, etc. It is well over 50%

we support our families, basically on HALF what we make. With a 10% unemployment rate, 90% of the population is paying more than HALF what they make to the government and it is not enough?

[JohnSmith2007 353]

FAIR TAX is the answer. Eliminate all income tax, SS tax, Medicare tax. Gone. Replace it with consumption tax paid by ALL people on everything they buy. You keep ALL the money you earn and pay tax ONLY when you spend money. Each PERSON regardless of income, gets a rebate equal to the tax on basic necessities.

Poor people would pay little if any tax. Rich people would pay more, ultra rich even more. Everyone pays, even people who work for cash illegally. Even tourists. It is NOT a "value added Tax" nor is it a "tax cut", it is a system designed to replace the existing system. No tax returns, no filing, no tax loopholes, no withholding, no deductions, etc. You make $10 per hour, you work 40 hours, your take home pay is $400. If you save your money, their is no tax. If you spend it you pay tax. The more you spend the more you pay.

But..but..but..... How will we do our social engineering and wealth redistribution??? We must find ways of taking from those that earn money and giving it to those that don't.

[rika60607 215]

It is perfectly sufficient to take money from those who have and spend money, rather than from those who earn money. It is much better, in fact. The only problem is, then people might start importing things instead of buying in the US.

But..but..but..... How will we do our social engineering and wealth redistribution??? We must find ways of taking from those that earn money and giving it to those that don't.