If you made $249,000 last year, then you probably spent this past weekend mowing your own lawn, clipping coupons and changing your car’s oil. If you made $251,000 last year, then you probably spent last weekend cruising Newport. Or perhaps you attended Wimbledon, or relaxed in your Italian villa.
According to President Barack Obama, families earning less than $250,000 are middle income Americans, while families making more than this number are “the wealthiest Americans.” Yet, despite the President’s depth and breadth of expertise in all matters concerning the economy (sic), I have a feeling that there are plenty of families living in expensive areas who would argue that a $250,000 income makes a wealthy lifestyle not only improbable, but impossible.
Look, we all know that earning $250,000 in an area where the average home price is more, well, average means living a better lifestyle. Earning $250,000 in Topeka goes a lot further when the average home costs less than $181,000. Earning $250,000 in Greenwich or Ridgefield or Trumbull – or anywhere in the New York metro area -- well, you undoubtedly know your way around the plumbing aisle at the Home Depot.
Even Congressional leaders Nancy Pelosi and Chuck Schumer argue that the tax cuts should be extended (or, dare we say, made permanent?) for families earning less than $1 million in earned income. Could it be that they understand that earning $250,000 – especially in a major metro center – in no way predicts a “wealthiest” American? To their credit, they have walked away from Obama’s seemingly arbitrary tax cut cutoff, which paints him more as a stubborn ideologue and less as a compromise-loving leader.
Our nation is lucky enough to enjoy a wide range of diverse economies. Some depend on technology or finance, while others depend on manufacturing, a local hospital, or a blend of them all. And yes, it’s true, areas that contain a large percentage of high-paying jobs tend to be located in high-cost areas. But taxing everyone the same rate without an eye on the local economy unjustly punishes some and rewards others.
One could certainly argue that a family earning more than a quarter of a million dollars in a suburban Mississippi town is probably pretty comfortable money-wise and may very well lead a luxurious lifestyle. Yet in Los Angeles -- or New York, or Washington, DC -- a two-earner $250,000 will cover your mortgage (maybe), your car payments (if you can afford a new one), your taxes (figure $13,000 at the low end), groceries (how much can a teenager eat? A lot), and maybe, just maybe, retirement contributions, travel soccer fees, a new fridge and a trip to the vet when little Rocky eats a pound of chocolate. And don’t even get me started on higher education costs.
As I stated many weeks ago, at its heart. The reason the real wealthiest Americans get a big tax break is because they’ve saved enough to take advantage of loopholes in investment income rules, such as living off tax-free income. Does anyone really think that a family making 250k per year should pay a greater percentage in income taxes than a Rockefeller-esque tycoon? Of course not. But blaming the rich for having the good sense to take advantage of our current laws ignores the real problem.
The flat tax, an idea first put forth years ago, is worth pursuing as an option. Are you loaded and you want to buy a yacht or a waterfront home in Sagaponack? Awesome. Fork it over, big spender. Are you the manager of a tire plant, your wife is a school teacher and you’re really excited about your upcoming trip to Disneyworld or the pretty new rug in the den? Cool. Pay accordingly.
It is infuriating when news reports surface that state General Electric paid zero taxes or that Warren Buffett’s secretary paid a higher rate than the Oracle himself. But remember: they are playing the game the way it’s meant to be played.
Let us remember an important lesson that Steve Jobs taught at Apple: do not be afraid to get rid of a product – in this case, the IRS – that doesn’t work right, no matter how invested we are in it. Let us not whine, but we’ve always done it this way! Let us make sure that every single American – legal, illegal, law-abiding, non-law-abiding – pays their fair share. Period.
The Obama administration is simply trying to source more money. The bush tax cuts (which were simply reversing the Clinton tax hikes) were in 2003.... in 2002 Federal income tax receipts were 1.85 trillion In 2008 with the tax cuts, federal income tax revenue was 2.5 trillion or roughly 37.5% more than the reveunue received prior to the tax cuts. Since the recession tax revenue has fallen to 2.3 trillion--but still 450 bio more than pre bush tax cuts....the problem is spending. Bush and his costly wars and expansionary government (despite the republican rhetoric) saw spending increase by 1 trillion dollars, or roughly 50%. Since obama came in, and not having "costly wars"--has increased spending by another 650 bio or 20additional % --while no 'costly wars" are being spent money on. The solution is not to tax more, and take more money out of private citizens, --it is to control spending. Simpson Bowles --commissioned by obama, set forth a reasonable approach to deficit reduction....by increasing capital gains taxes, phasing out bush tax cuts, addressing health care deductions, --and institutiing tax code reform..... lowering corporate taxes so as to be more competitive... All made sense...but it did not appeal to obama's ideologue approach to redistributive /punative methodology--and as a result, nothing moved forward. That was good policy--and obama tossed it to the side, instead focusing on villifying the rich... bad president.
Answer =lots of people? Are you angling for a particular person, or are you saying that your opinion is that not many people supported it?
But, obama saw that part of the solution was to enact medicare reform, and instead of doing what is right, saw that element as a political problem. So, he chose not to adopt the very plan he asked them to come up with. Maybe--hopefully, he decides just before election time, to push for simspon bowles -rather than focusing on student loans, and politically timed measures for hispanics.... If he wants to get this country on the riight fiscal track--before it falls off the cliff--he needs to adopt a comprehensive, balanced, bipartisan approved measure to put this country on the right track. The man is constantly attacking republicans for theiir "No" stance--but at the same time, he is proposing obviously objectionable legislation, designed simply to highlight the chasm that exists and take advantage of the bully pulpit. We elected a community organizer, and we have a community organizer. Thats what he does well---his inspirational speeches that touch audiences, and blame the upper white class--he continues to do that well. But, he is not just an advocate for various factions. He represents all Americans..and pitting one against the other is a giant disservice.....thats my opinion....
man, your bigotry has fried your brain. Do you really believe there is universal agreement on this?
can i ask you--why you stalk me at every comment? Just curious?
"Rubio To Newsmax: Obama’s New Tax Policy Will Cost Jobs" ..."Obama’s intention to raise taxes on some Americans directly contradicts what he said just a year and a half ago, when he 'thought it was a bad idea for taxes to go up on anybody.' "'He himself said when the economy’s not doing well is not the time to raise taxes on anybody. Those were his words.' “'Well, the economy’s just as bad today, if not worse. So why is it a good idea now? And the answer is because the liberal base of his party, the left-wing extremists in his party, are demanding that taxes be raised on somebody.'"... "'He believes the economy grows because of government. We believe the economy grows because of the American people and the work they do in the private sector as small businessmen and women. Someone’s going to have to decide which road we’re going to go on, and that’s what elections are about, especially the one in November.'”... http://www.newsmax.com/newswidget/rubio-america-obamacare/2012/07/10/id/444948?
So there you have it!! In his mind, an economy lagging, problems with afghanistan, iran, pakistan--mountains of debt and record deficits--municipalities going bankrupt, people out of work---and by his own evaluation, his biggest mistake was not being more inspirational. And that ladies and gentlemen, who have been told by the Democrats that Romney is out of touch--are the words of a man that says 3.5 years in office was his mistake. This from the man that we are told is smart and in touch. Sorry--but if that is what he thinks is the problem---we need someone who gets it a bit more.
People should not be allowed to vote to take away the rights of others...yet this is exactly what is happening. We are no longer in a free society. We have a populist president, who defends his power with demogoguery and populist movements--designed to maintain power (Hitler, hugo chavez) while caring little for the long term survival of America. We are losing our freedoms each and every day under Obama. as he panders to the various factions that he views as his power base-- namely non tax-payers. Its interesting to blame bush for his policies--and certainly part of it is true--but we see economic collapse in spain, greece, california, and just tonight italy was downgraded..... was bush behind all these countries? all these munipalities who spent too much? The 2006 congress --the body of government that sets the budget was democratic and in huge numbers.... if we can blame the 2011/2012 House for problems re obama---can we blame the 2006/2008 house for bush problems? Or does it only go to blame republicans in your book? Im one who always blames bush --- but why is it so hard to see that obama is inept? I know bush expanded govt--presided over an unncessary war--- but I am not so partisan as to excuse obama for the same mistakes... how can you excuse obama? he sux.
You and your holy man, the other 5 star bigot are the only type who have sunk this low. Get help, Silver Hill has openings. http://www.huffingtonpost.com/2009/08/06/limbaugh-adolf-hitler-lik_n_253412.html
Romney is our only chance of getting America back on the road to Prosperity! Obama has added 5 TRILLION $$$ to the national debt in less than 4 years!!! Also, the federal government BORROWS 40 cents of every $$ it spends, and is spending 25 % of the entire GDP!!! "Egan-Jones Ratings Co., citing 'the increasing debt load coupled with the fact that there has been no tangible progress in addressing the country’s growing debt to GDP' ratio, has again downgraded the the U.S. Credit rating from AA+ to AA. (Source- Bloomberg News) "In July 20122 the firm reduced America from AAA to AA+ in July 2011, just before Standard & Poor's did the same. Egan Jones: "Inflection point - when debt to GDP exceeds 100%, a country's financial flexibility becomes increasingly strained. For the first time since WWII, US debt exceeds 100%. From 2008 to 2010, debt rose a total of 23.6% while GDP rose a total of 1.6%. Unfortunately, with an annual federal budget deficit in the area of $1.4T, debt is likely to reach $16.7T as of the end of 2012 while assuming GDP grows 2.5%."... http://wwwwakeupamericans-spree.blogspot.com/2012/04/us-credit-rating-downgraded-again.html
I dont compare obama and hitler with respect to atrocities.... i compare him to any demogogue of which hitler was one. Anytime, where a political leader singles out a segment of society to blame for the existing woes of a country....and that segment is endemic to that country....you have demogoguery. Reagan used the soviets... (not demogoguery) hitler used jewish financiers to blame...obama blames all bankers. Please notice that movie stars use private jets...they make millions so its not being rich......its "wall street bankers flying in their private jets." Test the pulse on blogs....you arent angry at rich doctors or rich athletes or actors....youre mad at rich bankers. So...thats a scary notion...because that hatred that you feel is also what helped hitler stay in power. (And dont tell me u have a right to hate bankers...it will only prove my point and demonstrate how little you know about where are tax revenue comes from...and the fact the banks paid the money back)
Think about how you have accepted the concept ..amd begin to question why u dont hate rich union bosses
— n a person who is intolerant of any ideas other than his or her own, esp on religion, politics, or race
You suggest that if you reside in New York or Los Angeles, $250,000 is just getting by. To me, this is the most flagrant and tangible example of what it means to be completely out of touch. Median household income in New York City is $50,285. Those are the folks who are just getting by. The households making $250,000 or more are not getting by, they're getting over. There is no place in the United States where $250,000 in household income is middle class. No. Place. You think that our tax system is unfair? You betcha. It is unfair to the middle class, but that does not include you (or me). And as long as those making more than $250,000 are encouraged to continue whining about their victim status, that fundamental unfairness is not likely to change. Few things are as irritating as listening to a (fellow) member of the 1% try to deny their own status of excessive privilege.