Sunday, April 6, 2008
So how much tax would it take to fix this problem? Let's say that every person in the US makes an average of twenty thousand dollars per year. That is, every person including retired people, newborn infants, everybody. This is ludicrous, of course. I would be surprised if we averaged TWO thousand a year, taken like that. But stay with me, here. Let's further suppose that we implement a tax increase, over and above what we currently pay out in taxes, so we can cover this expense; and we will spread it out evenly over the next twenty years. This tax increase will be a temporary measure only, to get us past the crisis; after which it will sunset (yeah, right). Does this sound reasonable?
OK. To do this will require that the additional tax be set at 50% of our income, if we average $20,000 per each of the 300 million people in this country. That's not 50% of our "taxable" income, nor certainly 50% of that remaining after all the other taxes are paid. That is 50% of our gross pay.
But wait. Only about half of the population is of working age. OK, then the average pay will have to be $40,000 per year, instead of $20,000. Half of the gross pay of everybody, if the average is 40 thousand.
We already pay pretty close to 50% of our gross pay, if you consider all forms of taxation, licensing, etc. Take the other 50% and what's left?
Oh, and where's the money gonna come from for that nationalized (AKA socialized) health care? Think about it.