Government

Who pays taxes, who benefits … in one picture 🤑

By far most federal spending goes to social and entitlement programs aimed at the middle class and below. By far the upper middle class and above pay the most in taxes both as an effective tax rate and in total dollars.

We have additional spending needs with different priorities depending on who you listen to. 🤑 manage the deficit and debt 🤑 make major programs like Social Security, Medicare and Medicaid solvent and sustainable 🤑 expand social programs

So, where should all they money come from? I know, the other guy🤓

Advertisements

5 replies »

  1. The question is… do you want a nation ruled by rich oligarchs who control not just most of the wealth and major corporations but also control most of the politicians and can get whatever laws passed they want [like the current tax bill that favors the ultra-rich and large corporations] ??

    That has also been the fate of post-USSR Russia. Communist commissars became Capitalist oligarchs. That elite oligarch minority [many of whom are not ethnic Russian] bought up denationalized state assets pennies on the dollar and became rich while the average ethnic Russian starved. No wonder so many US politicians are in bed with rich Russian oligarchs.

    .

    Like

    • The estate tax has been in place for 100 years and it’s purpose was to stop that possibility. Did it work? A nation that becomes so ruled is the responsibility of the people. Who elects and re-elects our representatives? Who allows them to remain in office for decades? Who doesn’t demand term limits? Money doesn’t buy power unless we allow it to happen.

      Like

  2. I think you are mixing apples and oranges when it comes to the “How much do Americans pay in taxes” graphic. Yes, our tax system is progressive but on the revenue side, you only refer to Federal income taxes but on the spending side you include social security and Medicare. To get a more accurate picture, you need to include social security and Medicare in ALL TAXES. If you look at effective tax rates including social security and Medicare, I think the picture changes dramatically.

    Like

    • It changes, but not dramatically. The system is still progressive. Medicare is paid on all payroll earnings. Plus Social Security benefits are skewed toward lower income. Keep in mind too that small business owners and single proprietors who may be higher income pay double SS taxes. And higher income who pay more Medicare taxes pay considerably more in Part B premiums as well. Finally, payroll taxes are not sole financing vehicles for SS or Medicare. The taxes on SS income pay for both SS and Medicare and the interest paid to SS Trust also comes from general revenue.

      Like

  3. Just a little perspective of what you would have made in 2013 at the various income levels.

    2013 US INCOME PERCENTILE*

    20% $21,000.00
    40% $41,035.00
    60% $67,200.00
    80% $110,232.00
    95% $205,128.00

    Mean income was $51,939 so over 50% of the people paid less than 17.4% of their income as taxes.*

    The bottom 79% of the people only paid 35.3% of ALL taxes collected, 80% to 99% wage earners paid 40.7% of all taxes collected, and the top 1% paid 24% of all taxes collected.**

    In English, 20% of the US taxpayers paid 64.7% of the taxes in 2013.

    * US Census Bureau
    **Citizens for Tax Justice

    Like

What's your opinion on this post? Readers would like your point of view.

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s