Federal Budget vs. Household Budget: How Do They Compare? (Dave Ramsey)

Dave Ramsey Web Site ^ | 28 Apr 2011 | Dave Ramsey

[DeoVindiceSicSemperTyrannis]

Biting the bullet - cutting expenses.
I HOPE YOU WILL PARTICIPATE AND DO YOUR PART

The President ordered the cabinet to cut $100 million from the $3.5 trillion federal budget.

I'm so impressed by this sacrifice that I have decided to do the same thing with my personal budget. I spend about $2000 a month on groceries, household expenses, medicine, utilities, etc, but it's time to get out the budget cutting axe, go through my expenses, and cut back.

I'm going to cut my spending at exactly the same ratio, 1/35,000 of my total budget. After doing the math, it looks like instead of spending $2000 a month; I'm going to have to cut that number by six cents. Yes, I'm going to have to get by with $1999.94, but that's what sacrifice is all about. I'll just have to do without some things, that are, frankly, luxuries.

(Did the president actually think no one would do the math?)
STUPID IS AS STUPID DOES!!

A REALTaxpayer

[SMARTY]

Yup, wait until you can AFFORD something BEFORE you buy it.

[CSM]

Good one.

[jafojeffsurf]

Don’t get me wrong you are right the democratic’s do not understand the basic math and principles of finance, you know don’t spend more than you have... but the problem is fair bigger. Many others (GOP, Independents) also do not understand these principles and are unwilling to face the music until it is to late.
Never the less as Herman Cain just said this weekend, Either get on the wagon or get out of the way!

[sickoflibs]

RE :” The politicians, the juveniles, are the electorates’ little love bundle, whining and moaning for more money, and momma electorate, incapable of reality also, is gratuitously complicit. ”

Why would the electorate seriously oppose spending when it regularly comes with a tax cut on themselves, even if they pay no Federal income tax to begin with? (2008 and 2009) If highly visible taxes automatically went up on most voters with spending increases, you bet it would be different. That's why Obama wants hidden taxes on the middles calss, and visible tax increases on 'the rich'.

In your analogy Mommy electorate buys herself something everytime she agrees to buy Junior a new toy, so why should she care?

How's this for something those running for office will never say :” You are not paying your ‘fair share’ for the Federal spending you support if you are paying nothing (No taxes at all) towards it ” ?

[sickoflibs]

New tagline

[scooby321]

The Government can increase revenues by selling oil and mineral lease and collecting royalties on that is gotten from the leases.

I assume China will do that

[ridesthemiles]

There are a number of things I would like to “amputate’ in Washington DC.

My list would get me a long time out from Mr Robinson, I fear.

[sickoflibs]

RE :"The Government can increase revenues by selling oil and mineral lease and collecting royalties on that is gotten from the leases. I assume China will do that "

Great, more $$$$ that politicians can promise to spend on voters who pay no taxes, we got an BIG election coming up too next year. That means lots of big $$$ promises, err investments, and more tax cuts to ice the (spending) cake. Life is GOOD ! :)

[CSM]

“The Government can increase revenues by selling oil and mineral lease and collecting royalties on that is gotten from the leases.”

I like this better than just a “tax on the rich” mantra, however it still looks to me like an increase in costs that will be passed along to the consumer.

[DeoVindiceSicSemperTyrannis]

I stole it from LUV W. :-)

[Let_It_Be_So]

My take is this. If I did not have enough income to provide for my family, I would increase my income...The government should increase it’s income.

 

Over $4T per year is not enough income???  No, the government has enough income..more than enough.

 

A better analogy would be a family budget where the spendable income is $5,000 per month.  The father makes the bonehead decision to buy a new $45K automobile "on credit" even though the monthly payment "busts" the budget, creating a huge deficit. 

 

The father (Timothy) tells his wife (Miss House) that they must acquire a new credit card or two (others are already maxed out) and pay some of their normal expenses (eg food) with a credit card so that he would have enough money to make his new car payment. 

 

She objects, rightfully so, and he says "well, okay now, if you won't let me do this then we'll have to go hungry and stop clothing the kids because we don't have enough money to pay for all our expenses.  Either that, or you'll have to take on a 3rd job to pay for my new car!"  

 

She should say: "False choice, hubby.  Timothy, we will NOT take on more debt and I will NOT work anymore than the 80 hours/week I already work.  Here's what we are going to do: Return that car and we may buy one later when we've drastically reduced our family debt load, I can give up my 2nd job, and we can actually afford it! 

 

Period.  End of story!!!"

[upchuck]

The government should increase it’s income.

Assuming your reply was not sarcasm, how, besides raising taxes, does the government increase its income?

[ex-snook]

“The government should increase it’s income.”

---

What do you propose as a means to increase revenue?

---

Good question. 1] put a tariff on goods made by American firms in other countries. 2] charge the countries we are providing protection with our military, including our Navy protecting oil routes. 3] oil was supposed to pay for the Iraq war, let’s start collecting 4] don’t give foreign aid, make it a loan to be paid back. That’s a start.

[ex-snook]

see reply 34

[stephenjohnbanker]

” (If you pay zero Federal income taxes, don’t say you are paying your ‘fair share’) “

Exactly.

[sickoflibs]

Don't miss my President 'give-m-hell' Trump imitation on the other thread:Trump President parody at #477