Do you think someone making $50K/yr would be making a mortgage payment of $1250.00/mo interest + Principle +
taxes would make that person’s
house payment close to $3,000.00/mo. ?
Their house payment would be around $ 36,000.00/yr/
That would leave them a little over $1,000/mo to live off including groceries and utilities.
The $18,000 I have for mortgage payments ASSUMES they pay $1500/month in interest.
But if you DROP that figure, their total TAXES OWED goes UP, which means more taxes paid.
But all this is moot if our understanding is each individual gets a deduction of $12,500. If this is the case, the family of 4 that makes $50,000 PAY NOTHING.
In fact, with this Perry Plan, people making up to $70,000 potentially will pay NOTHING in taxes depending on their mortgage, dividends and charitable deductions.
And the more kids you have, the more likely you are to pay NOTHING.
The Perry plan also seems to encourage INVESTMENTS and SAVINGS because of the dividend deductions.