Posted on 06/12/2025 1:00:11 PM PDT by eastexsteve
WASHINGTON, D.C. – The One, Big, Beautiful Bill fulfills President Trump’s promise to seniors and provides welcome tax relief after four years of inflation robbed their retirement under President Biden. Each senior will receive an additional bonus of $4,000 to the standard deduction, putting more money in the pocket of millions of low- and middle-income seniors.
(Excerpt) Read more at waysandmeans.house.gov ...
You are correct about the car loan deduction.
lI will take it. It is a $4,000 standard deduction that I didn’t get from Biden’s IRS. I would have been thrilled just not to have my taxes raised. Instead they will be lowered. I will take it!
Thank you, President Trump.
The employee pays 100% of his social security taxes. The government hides this fact by having it appear that his employer picks up 50%. If people saw how much the government was actually stealing from them there would be massive outrage. Can’t have that now, can we?
Car loan interest is not currently deductible....only mortgage interest. The bill reinstates auto loan interest deductibility (for everyone not just seniors).
https://www.carscoops.com/2025/05/auto-loan-interest-could-soon-be-tax-deductible/
Left leaning opinion:
“When you start drawing social security they tax it again by calling your money new income”
**********
Similar to when companies pay out dividends with after-tax money the shareholders are taxed again. IOW, the money shareholders receive has already been taxed at the corporate level. Granted that dividends get favorable tax treatment but it remains that there was double taxation.
Your ROR on Social Security is a result of the design of the social security system, not a result of disparate taxation.
Blaming the tax system for an ROR the tax system has not caused, but expecting the tax system to “fix” that problem, is just looking in the wrong direction for relief.
The fact is the error in the social security system is largely water on under the bridge for contributions already paid into it.
GWBush was the only President suggesting a better alternative - letting those who are newer in the system, or not yet in the system, have their contributions paid into a truly invested private retirement account: so that over time the traditional system would die out as those already i it died, and younger workers would be building a better plan, one in which they owned the account there contributions were paid into. They’d get a better ROR.
Sorry, you’ll never get a good ROR on your social security, because it is a badly designed plan, not because of how it is or is not taxed.
Informative, educational thread. Thanks to every poster. BTTT.
In the back of my mind, I wonder if President Trump is just placating the illegals in an effort to tamp down July 14th rioters during his military parade. He never really was going after the non-criminal illegal aliens. They’d just check the status of the ones that were residing with the criminals and take them then. Now, it sounds like they won’t take the non-“criminals.” Meaning ones that don’t have a criminal record other than illegally entering. And, we have to consider, 20 million of these people were essentially escorted in by the fraudulent Biden administration.
Exactly. The employer contribution is wages not paid to employee.
I have seen employers list this money in total compensation for salaried employees.
“The employee pays 100% of his social security taxes. The government hides this fact by having it appear that his employer picks up 50%.”
Not true. The employer does pay 50%.
How you figure they do not stems from a totally inaccurate understanding of the matter.
I imagine you are trying to say the employer does not pay their half of social security, the government does, because what the employer pays in FICA taxes is a business expense tax deduction - AS IS ALL EMPLOYEE COMPENSATION.
1. Your argument would imply the employer does not actually pay the salaries or any other form of employee compensation, because the employees salaries are also a business expense tax deduction. Nonsense.
2. Business expense tax deductions, just like individual itemized deductions are NOT one for one - expense tax deduction, dollar of tax reduced. No, that’s not it. They directly reduce the taxable portion of income, not directly the amount of the tax.
I think you are confused.
> The employee pays 100% of his social security taxes. The government hides this fact by having it appear that his employer picks up 50%. <
Hmm… it’s a subtle thing. But it’s also a fair point. The employer allocates a pot of money for employees. Some of that pot goes to paying Social Security taxes, and so is not available to increase wages and benefits.
Anything short of banning Medicare Advantage plans is inadequate.
If Medicare Advantage is permitted to exist, the degree of regulation necessary to prevent wholesale theft from the taxpayers and harm to the beneficiaries will make East Germany look like an Ayn Rand dreamworld.
From what I can tell, a Medicare Advantage plan can be good if you’re on a budget AND are in good health. It’s that second condition that upsets the apple cart.
A senior can be in good health one day, and be in dire straits the next. That’s when a Medicare Advantage plan will show its fangs.
Many seniors are simply not aware of all this. And that’s because most Advantage plans are quite good at hiding the small print.
Buyer beware.
Absolutely Al Capone had far higher ethics than the govt thieves.
Absolutely Al Capone had far higher ethics than the govt thieves.
Disagree. Retirees are working people their entire lives.
But as for a flat tax, exempt just the first $x for reasonable survival purposes and yes you could certainly sell it. Including to me.
It is fine to lock in the present 2017 tax changes.
But until Congress devotes more herculean efforts to hugely reduce current spending, lower the deficit and lower the debt it is irresponsible to behave like Democrats and try to buy votes with the tax code, decreasing tax revenue when the federal government is already borrowing every day to pay for what it is spending.
Get revenue up first, spending down a whole lot, balance the budget, and ONLY THEN talk about tax gimmicks for personal gain.
Some people are as irresponsibly greedy as the members of Congress, putting personal gain above everything else.
They troll the 65-72 waters with yoga and health clubs.
But one day when you wake up on a stretcher with those incredibly bright lights in your face and the thrumming of the helicopter landing outside, don’t bother calling your Medicare Advantage plan.
This is a good thing - They can not do a NO Tax on SS in this bill because anything like that has to have a 60 percent vote passage (and it just passed the house by 1 vote) so enjoy your spam while they do one thing at a time
And property taxes continue to force people out of their homes. The greedy teacher’s unions are largely responsible for sky-high property taxes.
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