Posted on 04/22/2023 5:16:56 AM PDT by econjack
Recently, I was on vacation in Budapest, Hungary, taking one of those bus trips of the city. Our guide was a young lady, probably mid-20's, who spoke excellent English but had always lived in Budapest. We drove by a major university and she said that a college education was free in Hungary. When we drove past a large city bus stop, she quickly pointed out that it, too, was free. Finally, we drove past a large hospital where I was told that medical care was free.
Curious, I asked her what her income tax rate was and she relied that everyone paid a 15% income tax. Indeed, she made it sound like a true fixed rate with no deductions.
I asked if there were any other taxes and she said yes, there was a Value Added Tax (VAT) on goods and services. It's much like a national sales tax. The rate is 27% on almost everything. Lower rates (18%) applied to some fresh meat and dairy products and outdoor concerts (?). So, all that "free stuff" means the gov't takes 42% of everything you earn to pay for the "free stuff". Oh, and you can't go to college at all unless you pass a qualifying exam. And, if you need a heart operation, you get in line and wait up to 18 months to have the surgery...unless you die first.
As they say, there is no such thing as a free lunch.
Agreed. There is too much of the idea that the state can take care of people in Hungary but that is true for all of Europe. Look at France, Germany and Italy all with higher tax rates - and I can tell you from personal experience, more regulation - than Hungary.
At least Hungary is trying to take care of their own people instead of flooding the country with 3rd world military age males who come from completely alien cultures and who hate the host country. Hungary has adopted pro natal policies that give significant incentives to people to have children. They’ve succeeded in raising the birth rate from 1.3 to 1.6. They still have a long way to go, but they’re at least doing something about their low birthrates. Other western countries should take note.
Nice chart. What does SSC stand for?
Never mind. I see that it means social security contributions.
The last ten years of my working life I’ve worked for myself getting contracts and 1099 statements.
I have to pay BOTH employer and employee SSC. So a real pain come tax season if I didn’t do my quarterly deductions.
I am a dual Hungarian citizen.
Taxes are high because it is the leftover of the communist era. They are trying to dial back the socialist state slowly, but it is difficult when people have been hooked on these things for 70 years.
The EU pushes more socialism, especially on Hungary.
Lastly, Hungary has nearly reversed the population decline by reducing tax rates for working parents 25% for every child they have. After 4 children, the family pays no taxes.
This has increased native birth rates past replacement rate.
Is the VAT just their sales tax? If so I’m for it, poor people gotta pay their share and if you buy something you pay tax, if you’re a saver then you don’t pay. College entrance exam is great idea too, especially if it’s free, we wouldn’t have all of these worthless leftist academics running around on the public dime
I don’t know about this chart, but I know if you make decent money in America the tax man, federal and state your gonna pay near 40% at least
I saw a video recently of someone walking around Budapest at 2:00 a.m. They felt perfectly safe doing so. The subway stations were pristine clean, no graffiti, no trash, no noise, no homeless. Ladies sitting and waiting for the subway at 2:00 a.m. Where in the US would you dare do that?
Systems like Hungary’s only work, to the extent they work, in certain types of societies. It would never work here.
One chart can’t show everything. This one shows how much is taken from an average earner.
VAT taxes make domestic manufactured goods less competitive with imports. They are evil.
Social Security Contribution. That rate is huge in European countries and as you can see propels Hungary right to the top.
some “conservatives” are just “economomic” conservatives. They think flooding countries with millions of alien immigrants is great b/c they can get their lawn mowed for cheap. These people are sick neoCON scum who destroy nations and who destroy Christendom, and they’re doing it for the almighty dollar.
But if only they had african and muslim “refugees” hanging out in public areas then they would be “enriched” by diversity, which as MORON Dan Quayle said, was america’s ‘greatest strength’.
Back in the day when it mattered, discrimination was our strength.
Once that was neutered, Katy bar the door, anything goes.
...and so it is.
I don't think that many Americans praising Europe's "free" university system realize that only about 5% of the population passes those exams. When I lived in Germany, only about 50% of the graduating classes from Gymnasia passed their Abitur college entrance exam.
In fact the cut starts earlier at around 14 or 15, where you take a big exam exiting primary school. Fail to score high enough and it's off to trade school for you.
And there's no second chance: you don't get to sign up for the Abitur later on because you've changed your mind, although I think the Gymnasia grads are allowed three attempts. That's new, I believe. My landlady said her exams were spread over three days, during which she would complete a section and go to the restroom to vomit from the stress. For three days.
In a previous life I spent almost a year living and working in Hungary. My wife and I returned to visit last year. People are friendly (it’s not overrun with migrants like other parts of the EU) the food/wine are amazing, and the countryside is beautiful.
A place where you can go out for a Subway sandwich at 3am and not be beaten by two Nigerian MAGA supporters...
Cheers!
“Actually I support this. (passing a qualifying exam for college)”
I’m fine with that too. The part I’m not too hot on is waiting 18 months for heart surgery.
“VAT taxes are evil”
I think every tax ever mentioned is considered evil on this forum. Are there any taxes you’re ok with?
“In countries with a high degree of social homogeneity, and a high level of social responsibility, like Switzerland or Hungary, socialism works a lot better than in the United States where social differences are enormous and no genuine sense of community is achievable.”
Agree, when you have mixed cultures, there simply is NO WAY to prevent one or more of them from ‘gaming’ the system. In a country like Japan, if you don’t work you and your family are looked down upon in shame - in Germany, a Muslim not working is considered a cultural HERO in his community at least.
You used to be able to do that 70 years ago, even in NYC. Now, marauding gangs of teens terrorize areas that used to be safe. I just saw a poster that says police aren’t responsible for teen gangs, bad parenting is. I agree.
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