Posted on 02/04/2010 4:51:56 AM PST by grundle
The Senate health-care bill would raise effective marginal tax rates on lower and middle-income singles and families up to 41%.
The effective marginal tax rate is the answer to the question: "If I earn $1 more, how much less than $1 do I get to save or spend?" If you can keep that full dollar for your disposal, the effective marginal tax rate is zero. If earning another dollar does not raise your disposable income by even a penny, the effective marginal tax rate is 100 percent.
Consider, then, the figure below constructed for a two-earner family with two school-age children, one of whom is in college. The solid line shows the EMTR based on income tax law prior to the health-care bill (it excludes the impact of the payroll taxes). The dashed line displays the damaging increases in the EMTR assuming the health insurance premium subsidies contained in the Senate health-care bill and insurance cost estimates provided by the Kaiser Family Foundation. As a family's income rises above 133% of poverty, Medicaid eligibility will be eliminated but a family that does not receive health insurance from their employer will receive a subsidy to purchase health insurance in the "exchange." In turn, however, as their efforts yield higher income, subsidies are clawed back or effectively taxed away.
How can a family be expected to get ahead when taking an extra shift, finding a way for a second parent to work, or investing in night school courses to qualify for a raise means handing the government as much as 41% of the additional income earned?
Taxes interfere with the basic rewards for work, thrift, and saving. Excessive EMTRs damage these incentives, discourage the taxed, and threaten to rob America of a vitality that is its signature.
(Excerpt) Read more at online.wsj.com ...
And I favor removing Obama from his position of abused power one way or the other!
But he promised he wouldnt raise my taxes and the health care bill wouldn cost me an extra cent.
Yeah well I didnt vote for the SOB, I know a lie when it’s spit at me, he fooled enough people to get elected ,and now we are stuck with hime for 3 more years.
What’s with the big jump between $40K and $50K adjusted gross income...I thought the big obamaTAX was for folks over $250K...maybe I’m missing something here.
I am no math whiz but even I figured out there is no reason for hubby to work overtime anymore. Looking on the bright side, I guess my “honey doo” list will finally get some attention.
Americans have become so stupid, so blind due to the ever-growing “entitlement mentality” that they still refuse to see how the Democrats/Progressives are totally screwing them.
I just....don’t....get it.
and America takes another one in the........
There should be a law put in place that those that did not vote for him would be exempt from his laws/rule/dictatorship.
He must be using “Gore” accounting rules.
You remember, “ if you earn $250,000 for 4 years that makes you a millionaire”.......
“now we are stuck with him for 3 more years.”
Maybe!
Things will really start to change in this country once Joe and Jane Lunchpail realize that it has never been about making the ‘wealthy’ pay their fair share. The democrats goal is to go after the biggest target to bring in the maximum tax revenue, and that’s YOU, Mr & Mrs. Middle Class!
The wealthy know how to move their money and assets around to minimize their tax burdens. The majority of the middle class doesn’t, and as such is nothing more than a big, fat target of tax and spend democrats.
The rich aren’t the real targets, Joe and Jane - YOU are.
The truth is that many people who earn six figure incomes are very much in the middle class: their income is often attendant to small business ownership and in any event is currently subject to such a high level of taxation at the Federal, state, and local levels that its purchasing power is far less than commonly supposed.
Another harsh truth is that nearly 43% of American adults pay no income taxes at all, and are thus not paying their fair share. But try getting elected on that platform.
If I hear the term “middle-class” again without definition, I’m going to scream. 90% of Americans consider themselves to be “middle-class” (I am not making this up, I saw a poll the other day). What defines someone as middle-class? Is it an income range? Value of assets? Job prestige?
I believe it was started because people want the BOR's in place, and enforced. They want D.C. to LIVE WITHIN IT's MEANS.
They want the U.S. CONSTITUTION to continue to MEAN WHAT THE FOUNDERS meant for it to mean.
They want our borders protected.
Etc....etc...
FRegards,
I do not believe that Obama fooled anyone. The people who back him are willing dupes and they can lose all of their freedoms and never know what they did.
Soooooo ummmm how many times does the big O have to lie before people wake up?? Honestly I think some of his supporters would stand behind him no matter what he does..........it’s so sad.
You’re right.
The first time I remember reading about needing a new(Boston type) tea party was here at FR during debate about TARP in Oct. 08. That and subsequent actions by our government were what led to the Movement.
Why go over to the dark side like radicals do?
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