Posted on 03/10/2014 5:30:04 PM PDT by 2ndDivisionVet
Buried deep in a section of President Obama's budget, released this week, is an eye-opening fact: This year, 70% of all the money the federal government spends will be in the form of direct payments to individuals, an all-time high.
In effect, the government has become primarily a massive money-transfer machine, taking $2.6 trillion from some and handing it back out to others. These government transfers now account for 15% of GDP, another all-time high. In 1991, direct payments accounted for less than half the budget and 10% of GDP.
What's more, the cost of these direct payments is exploding. Even after adjusting for inflation, they've shot up 29% under Obama.
ObamaCare, Medicare...
Where do these checks go? The biggest chunk, 38.6%, goes to pay health bills, either through Medicare, Medicaid or ObamaCare. A third goes out in the form of Social Security checks. Only 21% goes toward poverty programs — or "income security" as it's labeled in the budget — and a mere 5% ends up in the hands of veterans.
Interestingly, despite Obama's frequent pledges to reduce income inequality, the share of direct payments going toward "income security" has dropped from 25% in 2009 to 20% in 2014. (The average share from 1980 to 2008 was 25.4%.)
Obama's Fiscal Year 2015 budget calls for this share to drop to just 17% by 2019, as his programs devote more and more federal tax money to middle-class entitlement programs such as ObamaCare....
(Excerpt) Read more at news.investors.com ...
When it becomes 51% net receivers to 49% net payers, we will have reached the Venezuela end game.
That’s why I don’t think we can defeat the Dems in a POTUS election until the markets puke on US debt.
Crony capitalists to provide the campaign money.
Entitlement army to provide the votes.
bookmark
I can’t wait for day when the machine will sputter, grind its gears, and collapse.
Neither can I.
And time for Galt's Gulch.
That I’d where cuts should happen
And yet I hear over and over that Obama is a “failed president”, and that he “does not know what he’s doing”.
But he’s always said wealth redistribution is a goal worth striving for, and look what success he’s had!
And 0bamacare has not even gotten off the ground! Wait until then, and his Climate Change Initiative, then you’ll see some serious transfer!
Here’s something equally as disturbing. When Social Security began there were 144 employees putting money into the system for every individual receiving benefits. Today it’s one and half employees for each recipient and don’t forget the benefits per each person has increased exponentially since the system began.
Eventually all of our paychecks will go directly to the great fathers in Washington, and they will provide for all of our needs.
Do you see where this is headed?
> This year, 70% of all the money the federal government spends will be in the form of direct payments to individuals
You know what that means?!? It means the stimulus wasn’t big enough!!! /s
Thanks 2ndDivisionVet.
We are already there. The average tax payer cannot pay enough taxes to support someone who is totally dependent on government handouts.
$17T in debt and growing. The machine is dead and on life support.
Taxes are money stolen at the point of a gun. It’s just that simple.
We are reaping what Lyndon Johnson sowed.
Of course, with the bureaucrats skimming off the top and living large.
I worked at two states’ unemployment offices for over 16 years, which is now a sort of welfare bureau. Try changing their Judge Mathis or Price Is Right on the TV and see what happens. Oh, and they drive a nicer car and have better clothes than the workers.
Here’s a jaw dropper-
“... The President’s plan to eliminate the debt by 2012 remains on track. President Clinton’s budget proposes to reduce the debt held by the public by $2.9 trillion over the next decade and to eliminate it by 2012. The President’s debt reduction comes from saving the entire $2.3 trillion Social Security surplus, the entire $403 billion Medicare surplus, and $192 billion of the on-budget surplus for debt reduction.
Interest payments would be eliminated. Currently, we spend 12 cents of every Federal dollar on interest payment. These payments, which were once projected to grow to 25 percent of all federal spending in 2012, would be eliminated under the President’s plan by that time.”
http://clinton4.nara.gov/WH/new/html/Tue_Oct_3_113400_2000.html
Of course Clinton was lying, but it could have been done by an honest person. It was just a matter of following the 1983 deal Reagan worked out.
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