Budget talks: This is getting nasty

I doubt I am but then again, they all have pretty good accountants. I do my taxes myself. Personal protest against having a tax system that requires people to get an accountant. I do long form, too. And I usually have to have a Schedule A, D, etc.

 

No magic. We should all get to keep more of our money.

And then we can choose to spend it as we see fit.

A social safety net, to take care of people who can't take care of themselves is a worthy and proper system.

What we have no goes far, far beyond that. It's unnecessary.

And, the more we remove monetary reward from our system, and the more we tax success, the less people will seek to do big, great things. They will not strive to achieve. They will not take risks.

Our country was built on these things, and we risk its future when we alter it.

 

I know you're familiar with the quote because I remember you referencing it.

The idea that we should subsidize people to pursue such things blows my mind.

I want to play CF for the New York Yankees. Why won't someone pay my bills so I can pursue this dream?

 

Well now, here I agree with you.

It shouldn't be this complicated.

There should be a law forcing House & Senate members to do their own taxes.

 

Keep up with my posts bitches, I'm on a roll!

 

Mrs. SockPuppet and I make about $150,000 a year. We have a modest 3-bedroom home that we have yet to pay off. Our health insurance is through the wife's employer and costs us $650 a month and with deductibles and co-pays we spend about $15,000 a year on health care. We pay about $25,000 in taxes (I'm a contract worker so we have to pay in to IRS and SS.) We have 2 car payments and a son who is a junior in private high school (we're not snobs; we value good education and the public schools here suck.)

We're more fortunate and doing better than most but we're not exactly living a life of luxury. Nearly 1/4 of our salary goes to IRS and health care. If we had 2 kids, as silly as it sounds, we'd really be scraping. I'm all for paying a fair share and I think we do. And today our stock portfolio went kablooey.

Don't know about people making $250,000 or more but I'm pretty certain that people making $1 million or more figure some scheme so they don't have to pay 25 percent on taxes.

 

I drive an 11 year old Oldsmobile Alero. It's a piece of shit, but I haven't had a car payment in 6 years.

I also haven't more than a long weekend away in 6 years.

I'm 42 years old, and I finally have some money saved up again.

I also have three employees and have hired two of them in just the last couple of months.

Shall I just put my head on the chopping block now?

 

Then why did anyone take a risk or found a company when the top marginal tax rate was 91%?

 

AZ, we all know the tax code was much different then.

To compare that rate to today's rates without any context is disingenuous.

 

You keep saying taxation stifles innovation. Does it really?

 

I believe the chance for spectacular wealth encourages innovation.

Remember the fuss about Paul Allen's book? Bill Gates talked about becoming rich as a 13-year-old.

If taxes swallow up too much wealth, they alter the risk/reward equation.

Maybe Gates doesn't drop out of college if he doesn't think it's worth it.

But, it's crucial for us that the next Microsoft be an American company. It's crucial that the next big prescription drug be invented here.

And wealth -- the possibility of fantastic wealth -- is what drives innovation and risk.

 

It's really pretty easy and not a scheme. Everything is done within the tax code.
In short version set up a corporation, draw the maximum social security income ( 2011 $106,800) Take balance in dividend income, set up some kind of defined benefit retirement plan where you can put away $195,000 a year, have your company buy your car.