Okay so I’ve been lazy and not feeling like writing about Obama and McCain’s tax plans. But as most readers know I’m in full support of higher taxes for those above $250k income. Heck even if it lands a good portion of my family in that category now, they are still supporting it. And I’ve had people argue that it’s bad. That it unfairly taxes the Rich.
Well Bob the Banker decided to tell us what he will owe for making $280k running his own bank in Akron, OH. I am guessing this is just for fun. But under McCain his tax bill will be $48,254. Pretty tough. How much will Obama raise his taxes? It will be $48,511 or $257 more.
Geez looks like people making more than $250k will not be paying that much more. And it’s pretty ridiculous to be complaining (yes I know the letter is satire, I found it personally hilarious), when they are paying about what the average person makes in year! Yikes!
I am also not making $250k so I will get a tax break under Obama. By the way if I am fortunate enough to make $250k, I certainly am not going to be complaining about taxes. Rather even if I keep 60% on the dollar I’ll be happy with the extra $60k in my pocket. But maybe I’m weird that I like making more money, whether it’s $60k or $65k it’s not a huge deal.
7 responses so far ↓
1 fengshui // Oct 21, 2008 at 6:01 pm
I presume that people just don’t understand that the increase in taxes would be minimal (How much will Obama raise his taxes? It will be $48,511 or $257 more). An extra $257 will NOT break anyone’s budget….. I mean, c’mon. I think that people will think that it will be thousands more…..
2 Jim ~ mydebtblog.com // Oct 22, 2008 at 10:45 am
I don’t think there will be any tax cuts from Obama. If there is going to be a Democratic run government, I can see a tax increase coming for everyone. There’s no money to spend on the programs he has proposed without it. If that’s what the people want, they might just get it. Right now we’re being told that $250k and under will get a tax cut, but watch out if you make over that. I remember when Bill Clinton promised tax cuts too.
I’m not sure who Bob the banker is but if you take 280k and subtract 280k, that means 30k now falls in a 39% tax bracket, which would be 11.7k. To be fair, McCain’s plan would still tax it at a regular 35% which is 10.5k. So there is a $1.2k difference on a relatively small scale. How much more taxes do people pay if they make beyond that? Sure they still get to keep some of what they make if they earn more, but nobody likes paying taxes.
I guess this election will be about balancing out welfare. Our tax dollars get thrown at failed banks, so now the tax dollars will go to government run programs instead. The problem I have is none of this will help the economy. If you hide the problem long enough, it never went away. Either way I’m going to keep doing what I’m doing because that’s what works for me.
3 LAL // Oct 22, 2008 at 4:01 pm
Jim, why don’t you read the article and see why there is only a $257 difference? I am sure it’s likely because the gross is $280k - deductions $50k = $230k taxable income. And the increased level of taxes is $257 difference.
I think that tax cuts for the middle class will happen. It’s not as much as you think. And don’t forget that McCain wants to give tax breaks to everyone with kids by doubling the child tax credit.
So basically you and I would be screwed.
4 fengshui // Oct 22, 2008 at 10:24 pm
“If there is going to be a Democratic run government, I can see a tax increase coming for everyone. There’s no money to spend on the programs he has proposed without it. ”
Perhaps if Obama didn’t have to come into the presidency with such a huge defecit created by REPUBLICANS, then taxes wouldn’t be raised….
5 LivingAlmostLarge // Oct 22, 2008 at 10:29 pm
Correct, Clinton left a balanced budget with a surplus. Second, he left a debt of $5 trillion which went up but wasn’t going up like it did for Bush 2. It’s doubled in the 8 years of the 2nd Bush, which is anti-republican values.
6 Kristy // Oct 23, 2008 at 9:21 am
Where’s the article? Is there a link?
7 LivingAlmostLarge // Oct 23, 2008 at 9:28 am
Sorry, it’s up not. Yikes, thought I put it in!
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