Comments on: Generation X and Taxes: Who Pays More, the Rich or the Poor? http://genxfinance.com/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/ Helping a unique generation achieve financial independence. Thu, 09 Feb 2012 18:21:30 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Mike http://genxfinance.com/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/comment-page-1/#comment-303042 Mike Mon, 13 Jun 2011 16:31:56 +0000 http://genxfinance.com/2008/08/26/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/#comment-303042 About 47 percent of households are owed more in federal help than they pay in federal income tax. You say that the poor "pay a higher price". Its very hard to make that case, given the fact that the "poor" dont pay taxes to begin with. About 47 percent of households are owed more in federal help than they pay in federal income tax. You say that the poor “pay a higher price”. Its very hard to make that case, given the fact that the “poor” dont pay taxes to begin with.

]]> By: Chris Doerfler http://genxfinance.com/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/comment-page-1/#comment-86163 Chris Doerfler Sun, 07 Sep 2008 13:27:43 +0000 http://genxfinance.com/2008/08/26/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/#comment-86163 Taxes are a fact... We all know the familar saying about death and taxes. What astonishes me is the number of people who whine about taxes, and are so familiar with the different taxation levels, and the difference between long term and short term, and regressive and progressive, but do not follow their own advice. Whether you have $1 million in the market or $1000 in the market, the same rules apply. Why don't people put money in the stock market? Why do people not put money in VULs? Why do people ignore taxation? You will pay more on taxes than you will on ANYTHING else in your lifetime. The best strategy for gaining wealth is managing taxes. Taxes are a fact… We all know the familar saying about death and taxes. What astonishes me is the number of people who whine about taxes, and are so familiar with the different taxation levels, and the difference between long term and short term, and regressive and progressive, but do not follow their own advice.

Whether you have $1 million in the market or $1000 in the market, the same rules apply. Why don’t people put money in the stock market? Why do people not put money in VULs? Why do people ignore taxation?

You will pay more on taxes than you will on ANYTHING else in your lifetime. The best strategy for gaining wealth is managing taxes.

]]> By: HF marlets - Online Trading http://genxfinance.com/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/comment-page-1/#comment-85407 HF marlets - Online Trading Tue, 02 Sep 2008 14:44:23 +0000 http://genxfinance.com/2008/08/26/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/#comment-85407 Taxes are always a contentious issue. I a live in Switzerland where tax is a motivation for many a clebrity to live. But the average working family here pays uch the same as anywhere else ad we have huge insurance and pension bills. A rich celebrity would pay 6 times that rental value of their property and 1% wealth tax under the forfeiture rules. This may seem outrageous but the wealthy do contribute to the economy and we have one of the healthiest in the world... Taxes are always a contentious issue. I a live in Switzerland where tax is a motivation for many a clebrity to live. But the average working family here pays uch the same as anywhere else ad we have huge insurance and pension bills. A rich celebrity would pay 6 times that rental value of their property and 1% wealth tax under the forfeiture rules.

This may seem outrageous but the wealthy do contribute to the economy and we have one of the healthiest in the world…

]]> By: Ryuko http://genxfinance.com/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/comment-page-1/#comment-85230 Ryuko Mon, 01 Sep 2008 15:01:24 +0000 http://genxfinance.com/2008/08/26/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/#comment-85230 I disagree with Drew about the flat tax - especially one as high as 17%. While it may even out the 'upper-middle class', and the 'somewhat-wealthy', the fact is that most Americans make well under $50k a year, and the extra taxes they pay at the store would seriously widen the gap between rich and poor (not to mention have a serious impact on corporate growth, thus hurting those rich who live off of dividends). Joe Citizen who makes $36k welding in Texas will have to save up 17% longer for that new TV that he's gonna need to buy before 2009, instead of buying it with his $3500 tax return (and yes, tax returns are a blessing for us lower-income families, since we get relatively big credits, not just deductions). And what about military servicemembers? Most Enlisted servicemembers with families tend to make between $35-$45k a year (mostly on the lower end), and up to half of that is non-taxable allowances (our housing, subsistence, and locational cost-of-living allowances). A flat sales tax would completely destroy the spending ability of almost every enlisted servicemember. I know the tax system is screwed up, but this is not the way to fix it. By the way, I do feel small business owners get the shaft on taxes. If any tax reform is to be done, it should be aiming at helping their situations. Small business is extremely important to our nation, and the government should be making it easier, not harder, to thusly improve our nation's economic situation. However, it is hard to feel sorry for someone complaining that, at $350k a year, they pay proportionately more tax than someone with $2mil. The tax cap has to be somewhere. I don't remember what the exact statistics were, but I believe less than 1 in 10 Americans makes $100k a year, and the number drops quickly as it gets higher, so unfortunately for your tax situation, you are in a very rare situation (but I still wish I had half that income). I do strongly agree with Jeff Perkins, however. One thing I've learned in the military is that government bodies can, in fact, balance their budget (we're forced to do it every quarter, if not more frequently!). The government should be held more responsible to how they spend our hard-earned (or even not-so-hard-earned-but-still-ours) money. Just like paying off household credit cards and learning not to eat at McD's every day, a government that pays off it's debt and works a little leaner will absolutely be able to work with less taxes. I disagree with Drew about the flat tax – especially one as high as 17%. While it may even out the ‘upper-middle class’, and the ‘somewhat-wealthy’, the fact is that most Americans make well under $50k a year, and the extra taxes they pay at the store would seriously widen the gap between rich and poor (not to mention have a serious impact on corporate growth, thus hurting those rich who live off of dividends). Joe Citizen who makes $36k welding in Texas will have to save up 17% longer for that new TV that he’s gonna need to buy before 2009, instead of buying it with his $3500 tax return (and yes, tax returns are a blessing for us lower-income families, since we get relatively big credits, not just deductions). And what about military servicemembers? Most Enlisted servicemembers with families tend to make between $35-$45k a year (mostly on the lower end), and up to half of that is non-taxable allowances (our housing, subsistence, and locational cost-of-living allowances). A flat sales tax would completely destroy the spending ability of almost every enlisted servicemember. I know the tax system is screwed up, but this is not the way to fix it.

By the way, I do feel small business owners get the shaft on taxes. If any tax reform is to be done, it should be aiming at helping their situations. Small business is extremely important to our nation, and the government should be making it easier, not harder, to thusly improve our nation’s economic situation. However, it is hard to feel sorry for someone complaining that, at $350k a year, they pay proportionately more tax than someone with $2mil. The tax cap has to be somewhere. I don’t remember what the exact statistics were, but I believe less than 1 in 10 Americans makes $100k a year, and the number drops quickly as it gets higher, so unfortunately for your tax situation, you are in a very rare situation (but I still wish I had half that income).

I do strongly agree with Jeff Perkins, however. One thing I’ve learned in the military is that government bodies can, in fact, balance their budget (we’re forced to do it every quarter, if not more frequently!). The government should be held more responsible to how they spend our hard-earned (or even not-so-hard-earned-but-still-ours) money. Just like paying off household credit cards and learning not to eat at McD’s every day, a government that pays off it’s debt and works a little leaner will absolutely be able to work with less taxes.

]]> By: Jeff Perkins http://genxfinance.com/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/comment-page-1/#comment-85164 Jeff Perkins Mon, 01 Sep 2008 02:57:08 +0000 http://genxfinance.com/2008/08/26/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/#comment-85164 Actually, what should happen is that the Government should abolish the Federal Reserve and go back to printing and regulating our own currency instead of borrowing it on interest. That way we could abolish the Federal Income Tax completely and institute a smaller corporate revenue tax instead. Actually, what should happen is that the Government should abolish the Federal Reserve and go back to printing and regulating our own currency instead of borrowing it on interest. That way we could abolish the Federal Income Tax completely and institute a smaller corporate revenue tax instead.

]]> By: anon http://genxfinance.com/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/comment-page-1/#comment-84886 anon Sat, 30 Aug 2008 04:48:59 +0000 http://genxfinance.com/2008/08/26/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/#comment-84886 Wow. That's a great nutshell description of our tax system. I may just have to find this guy's book. Wow. That’s a great nutshell description of our tax system. I may just have to find this guy’s book.

]]> By: Drew http://genxfinance.com/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/comment-page-1/#comment-84809 Drew Fri, 29 Aug 2008 15:54:40 +0000 http://genxfinance.com/2008/08/26/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/#comment-84809 Sorry ... Darn Spellchecker. I meant to say in the third paragraph "Many Countries" have implemented this. Sorry … Darn Spellchecker.

I meant to say in the third paragraph “Many Countries” have implemented this.

]]> By: Drew http://genxfinance.com/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/comment-page-1/#comment-84808 Drew Fri, 29 Aug 2008 15:51:59 +0000 http://genxfinance.com/2008/08/26/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/#comment-84808 Reading these articles almost make me feel dumber. The two sides are what miningoilgasguru said and also what Xasa said. Where you fall is basically where you fall. You either count the "more gross $ spent" or the "highest impact on family" approach on tax dollars. I personally believe in the flat tax (fair tax, whatever people call it now days). Basically sans food, normal clothing (not designer crap) and necessities, there is no tax. Then you tax other things at like 17% above that. So when you buy that new TV, you pay more, but don't have to fill out your tax forms each year, there is no tax evasion, no worries about illegal immigrants paying their taxes, etc. Yes it means that someone has to work 17% longer to buy that DVD player, but they also don't get 20% taken out of their paycheck to pay for the government. Oh well, at the end of the day we have what we have, and without someone coming forward and spearheading this new idea, people won't catch on. There are several counties that implement this, and guess what, they are no where as broke or in as much financial mess as we are. Even if we implement the flat tax on consumables, at the end of the day, the same argument exists from the first paragraph. However, when that person buys that Bentley for 100k and they pay an extra 17k in taxes, that hurts a lot. When that person buys a DVD player for 30 dollars and they pay that extra $5.10 for tax, does not hurt as much. It is one of the truly fair taxes as it does not discriminate, no preferential treatment, and no loopholes. Then you get a truly, balanced, tax. Reading these articles almost make me feel dumber. The two sides are what miningoilgasguru said and also what Xasa said. Where you fall is basically where you fall. You either count the “more gross $ spent” or the “highest impact on family” approach on tax dollars.

I personally believe in the flat tax (fair tax, whatever people call it now days). Basically sans food, normal clothing (not designer crap) and necessities, there is no tax. Then you tax other things at like 17% above that. So when you buy that new TV, you pay more, but don’t have to fill out your tax forms each year, there is no tax evasion, no worries about illegal immigrants paying their taxes, etc. Yes it means that someone has to work 17% longer to buy that DVD player, but they also don’t get 20% taken out of their paycheck to pay for the government.

Oh well, at the end of the day we have what we have, and without someone coming forward and spearheading this new idea, people won’t catch on. There are several counties that implement this, and guess what, they are no where as broke or in as much financial mess as we are.

Even if we implement the flat tax on consumables, at the end of the day, the same argument exists from the first paragraph. However, when that person buys that Bentley for 100k and they pay an extra 17k in taxes, that hurts a lot. When that person buys a DVD player for 30 dollars and they pay that extra $5.10 for tax, does not hurt as much. It is one of the truly fair taxes as it does not discriminate, no preferential treatment, and no loopholes. Then you get a truly, balanced, tax.

]]> By: Goran Web http://genxfinance.com/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/comment-page-1/#comment-84801 Goran Web Fri, 29 Aug 2008 14:12:11 +0000 http://genxfinance.com/2008/08/26/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/#comment-84801 Life is so unfair hey! Sigh... Life is so unfair hey! Sigh…

]]> By: Moghopper http://genxfinance.com/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/comment-page-1/#comment-84779 Moghopper Fri, 29 Aug 2008 01:42:14 +0000 http://genxfinance.com/2008/08/26/generation-x-and-taxes-who-pays-more-the-rich-or-the-poor/#comment-84779 >>Rich people are more likely to have higher deductions due to their corresponding larger mortgages, state income taxes, and property taxes. These large deductions significantly reduce the amount of wealthy people must pay. I see - so paying more in taxes (state/property) actually reduces your taxes. Must be that crazy new math. >>Rich people are more likely to have higher deductions due to their corresponding larger mortgages, state income taxes, and property taxes. These large deductions significantly reduce the amount of wealthy people must pay.

I see – so paying more in taxes (state/property) actually reduces your taxes. Must be that crazy new math.

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