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[OM] Re: [OT] US taxes, was: [ot] alternative fuels

Subject: [OM] Re: [OT] US taxes, was: [ot] alternative fuels
From: Jan Steinman <Jan@xxxxxxxxxxxxxx>
Date: Thu, 12 Apr 2007 23:31:51 -0700
> From: Chuck Norcutt <chucknorcutt@xxxxxxxxxxxxxxxx>
>
> The social security tax is a
> fixed 12.4% of all income up to $97,500 (this year).

Thanks for the correction. I just wrote that I thought the ceiling  
was ~$80,000. Shows how long it's been since this had an impact on  
me... :-)

The point is it's a regressive tax -- once you pass $97,500 (about  
$30,000 more for the Medicare portion), you're out of this tax, scott  
free.

US taxes are heavily weighted toward the middle class, taking a big  
cut (as you can see) at ~$100,000. Plus those who make lots more can  
afford accountants and lawyers who can get them out of even more taxes.

Some argue that the Social Security portion isn't really a tax; it's  
enforced savings. But it is running a serious deficit, and is  
currently sufficient only for paying current Social Security  
payments. When the baby boomers start retiring Real Soon Now, there  
won't be enough Social Security to go around.


:::: The record is clear that left to their own devices, the  
automobile manufacturers lack the wisdom or the will or both to  
switch decisively to the production of inexpensive, compact, energy- 
saving cars appropriate to our present needs. -- Donald E. Weeden,  
1975 ::::
:::: Jan Steinman http://www.VeggieVanGogh.com ::::



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