Let's say for example that you have 100 individuals that make exactly $1 million per year. As of this year, people who make $1 million are taxed, on average at 32.3% with a marginal tax rate of 35%. That equates to $322,694 for each individual and $32,269,400 for all 100.
Now, let's assume we are comparing these 100 millionaires to individuals who are classified as the "middle class". How many people would it take to accumulate that much in taxes if each middle class individual in this scenario made $50,000 per year? Well, let us first take into account that the average tax rate for middle class persons is 10.7 percent with a marginal tax rate of 25%. So, we'll assume that the figure is around $10,000 per year. That means that it would take 3,227 middle class earners at $50,000 per year to accumulate what 100 millionaires at $1 million per year pay in taxes.
Keep in mind that this is just a simple comparison and it doesn't necessarily count for the spectrum encompassed by tax brackets.
I've been reading into this a bit, and I came across information I was not aware of until today. These millionaires, which consist of roughly 4% of America's population, collectively pay more taxes than the bottom 95% (this consists of Americans with an income less than $160,000 per year).
This begs the question: is it even remotely fair to increase taxes on the wealthy when they are already paying absurd amounts in taxes as it is?! It's pretty depressing knowing that I may earn $100 million dollars over a period of time, only to realize that $35 million of it was paid in taxes.
That means that I will have paid more taxes than 107 people with an average of $50,000 earnings per year over the course of 30 years! I'm sorry folks, this is just flat out wrong on the part of the government. Make more money, lose WAY more! The general consensus is that these people have more money to lose, but they worked for the money they earned. A lot of these "corporate jet owners" earned their way to the lifestyles they live today. They enjoy these luxuries because it is their right, which was bestowed upon them by our founding fathers. It was not a privilege granted to them with limitations. If I made billions of dollars, I would definitely be investing in a private jet!
Every one of those millionaires has earned the ability to live a lavish lifestyle, and people cry foul...why? Because it's not you? Hey, I would love to be in their shoes for a day, let alone a lifetime. But I don't hate them for it. I applaud them for their successes. They made the right investments, employed the right workers to advertise and manage their businesses and affairs, and have been greatly rewarded for their tenacity over several years and decades. And yet, people want to take away their right to live their dreams. Not only is that wrong, but it is completely selfish on the part of those people who condemn their actions and choice of living.
This is yet another clear example of why America is failing itself. We pride ourselves as being a free country; yet, we are quickly taking away our freedoms. Taking so much more money away from those who already give too much as it is: that is a perfect example of how unjust the system has become. When people see this, it takes the desire away from someone who wants to move forward.
You know what the truly sad part of this is? Here I am, providing every reason why taxes shouldn't be hiked on the wealthy and I overlooked another shocking fact that I came upon: the amount of Americans who don't even pay taxes...
It's bad enough that the rich are getting practically murdered with tax dues and the government is getting away with it. The government refuses to take into account that - out of all Americans that file their taxes - 47% of all filers do not even pay taxes. I'll say it again...nearly half of all Americans who file do not pay anything in taxes. I am willing to bet that a good majority of them are also taking advantage of food stamps, medicaid, WIC, free tuition, and any other free benefits. You know that all that is being funded by - who else - the tax payer!
So, not only is our government spending money that the country doesn't have: they want the rich to be less rich and they want to keep giving lower income families public assistance that tax payers are funding...right. I am completely flabbergasted by all of this. How could we have gotten to this point? OH, THAT'S RIGHT...we elected people so that they could carry out their agendas in a manner that would get them re-elected and not necessarily do what was ACTUALLY GOOD for the country.
Can we please wake up now? On my next blog, I will be talking more about public benefits and how horrible American taxpayers are being screwed by it. Additionally, I will be presenting my opinion as to how I think this can be resolved. Since no politicians are coming up with good ideas, SOMEONE has to have some kind of idea. Stay tuned...