Let’s Build a Budget Together

[Flash]

Do you recommend taking out the federal income tax? What about the FICA taxes and the state taxes?

If it was up to me we would do away with the income tax, corporate tax and Social Security.

The Federal government would be much smaller than it is now. Only doing defense, a few Federal Courts, State Department, border security and not a much more.

Absolutely no stupid worthless agencies, no welfare, subsidies, grants, bailouts or entitlements.

 

[presonorek]

If it was up to me we would do away with the income tax, corporate tax and Social Security.

The Federal government would be much smaller than it is now. Only doing defense, a few Federal Courts, State Department, border security and not a much more.

Absolutely no stupid worthless agencies, no welfare, subsidies, grants, bailouts or entitlements.

In other words, a government.

 

[presonorek]

If it was up to me we would do away with the income tax, corporate tax and Social Security.

The Federal government would be much smaller than it is now. Only doing defense, a few Federal Courts, State Department, border security and not a much more.

Absolutely no stupid worthless agencies, no welfare, subsidies, grants, bailouts or entitlements.

This thread is about building a budget. There are other threads about taxation, government spending, and government overreach. Do you have recommendations regarding this budget? I can remove the taxes if you think that makes it more realistic.

 

[Flash]

This thread is about building a budget. There are other threads about taxation, government spending, and government overreach. Do you have recommendations regarding this budget? I can remove the taxes if you think that makes it more realistic.

The cost of combined Federal, State and Local government is close to 40% of our GDP and we all pay it either directly or indirectly.

Usually the cost of combined government is the largest single family expenditure regardless of income. More than housing or food or anything else. We just don't realize it because it so embedded in our economy.

I am a retired Engineer. My wife a school teacher. While we were working quite often it took my wife's take home salary to cover the combined direct and indirect cost of government that we had to pay.

 

[Moonglow]

Save $6,000 a year in rent and electricity alone by getting a room mate.

I know room mates suck...but I did it when I needed to. It beats living under a bridge!

How can I get my wife to pay rent?

 

[presonorek]

How can I get my wife to pay rent?

Quit paying your portion for about a year. See if that works.

 

[presonorek]

The cost of combined Federal, State and Local government is close to 40% of our GDP and we all pay it either directly or indirectly.

Usually the cost of combined government is the largest single family expenditure regardless of income. We just don't realize it because it so embedded in our economy.

indirect cost of government

How do I incorporate that into the budget I created? Should I add $12,000 for direct/indirect taxation?

 

[presonorek]

Does anybody making $30K a year really have to pay any income tax? Aren't they in that 52% that don't pay any income tax?

I have not made any changes. This post is for discussion only.

Is this kinda what you are thinking?

FICA taxes $0
Federal Taxes $0
State Taxes $0
Rent $3,600
Electricity $2,400
Water $600
Health Insurance $7,200
Food $7,200
Car Insurance $1,200
Gasoline $2,400
Surprises $5,400

Total $30,000

I have not made the changes. This post is for discussion only.

 

[presonorek]

The cost of combined Federal, State and Local government is close to 40% of our GDP and we all pay it either directly or indirectly.

Usually the cost of combined government is the largest single family expenditure regardless of income. More than housing or food or anything else. We just don't realize it because it so embedded in our economy.

I am a retired Engineer. My wife a school teacher. While we were working quite often it took my wife's take home salary to cover the combined direct and indirect cost of government that we had to pay.

No changes have been made.

Is this kinda what you were thinking?

Indirect taxes $6,705
FICA taxes $2,295
Federal Taxes $1,500
State Taxes $1,500
Rent $3,600
Electricity $2,400
Water $600
Health Insurance $7,200
Food $7,200
Car Insurance $1,200
Gasoline $2,400
Surprises $0

Total $36,600

No changes have been made. Your indirect tax theory puts him $6,600 over. Are you sure indirect costs can be budgeted?

 

[Flash]

How do I incorporate that into the budget I created? Should I add $12,000 for direct/indirect taxation?

It is hard to do because it is embedded.

For instance, when you buy something made by a corporation or any business you are paying part of their corporate tax. A trillion dollars a year. You are also paying a part of their state property tax and what ever other taxes the states levy. You are paying for the corporation's portion of the SS tax. Actually those taxes are a significant hidden cost.

Most people don't understand that they pay a substantial amount of heir income on their state's sales tax.

When you buy gas at the pump you don't realize you are paying both a Federal and state tax on it.

A lot of our money goes to the filthy ass government. A lot more than most Americans realize.

One of the reasons most American families need two incomes in order to survive.