Tax season rant

My Current Rant

 

 ….your paycheck should cover basic expenses if you are working fulltimeei2

Ok please no hate mail. I love you, love me back! No? Ok bite me then. I am getting ready to piss a few folks off. Sorry in advance. Sometimes the voices in my head demand I write things down.

 

Rant of the day… I may change my mind tomorrow but today…

I think that the Earned Income Tax Credit should be removed

What? I can feel your stare already. Let me explain.

The Earned income tax credit is a credit. That is code for free money. I don’t really believe in free money. I do not believe in a welfare state. I am a Christian. I do believe in helping the less fortunate. I promise I do. I am, however, into the whole “give a man a fish and he eats for a day, teach him to fish and he eats for life”.

ei3

 

 

 

 

Punished for working harder?

What am I getting at? You want the specifics? I do not believe in giving a credit to people that is unearned. No, I have thought about it. I am not talking out of the side of my neck. I have had foster children and got that big juicy check at the beginning of the year. It helped, a lot. It was like Christmas in February. Uncle Sam saw I was struggling taking care of my siblings and hooked me up!

However…

Many poor people, especially single moms depend on income tax refunds. There are people all over America who use that money to get into a new apartment, buy a used car, pay off credit cards, and take a small vacation. It usually runs from 1k to 6k, depending on how much you earned and how many kids you have. If you make over a certain amount you get nothing, if you have no kids you usually do not qualify as well.

…Here’s the rub

  1. Why should the government reward you for having kids you can’t afford? People who made sure they had good work and good partners don’t get it why should you? Yes we have all had hard times to different extents but it is kind of an award for irresponsible behavior.
  2. Why is the cutoff so low? A single parent who busted his or her tail feathers making 50k should get the freebie from Uncle Sam – same as the chic who works part time or not at all. You have to make something but not too much… this helps further forward the welfare mentality. I have associates who actually DO not do extra work because they know it will knock down their earned income check… seriously.
  3. It supports big business and creates a corporate welfare state

Let’s get into #3 more because I don’t stress about 1-2 much.

Large super corporations get to pay low wages in the name of “Shareholder value” aka screwing small guys for the benefit of a few rich guys

Low wages means now these folks, some who actually work full time, qualify for Medicaid, SNAP aka food stamps, section 8 housing vouchers, and yeppers, the Earned income tax credit, and child tax credit.

My thought is, and I am not the first to have it, instead of the government allowing the taxpayers to be pimped by large corporations ( which hold many of the legal protections as a human and in some cases better protections) we should have a nationwide minimum wage. Let’s say 22.00. Knock out all of the extraneous taxes like taxes on food and that is enough for you to take care of a small family humbly in America. (Well outside of NY and San Fran)

Whoa!!!! You don’t want to pay 20 bucks for a McDonald’s hamburger? You won’t because no one will.

The stock exchange may show out a bit but it will be ok. Companies can make a profit without creating a working underclass.

ei

 ( You shouldn’t only be making 14k working full time )

Walmart, McDonalds, etc.,  should extend their health care to all employees. I certainly want the folks flipping burgers to be fully vaccinated and healthy. Let’s have them buy more items from American vendors who manufacture in America. I know my Chinese brothers and sisters have to eat but they can create jobs for their economy, we need to create jobs for ours.

Decent wages, lower prices, and local good trade and manufacturing  jobs (because everyone can’t afford to spend 100 k on college) will help us all much more than a check in February that is spent in weeks.

Let’s do a little math. According to the IRS the average low income family receiving the child tax credit and earned income gets @ 3k back on tax returns. The income on average for these families is @17k.

Let’s use 15 an hour, because no one is trying to hear the 22 an hour spiel. 15 an hour times a 40 hour week times 52 weeks equal 31,200. Let’s say we eliminate taxes on food and have a flat rate of 5% because hey even Uncle Sam has to eat, leaves about 29,640 in the pocket of that low income family. If they have employer sponsored health insurance ( or state funded that’s a different rant) and budget just right, they can get by in most places. It is better for the country that a healthy, able bodied adult works for 29k and take care of their family vs earn 17k and hope to get 3k at tax time. Companies that pay good wages get to have lower turnover, which saves them a lot of money, they get a better trained workforce, happier employees, and can even end the day profitable. Google Costco vs Walmart. Cheaper pay is the lazy way to run a business. It is irresponsible corporate citizenship and should not rewarded.

New York State has a program where it is almost paying companies to come to the state and create jobs. Tax breaks up the wazoo! The state should make sure those employees are making at least 20 bucks an hour for full time work. Someone has to pay the taxman and if you let the company slide the employees will have to ante up. They should make enough to do so. That way the end result is jobs and a good tax base for the state. Otherwise… well, there is just more folks on the government teat.

And while I am ranting, yes President Obama, force companies who take American jobs out of the country to pay an extra tax. Instead of living wages here, they help create a working poor under class elsewhere. Let’s call it the Foreign Manu factor tax. I just read how a company laid off 2,000 folks in their American Plants in rural Virginia and Kentucky and are now getting the work done by child laborers and poor women in third world countries.  Again, I know those folks have to eat too. However instead of 2k folks with good union jobs paying taxes and living reasonably well, you have 2k folks on unemployment, many of whom will be unemployed for long periods of time. You can spend 17 years working in a plant and suddenly the job is gone, your pension is a joke or worse you didn’t make the 20 year cut off so you get nothing, and your work was so specialized you have to start from scratch with new job training. To me that means 4,000 folks are being duped, here and there.

Am I mean, have I gone all “Stacy Dash “on you ? No I still love you guys. I just want the little guy to be able to earn a comfortable living and not have a welfare mentality where he sits and waits for the government to hand over free loot. Free money should be reserved for the ill, the elderly, and for college and trade school. Sometimes we all need a helping hand. That should be on a case by case basis not an annual giveaway for individuals or corporations.

 

Give me some input on this… its a rant, but we do need to take better care of our working class people.

I am at MsLissa@melissaweblog.com

Love and Light

Lissa

 

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