And all the Federal government asks in return is a portion of their wealth -- a far smaller portion than has been asked for many generations. Would the Right really want to give up all these protections and services, especially ones that provide such benefit for its wealthy patrons? Not likely.
I call it a bargain, the best I ever had
What would happen to the rest of us without the Federal income tax? To explore that question I referred to the latest "itemized taxpayer receipt" the White House began releasing under Obama, and entered a sample taxable income of $50,000 for a married person with one child. Here's what it showed:
$100 goes to providing health care to poor people and children. Personally, I'm glad to do it -- there but for fortune, as the old song goes.
Only 1.4 percent, about $13, goes to health research and food safety. I'd increase that right away, wouldn't you? And less than 1 percent -- $7.96 -- goes to disease control and health services. Really? With all this talk about pandemics, drug-resistant infections and bird flu? C'mon, guys.
Same goes for the 3.6 percent of income ($35 in our example) for "Education and job training." We small business owners need clients who can read and write. And when trained people get jobs, the whole economy prospers. So I'd invest a more in that too.
And I'm certainly not going to begrudge our veterans $44 for the services they need. Spending less than $20 to protect our environment and natural resources seems perilously low. And only $16 or so for "International Affairs," in this dangerous and suffering world? That seems like the least I can do.
The biggest item on the "receipt," national defense, is definitely bloated. Nearly 25 percent of it -- $247, in this example -- does things like maintain dozens of bases around the world and buying useless, overpriced missiles and high-tech weapons like Star Wars that'll never work.
A Deal For All Ages
Then there's the payroll tax. In our example, slightly more than five percent of earnings goes to Social Security and Medicare. In other years, when they're not using it to provide a "tax holiday" for the middle class (there are much better ways to do that), that figure is 6.2 percent. (The percentages are lower for people earning more than the "payroll tax cap.")
Wait: You mean I can have income security in my old age, or if I'm disabled, or for my dependents if I die during my working years? I can provide for other aging Americans too? And all for only 6.2 percent of my income? That's an awesome deal.
What's more, for that amount plus another $100 from general income tax, Mom and Dad's medical needs are mostly paid for (at least until the so-called "centrists" of the Beltway Right get their hands on them). Mine will be, too, when I'm over 65. (Or is it 66? or 67? They keep moving the goalposts.)
That's another incredible deal -- one that will never be available from private insurers. I'd gladly increase this amount, stop paying runaway insurance premiums and copays, and get that Medicare right now.
These are outstanding bargains -- for all generations. It's true that Social Security benefits will need to be reduced by one-fourth in a couple of decades if something isn't done - preferably something simple, like lifting the payroll tax cap. But even 75 percent of benefits is a good deal compared to what the private sector would offer. And everybody would do better if we left things just as they are, rather than adopt one of right-wing/pseudo-"centrist" plans supposedly designed to "save" it.
As for Medicare, sure, there are cost problems -- terrible ones -- but they won't be solved by passing them on to seniors. They'll be solved by controlling profit-driven medicine.
But Wait - There's More!
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