And I don’t believe the earlier comment that higher taxes on the 1000 top earners would balance the budget. We are talking about $500 billion and up. They don’t average that much for their entire net worth.

If anything, hats of to the federal employees for taking care of themselves. No one seems to be doing it for the private sector works and we see how their standard of living is decreasing.

I, like most my friends, am paying a total tax rate 58 % of my earned income. This 58% total tax rate includes:
a) 33% federal inocme (I get hit by AMT)

b) 10% (state and local income)

c) 5% sales (assume I spend 30% of my take home with a local sales tax of 9% – include here also excise tax on phone, cable, utilities)

d) real estate tax (equals about 10% of my gross income).

Add all the above taxes and you see that most of us are paying about 58% of our gross in total taxes.

However, the top 400 families of the US enjoy an average 16% federal income tax rate (most of their income is dividends and capital gains – both taxed at 15%). Though these 400 families will pay sales tax and real estate tax, as a % of their gross income it is negligible. But even if you assume that 10% of their gross income is paid in sales and real estate taxes (that is 10% of $300 million+ or $30 million!! – we know they aren’t paying those amounts) that would have the top 400 families realizing a total 25% tax on gross income – HALF of what middle America is experiencing.

Most of the Federal budget deficit growth since Reagan is directly attributable to the tax breaks the top 1000 families of America have realized in the past 25 years. Reverse those tax give aways, and the US would soon have a balanced budget, as would many states and municipalities.

Mr. Pethokouskis

Good evening,

I enjoyed this evening’s CNCB broadcast (3/12/2010) concerning the fact that both you and Mr. Kudlow stated that current Government employees are now making on average approximately $68,000 plus $41,000 in benefits; while a private sector employee is making approximatley $61,000, plus $11,000 in benefits. These are indeed true statistics. I hope Mr. Kudlow, you, and others will continue to raise these outrageous disparities in income/benefits levels. To highlight the nature of these ‘scandalous’ disparities, I would suggest that either the General Accountng Office (GAO) or Office of Management & Budget (OMB) should be instructed to send a ‘direct flyer’ to every American residence detailing Federal Government salaries and benefits. After all this is public information, and most taxpayers are probably totally ignorant of these huge disparities in income.

Sincerely,
Joseph Manuel
10005 Greenbrier Rd. #308
Minnetonka, MN 55305
(952) 926-0219
email: jrmnl@earthlink.net