The facts as of August 2012:
• U.S. tax revenue: $2,047,000,000,000
• Federal budget: $3,820,000,000,000
• New debt: $1,350,000,000,000
• National debt: $16,000,000,000,000
• Recent budget cuts: $ 38,500,000,000
Let’s now remove eight zeros and pretend it’s a household budget:
• Annual family income: $20,047
• Money the family spent: $38,200
• New debt on the credit card: $18,153
• Outstanding balance on the credit card: $160,000
• Total budget cuts so far: $38.50
Some believe the right solution is to tax the top 1 percent and raise the debt ceiling.
Based on the latest IRS data, the top 1 percent currently pay 36.7 percent of the taxes. Another way to look at this is the top 1 percent pay $751,249,000,000 of the above tax revenue, or $7,512 of the annual family income.
Even if you believe that the economy won’t go off a cliff and revenues will actually increase if you raise the top 1 percent’s taxes by 30 percent, the additional revenue will only add $2,253, bringing the annual family income for 2013 to $22,300. Our family credit card debt by the end of 2013 will be $173,000!
So what’s your plan, Mr. President?
The writer lives in Myrtle Beach.