Let's make the deficit as personal for Congress and the Feds as it is for us...

Tea-baggers, Republicans, and Blue-Dog Democrats in Congress use their convoluted “values” and the deficit as excuses to slash and burn social safety net programs ... witness Planned Parenthood. Social Security and Medicare appear to be next on the chopping bloc, never mind that “we the people” have actually paid for these “entitlements.” So, I suggest we actually test their resolve and commitment to reducing the deficit by demanding they implement a “Deficit Reduction Tax.” It goes something like this:

All elected and appointed officials of the US Government will have 10% of their gross monthly earnings deducted and paid towards the deficit reduction.

All retired elected and appointed officials of the US Government with federal retirement benefits exceeding the US median household income (approximately $50K) will have 10% of their federal retirement income in excess of the US median income deducted and paid towards deficit reduction.

Until such time that Congress determines than unearned income shall be subject to the same tax rates as sweat-earned wages, All taxpayers with annual Capital Gains and Dividend distributions taxed as capital gains exceeding $10K will pay an additional 10% deficit reduction tax on the gross amount exceeding $10K but under $100K, and 25% additional tax on any amount exceeding $100K.

All current non-elected / non-appointed Federal employees (excluding active-duty military) with annual gross salaries exceeding 2X the US median household income will pay 2% of their gross federal income towards the deficit reduction.

All candidates for elected federal office shall pay a 10% deficit reduction tax on all campaign contributions exceeding $500 from any individual, corporation, PAC or any other source. All campaign contributions exceeding $250 sourced from individuals, corporations, or any other entity legally residing, incorporated, or otherwise instituted outside the borders of the United States shall be subject to a 50% deficit reduction tax.

Any owner, principal, employee, or appointed director of any business or agricultural entity receiving any federal subsidy or tax credit in excess of $250K shall pay an additional deficit reduction tax of 20% on any adjusted gross earned income above $250K.

The Congressional Budget Office shall be required to establish the US Median Household Income on the date of implementation of the deficit reduction tax and every year thereafter by January 1st. The Congressional Budget office shall monitor the US deficit and report monthly on it’s status. The deficit reduction tax, except for provisions regarding campaign contributions, shall be suspended at the time the Deficit reaches an affordable level which shall be set at no more than 2.0 times annual federal income tax revenues...adjusted annually by the CBO. If suspended due to prevailing fiscal sanity, as evidenced by budgetary compliance, the deficit reduction tax shall be immediately re-instituted for no less than 6 months any time the CBO projects the US deficit to be $250 Billion above the allowable deficit.

Comments

There are over 171,000 federal employees earning more

than $150,000 a year. ...up from 12,400 when Obama took office in 2008. This is a problem...in my opinion. Our government is out of control...just like our state. When the UNCW basketball coach earn $4 Million a year and the highest paid highly skilled hospitalist (attending physician who treats patients in the hospital) at our largest Regional hospital in Wilmington earns $180,000 a year, that's a problem. When an effing stock boy at the New Hanover ABC earns over $130K a year and gets a bonus, that's absurd. There's more...and it's just getting lip service. What is getting the axe are the things needed by many simply to survive.

Stan Bozarth

A little context, Stan

First of all, Obama didn't take office in 2008, it was 2009. Which is important to note, because the 3% raise that Bush approved in 2008 (not to mention 2007's) didn't take effect until after Obama was sworn in.

The 2009 pay increase that Obama approved was smaller (2%) than Bush's, but he (and Congress) did remove the $149,000 cap that higher earners had bumped up against under Bush.

I'm not comfortable with the growth of the bureaucracy either. But don't fall for the Heritage-generated evil Obama rhetoric. Bush primed the pump by expanding upper-level positions in DoD, and gave them a shitload of bonuses to boot. Obama has actually tried to freeze Federal pay, and has run into some pretty odd opposition.

Actually this was from Wiki...

and I'm not against Obama. I do think he could do way more than he's doing, but the alternative (McCain/Palin) would have been total disaster. I'm just saying things are out of whack. Congress also has a very nice retirement plan...that they contribute very little to. My opinion...these folks need to get real...quickly. And they are responsible for what's happened and is happening.

Stan Bozarth

Absolutely!

A Most Excellent Idea!

It's a very big problem, but hopefully ideas like this will begin to get a bit more traction the crazier the crazies get.

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"...the question is not whether we will be extremists, but what kind of extremists we will be."

Martin Luther King, Jr., Letter from Birmingham Jail