Skip to main content

View Diary: 3 Progressive Principles for the Next Deal (130 comments)

Comment Preferences

  •  I guess one thing that strikes me -- (1+ / 0-)
    Recommended by:
    Dallasdoc

    -- and I hope I'm not in error here -- but we're looking at a 2% bump in the payroll tax used to fund Social Security. (My employer's human resources office just sent us a chipper little email to that effect.)

    I recognize that this is a result of a temporary reprieve negotiated in 2010, and it's probably unrealistic to expect that drop to be made permanent. But one thing that it highlights is the regressive nature of that tax: not one dime of income greater than $110,000 is subject to the payroll tax. This is a tax that is punitive towards the middle class, and rewards the rich.

    (And as an aside, here I mean the real middle class, and the genuinely wealthy: in this economy, the "middle" is a lot closer to $50,000 than to $450,000. And -- at least in my neck of the woods -- if you're making over $110,000, you're pretty darn comfortable. I realize that this may not apply in lower Manhattan or in West Hollywood, but for the vast majority of us, $110,000 seems to be a much more reasonable threshold of wealth than the $450,000 that was just agreed to.)

    Anyhoo, perhaps one thing that progressives could push for, as part of any agreement, is that the funding for Social Security -- to the degree that it's even an issue -- should be addressed as much through the raising of the arbitrary payroll tax cap of $110,000, rather than any (and I do mean any change in the formula for benefits.

    Nothing requires a greater effort of thought than arguments to justify the rule of non-thought. -- Milan Kundera

    by Dale on Thu Jan 03, 2013 at 10:54:32 AM PST

    [ Parent ]

    •  OMG -- I'm stupid. (0+ / 0-)

      I didn't read your note through, Dallasdoc. You had the payroll tax cap issue right in there. Please ignore.

      Nothing requires a greater effort of thought than arguments to justify the rule of non-thought. -- Milan Kundera

      by Dale on Thu Jan 03, 2013 at 10:55:38 AM PST

      [ Parent ]

Subscribe or Donate to support Daily Kos.

Click here for the mobile view of the site