"Rapid 'income tax' relief? " What about those who don't make enough, but pay payroll taxes?

[flpoljunkie]

This is unfair to those who do not make enough to pay income tax--those who are struggling the most in our economy. I hope the Democratically controlled Congress disagrees with Bush on these rebates to stimulate our economy.

Bush is proposing according to unnamed sources, $800 to individuals and $1,600 to families--but only to those who pay income tax.

http://www.nytimes.com/2008/01/18/business/18cnd-econ.html?pagewanted=2&hp

[zanne]

1. Exactly.

It won't help people who have entered the poverty level because of his policies any good.

[hedgehog]

2. This isn't going to help families - it's a bailout for the banks. Any money I

get is headed straight to Chase Manhatten. It won't pay off my crdit card by any menas, but combined with everyone else it'll be a nice chunk of change for the bank to turn around and loan out to someone else!

[sandnsea]

7. I have no debt

Two of my sons have no debt. A FICA rebate would help a lot of low income people with no debt, who would maybe fix their car or replace a worn out washing machine.

[dugggy]

16. What? You have no debt? Where can I find a woman like you??

Every woman I meet is broke and in debt!!!

[FrenchieCat]

3. Obama addressed this issue, but of course, he said something

about Reagan, so he doesn't count!

Obama's plan called for those making $50,000 and under to be relieved of paying the payroll tax, which would have gotten dollars into people's pocket by their next paycheck.

[flpoljunkie]

10. Will Congress use the payroll tax to rebate workers. Remember last time those who did not pay income

tax received no rebate--but the Republicans held the cards--altho Dems controlled the Senate. Democrats, you must stand up and do what's right for America's working people.

[FrenchieCat]

11. Payroll tax wouldn't be rebated, it just wouldn't come out of the employee paychecks to begin with..

So the payroll tax relief has nothing to do with who files and pays income taxes and who does not. The payroll companies would simply not take out the 6.2% out of checks when generating payroll that they currently do. Once the gross payroll generated by an employee passes the $50,000 mark, then the 6.2% begins again to be withheld.

[Mother Of Four]

18. Where can I find a detailed layout, not a summary...

Of Obamas plan besides his website? Is there a place where it's been reviewed by economists?


If there was a way to balance this with the payroll tax, that would be wonderful...

Right now my husband is having to work "Special Assignments" where he gets paid 50 dollars a night (for 3 hours work) So that we can make ends meet and I can continue to try to give my kids what I had, a stay at home Mom.

As it is, I was supposed to go back to school again in Oct for my Anat and Phys, and roll my medical hours over to an RN program from the EMS program...so that I could move from EMT-I to RN. I would have been done with my schooling by the time my youngest turned 14.

But with the college 30 mins away, there will be no way we can afford the gas...much less the tuition with the cost of everything else going up the way it is.

NC is a depressed area, so an additional 60 dollars a week would be a godsend. (We live out in one of the small 5k person towns)

I'm managing to pay all our bills by doing some serious juggling, and feed our family. (Thank you commissary) However, I'm concerned for everyone around us as well.

We went to the grocery store locally to pick up a few things, literally 3 of those small plastic bags of groceries cost us 87.00

The sad thing is, when I was working- I was only clearing enough to afford to go to work, not to help with bills.

We as a family have trimmed all the fat we could- we have ONE vehicle, the kids are on reduced lunches, basic cable, basic phone, basic internet. We reserve gas like no tomorrow, even though it means not visiting family. (All of them live 40+ mins away)

If we are starting to struggle like this, with my husband also retired from the Army...

How are other families faring? Especially ones that have to place kids in day care etc?

We have tricare, so aren't hit with the 650+ to pay each month to cover our family in addition to paying dental.

If he wasn't retired, we wouldn't be able to survive. Median Salary here is only 24k, I calculated it up- to feed a family of FOUR would cost 250 a WEEK shopping in areas where others shop. (Edited to add, thats feeding your kids healthy- not living off top ramen and skettios, hamburger helper etc)

That is half your monthly salary gone, before you even touch your bills at 24k a year.
Add to that medical...Family of four (not six like mine) Around 450 a month.
So basicly you have one person working for food and medical...the other working for bills and rent/house payment. Add to that child care, which is insanely costly...
That isn't even taking into account gas to get to and from work, food while being there, the fact that you can't get any form of assistance because you make too much, taxes taken out before you see your check, vehicle insurance for two vehicles and the relative car payments...
And now you have to work THREE jobs in a family that 20 years ago would have been able to have a parent work, and the other stay and raise the kids.

No wonder our country is falling apart.

[electprogdems]

4. it is very amusing that tax cuts are used to stimulate the

economy, but higher wages are never considered, especially in the form of min wage laws and collective bargaining. Once again, the repubs want to push the tax burden onto the children. Why do they hate live children so?

[sandnsea]

5. That's why Obama's is a FICA rebate

I get it now, he wants to make sure everybody gets the benefit.

I still think it's useless, but I'm sick of only corporations and the rich getting all the benefits.

[flpoljunkie]

8. FrenchieCat, Sandnsea, Congress must stand up and give all workers relief thru payroll tax.

We must encourage them to do so--immediately.

[FrenchieCat]

12. Yep....because for folks who have low earnings, it is the payroll tax

that takes the largest portion of their paychecks.

[Tennessee Gal]

6. Where will the money come from?

More national debt?

[flpoljunkie]

9. Yes, by definition a stimulus will not stimulate, if it is paid for with other revenue.

[FrenchieCat]

15. The money comes from removing certain caps for SS

on higher income earners.

In reference to stimulus rebate, yes, more national debt. That's where stimulus normally come from. In essence, it is like investing into the putting money into people's pocket in order to restart the economy...by providing spending power in places where it is lacking.

I say this as an accountant, as that is my line of work.

[dugggy]

17. The money comes from YOURSELF.

You paid the tax, you get some of your own money back.

[goodgd_yall]

13. The rebates will mostly go to paying off debts.

They won't stimulate the economy.

[dugggy]

14. If you don't pay enough tax, then you can't get a rebate

because rebate means RETURN OF YOUR MONEY SPENT. Note it is
not called a "gift", it is called a "rebate".

For those people who don't pay enough income tax, they should get
a gift of $400 from the other tax payers who pay taxes.