Wednesday, November 3, 2010

Elections, Taxes, and Schools

The day after another election and the results are in, not just for elected offices, but, for a whole host of assorted referendums. I live in a elementary school district where a referendum was, again, narrowly defeated. Mind you, this district hasn't passed one for over thirty years so it's not as if the district is filling up its coffers. No doubt, many cuts will be made, most will ultimately hurt students.

All this brings me to taxes. I find it hard to swallow our progressive income tax system that really sticks it to the middle class in terms of what they pay and are left with to meet today's needs. Though I understand property taxes are the primary means of funding education, I'm left amazed that federal funding of education, through revamping the tax brackets, can't be achieved so that schools aren't cutting programs.

One may have their opinion on this matter but that shouldn't be clouded by hard facts. Here's what I mean. As of Nov. 3, 2010 a four person family making $85,000 will be taxed at 28% meaning, if the itemized deductions are relatively the same for other taxpayers, that person will pay $23,800 in taxes. The family will be left with $61,200 to live on for the year. Another family of four making $375,000 is in the 33% tax bracket and will pay $123,750 in taxes, leaving them with an income of $251,250. Finally, a family of four earning $1,000,000 per year is taxed at 35% meaning, they will pay $350,000 in taxes. They will have $650,000 to live on for the rest of the year. By the way, it is typical for the higher income earners to lower their taxable income resulting in fewer taxes but, for the sake of this argument lets say their itemized deduction levels are on similar ground.

Don't you think that a family of four is going to have more of a struggle to make ends meet by living on $61,200 compared to a family the has $650,000 to live on? Of course they are!!!

That's why when it comes to education funding (and funding of other programs) I keep thinking about a number of questions. First, how much money do people really need to live on? I also wonder if people with hundreds of thousands of disposable dollars consider it as a moral imperative to 'go above and beyond' so that we aren't cutting education programs that, in the long run, are good for the whole group.

I think that as a country we can adequately fund needed programs, such as education, and still leave people with plenty of disposable income if we want to. It isn't just politicians that need political will, the citizens with the means to do so, have to demonstrate the same courage to act on behalf of the greater good.

Dick Flesher

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