With taxes due right around the corner, I found this article
online full of interesting facts about the national debt.
The article is here: 12 scary debt facts for 2012
What this article tells me is that:
- The government owes a lot of money.
- Eventually, taxes are going to have to rise
- Eventually, spending will have to decrease
- And these changes will impact EVERYONE – poor and rich. It’s just too big of a hole to only burden one segment of the population.
Historically, taxes represent one of the largest expenses
for the average worker. People just don’t
“feel” it was much because typically taxes are paid (withheld) from each
paycheck – unlike rent or mortgage payments which you have to “pay” each month.
The political candidates all talk about protecting the
middle class, yet the middle class is the group of people who, on paper, make enough
money to handle higher taxes. And on
paper, the middle class likely represents the biggest opportunity to close the
financial hole.
After all, the “poor” people don’t have enough money, plus
no politician would dare raise taxes on the poor. And the “rich” already pay a high share of total
tax revenue in this country.
So who’s left? The
middle class.
When it comes to your finances, taxes represent only one
aspect you should consider. However, as
time moves forward, taxes will become a bigger consideration in your financial
decisions, such as how you borrow and how you save or invest.
So, how are you minimizing taxes in your financial life?
Answer to last week’s trivia question – C – 150 million. Yes, that’s a lot of Valentine’s Day cards
being sent.
This week’s trivia question – According to the Social
Security Administration, today, what percentage of Americans receive a monthly
benefit check? Is it…
A – 6%
B – 19%
C – 45%
D – 68%
