Bush tax cuts

If the Bush tax cuts are allowed to expire, it will mean 3.3 trillion in revenue over the next ten years. If only the tax cuts for those over $200,000 expire this will mean an additional 1.1 trillion over ten years or 110 billion per year. The Obama plan to cut payroll taxes by 3.1% would cost 240 billion. The cost of extending unemployment benefits would be 45 billion.
Spending would include 10 billion for infrastructure and 190 billion for aid to states to prevent layoffs of public employees.
This totals 110 billion of increased revenue from increasing taxes on those over $200,000 and 485 billion in spending which will increase the deficit by the difference or 375 billion.
This is a way to take money from those earning more than $200,000 per year and give it to states that have deficits. They will then use the money to retain public employees who might otherwise be laid off. Some feel this is just a way to reward states for bad fiscal policy and to get votes from public employees.