Tax the rich

The idea of taxing the rich may be a political winner but it doesn’t do much to reduce the debt. The President’s plan to tax those making more than one million would bring in about 40 billion per year and if you lower that to those with family income above $250,000 that would bring in a total of 70 billion per year. This year’s deficit is 1.1 trillion so the new tax would lower the deficit from 1,100 billion to 1,030 billion. The President has said this new money would not go toward deficit reduction but to other things like hiring more teachers. Everyone knows that if you want to make a significant dent in the deficit you must look at social security, Medicare and Medicaid, but they are all afraid to say it out loud except for Ryan and he is taking a lot of heat for his plan.