Food Stamps

[disneysteve]

SS started as a 2%(1% employee,1% employer) insurance and has grown to 12.4%.

Not only that but the amount of income subject to the SS tax increases every year. When I first started working, I would pay in the maximum by September. Then it was October, then November. Now, I think I'm still being taxed going into December. They pretend that the tax hasn't increased because the rate stays the same but in reality, the tax increases every year because it covers more of your income.

[cicy33]

just for fun I went out and googled the payroll tax limits cuz I couldn't remember the details: try here:

http://www.lindquistcpa.com/Pub/RL/RatesLimits2010.pdf

Keep in mind these are just the employer side. the employee also pays the ss and medicare.

[maat55]

Not only that but the amount of income subject to the SS tax increases every year. When I first started working, I would pay in the maximum by September. Then it was October, then November. Now, I think I'm still being taxed going into December. They pretend that the tax hasn't increased because the rate stays the same but in reality, the tax increases every year because it covers more of your income.

Excellent point. And to maintain the program in the future, they are considering rasing the tax rates, the income limits and reducing benefits.

What started as a small insurance policy has turned into a full blown social program. I've heard many say there may be means testing involved as well.

IMO, these programs are more the cause of separation of wealth than any other. The middle class and lower, find it harder to grow wealth due to less disposable income after SS/medicare taxes.

[cicy33]

Excellent point. And to maintain the program in the future, they are considering rasing the tax rates, the income limits and reducing benefits.

What started as a small insurance policy has turned into a full blown social program. I've heard many say there may be means testing involved as well.

IMO, these programs are more the cause of separation of wealth than any other. The middle class and lower, find it harder to grow wealth due to less disposable income after SS/medicare taxes.

This is part of the reason many people are becoming paycheck to paycheck. though I will grant that a lot of money blowing is part cause! Sometimes I think that people get so tired of working long hours only to have a serious portion of their paycheck go to taxes that they just blow some of the money they really should put away. I have joined the ranks of single with no children so I am taxed really hard. and amazingly when I applied for a pell grant this year I did not qualify for the full amount even tho my income was approx 18,000. apparently I have to be really poor to qualify for help to go to school. They said it was due to me being single with no dependents and income to high. HIGH? good grief.

[GrimJack]

Take that 30 cents times by 30 millions each week at the minimum. Then add that to the 95 cents soda they must have or the $1.50 candy bar we can't live without or that $25 per lb of cook lobster that she is entitle to as a human being and you know where we come from. Many of the tax paying, child rearing, cooperative labor slave don't get to get our kids all of that stuffs. And since we in a nuclear family setting, we are not entitle to welfare when we do need the help.

What a load of crap - you have no idea what slave labor is or means.

That person who is collecting unemployment is also paying taxes; pays taxes on the food; pays taxes on the gas; pays taxes on his/her unemployment.

[GrimJack]

and there is no recouping any of that money. at least with the federal if you pay in too much you get some back. with the ss and medicare you get nothing back.

What? you expect to die before you retire? That is pretty sad, have you been to a doctor?

[cicy33]

What? you expect to die before you retire? That is pretty sad, have you been to a doctor?

What on earth are you talking about? We were talking about taxes on our payroll checks.

[GrimJack]

What on earth are you talking about? We were talking about taxes on our payroll checks.

Did you read what I was responding to? The person says they will not be able to collect either their social security or their medicare - so I was asking about their health.

[cicy33]

Did you read what I was responding to? The person says they will not be able to collect either their social security or their medicare - so I was asking about their health.

Actually I did realize what you were replying to. You were replying to me. we were talking about the taxes being taken out of our payroll checks and how at the end of the year you do not get to claim any of ss or medicare but you do get usually some of the federal back. the other two you get nothing back on your taxes.

p.s. very healthy. thank you.

[disneysteve]

at the end of the year you do not get to claim any of ss or medicare but you do get usually some of the federal back. the other two you get nothing back on your taxes.

That's true, but not really significant. The only reason you get back a federal refund is if you've overpaid. You can't overypay SS and Medicare because of the way it is deducted. Any other deductions you may have like mortgage interest, medical bills, charitable donations, etc., reduce your federal taxes but don't change your SS and Medicare tax so there is never an overpayment.

[cicy33]

That's true, but not really significant. The only reason you get back a federal refund is if you've overpaid. You can't overypay SS and Medicare because of the way it is deducted. Any other deductions you may have like mortgage interest, medical bills, charitable donations, etc., reduce your federal taxes but don't change your SS and Medicare tax so there is never an overpayment.

That is true. but wow it sure seems like a lot! on the federal it also is dependent on the deductions. one could be deducting right and then life changes and there are additional deductions that come up. I personally prefer to always have some coming back versus owing. I am okay if the difference isn't much but still prefer not to owe.

[cantretire]

[QUOTE=nick__45;276488]Give this man a a cold and tall one because he knows exactly what he's talking about. Middle class people pay for the benefits others enjoy but middle classes people can't receive those benefit because they don't know the right language to work the system. Additionally, people of middle class value tend to have less than 2 children because they can't afford to have kids and this, along with being married, hurt them severely when they apply for assistance. In most cases, they can't get assistance because there is a line and people who have been on the system or was part of a family that was on the system get the first cut. Additionally, those people processing the applications don't like dealing with middle class because they envy the middle class so the middle class is screwed.

The same can be said about unemployment benefit. There is plenty of abuse there and many people don't get the benefit they paid into because they don't know the right language to use on the application.[/QUOTE]


What 'language' would that be?

[SnoopyCool]

That's true, but not really significant. The only reason you get back a federal refund is if you've overpaid. You can't overypay SS and Medicare because of the way it is deducted. Any other deductions you may have like mortgage interest, medical bills, charitable donations, etc., reduce your federal taxes but don't change your SS and Medicare tax so there is never an overpayment.

Many people have a tax liability of $0 and receive a refund because of refundable credits (think EIC).

[Joan.of.the.Arch]

Additionally, people of middle class value tend to have less than 2 children because they can't afford to have kids and this, along with being married, hurt them severely when they apply for assistance. In most cases, they can't get assistance because there is a line and people who have been on the system or was part of a family that was on the system get the first cut. Additionally, those people processing the applications don't like dealing with middle class because they envy the middle class so the middle class is screwed.

I do not think that long time recipients of public aid have priority over new applicants, regardless of whether new applicants have come from a middle class background. The only program where I can think of prior recipients getting continued aid when new potential recipients do not would be subsidized housing.

You think that social workers are jealous of the middle class? Don't you think most of them are part of the middle class? At least lower middle class? And you don't think they handle applications for aid according to the rules? Whoa. What has led you to these impressions? Are you a social worker who has seen this going on?

I have noticed that we have some social workers on this forum. (I mentioned the same elsewhere today where you seemed to be insulting teachers. I think I also mentioned it once when you were insulting food stamp recipients.) I really think it is bad for these forums when insults like this are thrown around.

[maat55]

Many people have a tax liability of $0 and receive a refund because of refundable credits (think EIC).

Yes, it is the Earned Income Tax Credit. IMO, Earned Income is an inaccurate representation.