Friday, February 11, 2011

TAX MY A$%!!

Have you ever offered to pay a company to work for them? "Hey Mr. Company let me come work for you and I will pay you $1.25 an hour."  Of course not!!  Well, that is where income tax takes us.  We are paying for the right to work.  By statistics, we provide up 35% of our hard earned money to the government in income taxes - that relates to giving away money for the privilege to work.
And you think that only 23.5% of your income goes to taxes?  Wrong!!  For the average American I would venture to say that more than 50% of their pay goes to taxes.  Yeah, you paid your income tax for the year...but, you pay sales tax on the groceries you buy, the dinner out that you ate, the gas you buy, the candy bar that you bought, the gift you bought, and anything else that you paid money for.  So, think about this...you paid income taxes on the money you earned and taxes on everything you purchased day and day out.  So, where is you money going - to taxes!!
You remember that "fat free" ham we spoke of last week?  The company that makes the plastic wrap the ham is wrapped in pays taxes, the employees who make the plastic wrap pay income tax, and the company pays taxes to ship the plastic wrap.  The farmer pays tax to sell his hog, the slaughter house pays taxes, the processor pays taxes, and the company that packages said "fat free" ham pays taxes.  Then the buyer pays sales tax...there are several step left out here, but how many times does one slice of ham need to be taxed?
To put this in perspective, think of your car.  You pay taxes when you purchase your vehicle, you pay taxes every year for a tag on your car, you pay taxes every time you change the oil, you pay taxes every time you buy a replacement part, you pay taxes when you buy tires...how many times do you have to pay taxes for one car??
The average person does not think of how often they pay taxes, because it is built in to the price.  Not to mention - you will not get the product if you say "I will pay only the list price, but no tax!!"  But, if as a nation we stood up against this - I am sure we may make some progress!!  We are being taxed to death and don't even know it. 
Think about what was said earlier...if 30% of your income goes to income taxes, what percentage goes to taxes above and beyond in other taxes in day to day life.  I would be willing to bet that we pay at least 50% of our annual income in taxes!!
Hicks Mason

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