Quote:
|
Originally Posted by Undertoad
Why SS is regressive.
One, your income under SS is only taxed to a certain point, about $90,000, and then it stops. You are not taxed above that point. Everyone under that exemption point is paying full percentage. Everyone who makes more than that is paying a lower percentage. People who make a ton more than that, pay a ton less.
|
OK, if you make more than 90k you pay a smaller percentage but not less money. Likely more money than most.
Quote:
|
Two, rich people live longer than poor people. A person who pays into the system their entire life, and then dies at age 65, is effectively hosed. Poor people are more likely to do that.
|
True
Quote:
Three, rich people are more likely to be contractors and/or schedule C S-corporation or use other such practices to avoid paying the employer portion of the tax.
|
Ah, self employed, a unique problem most of us never face.
Quote:
Four, rich people are more likely to put in close to the max their entire life which means they will take out close to the max during their entire senior years.
|
So you think they will collect more than they contributed therefore grab some of the money the poor people contributed before they died. Got it, thanks.
