Where do Obama’s higher taxes hit?

$150,000? $200,000? $250,000?

And why $200,000 for an individual, but $250,000 for a couple? Where’s the fairness in that?

1. I didn’t sleep well last night. Part of the reason was the six pound black cat curled up between my shoulder and my chin, purring her little head off, and emitting tiny, stinky cat farts….
2. I, and many others like me, don’t resent those who earn more than we do. We aspire to earn that much or more! And we work for it. For example, my husband and I earned degrees to help us earn more. I have a Bachelor’s degree in Business and he has a Bachelor’s degree in IT and a Master’s in IT Management with a Security concentration.
3. Do Barack Obama, Joe Biden, and the democrats in Congress realize that with their increasing taxes on “the rich” and spending huge amounts that they will end up becoming a sub-prime loan recipient? And that we, the taxpaying lenders, won’t be getting a “bailout” this time? And why $250K? I think that’s far too low. Many families making that in Manhattan or San Francisco are solidly middle class, not rich, because of the cost of living.

That’s the number given by Maria Cardona of the Obama campaign when asked by Julie Banderas if the $250K was net or gross.

That makes it even worse.

Maria Cardona continues to insist that 98% of small businesses make less than this. But she’s talking gross numbers here. Does she or the Obama campaign realise how many small businesses can GROSS a quarter million dollars a year? Easily?

There’s a HUGE difference between a company grossing $250K and netting $250K…

Say you have a small retail establishment.

You may have rent of  $2,250/month (1,500 sq ft @ $1.50/sq ft) = $27,000

You may have a couple of employees. Maybe at $12/hour. That’s $48,000 just for regular time, 40 hours a week, 50 weeks a year. Then add in $4,131 for the employer’s portion of FICA (social security and medicare), add in unemployment taxes and any benefits you might be paying. That $48,000 in salary can become $62,000 when all is said and done.

So far, with just rent and two employees we are up to $89,000.

Then we have insurance, advertising, shipping, inventory, licenses and other business fees, local taxes, inventory losses, perhaps franchise fees (depending on the business), and a myriad of other expenses. And you want to pay yourself something. You also want to be able to reinvest something into the business.

With good sales, or a service that’s in demand; business to business or business to consumer or both, I would say the number of small businesses that can gross $250K or more in any year is far in excess of only 2% of small businesses.

Yesterday, while watching Fox News, there was a segment about taxes and whose taxes would be higher and all that. Unfortunately I can’t remember which show it was on and I didn’t hit the record button on my TiVo remote…

One point of discussion was death or estate taxes. The Fox person asked the democrat about death taxes and the democrat said they must stay and even increase. The Fox person mentioned that money inherited is money that has already been taxed.

The democrat representative said, and I paraphrase because I can’t remember the exact quote:

We can’t allow people to accumulate wealth and then pass it to their heirs.

And there you have it, the main difference between democrats and republicans. Republicans say more power to you - accumulating wealth to pass on to your heirs. The democrats don’t want you keep your own money or give it to your own family. You can accumulate wealth, but only to give to the government so they can redistribute the wealth that you worked so hard to accumulate.