Economic Downturn Has Finally Arrived!!

[HALEY]

Yep Gina, and if the new president wants to tax people making over 200,000 a year, there goes all your small businesses there not going to survive...

[Marilyn]

Originally Posted by HALEY

Yep Gina, and if the new president wants to tax people making over 200,000 a year, there goes all your small businesses there not going to survive...

Just to clarify what this means, he is proposing to increase the taxes of people making over $250,000 (net taxable income, not gross profit). They are currently paying at a rate of like 37%. What he is proposing that they pay the same thing they currently do on the first $250,000 and any income over that amount is taxed at like 39%. If the person made $270,000 for example, the tax would be 2% higher on the $20,000. It's not a huge increase to the individual tax payer, but cumulatively it can make a difference in income for our country. We have a huge debt that we have to pay off somehow. The money has to come from somewhere. There is no way that our government can keep borrowing from China and still not balance the budget, and expect our government to not go bankrupt. As a small business owner, if we made over $250,000, I'd be willing to pay the extra 2% on the income over that amount to try to improve our countries financial position.

The other side's idea was to cut taxes on the hugh corporations with the expectation that they would use the extra money to invest in their companies and the effects would trickle down to the middle class. We've see from this bailout what happens when you give huge corporations extra money, they spend it on bonus's and lavish meetings, and somehow that's supposed to trickle down. Reagan was a very good president, I voted for him, but his trickle down economics didn't work then and it didn't work during the Bush administration either. No way ExxonMobile should be getting government subsidies while making record profits. Something has to change. Washington has to come to their senses. It's not a matter of republican vs. democrat, it's a matter of coming together to help the country.

I'm afraid we are all going to have to make some sacrifices to help our country or we will be in even bigger trouble. If we all work together, I'm sure we will find a solution to this. I'm just afraid that there is not enough oversight in Washington of the people getting these bailouts. I'm glad they have not yet given all of it away, and they are realizing that some of what has been given is not working like they intended it to. Perhaps they will modify the bailout plan so that it does become more effective.

We need to be praying for our leaders that, if it' God's will, that they have the wisdom to do the right things.

[HALEY]

As a middle class worker i pay enough taxes, i'm not helping these corporate giants out at all.. the governement should have never bailed out these giants. and for what so they can go to a spa resort cause there so stessed out!! and as for small business owners, my sister owns a business and this will effect her, why should she pay more taxes she pays enough already.
If the governement keeps this up there will be no middle class in the united states at all..
Who is going to be next in line for the bailout?? Why didn't the government help out all the steel mills that closed?? why just the banks, its not fare, cause the banks got greedy and loaned people money that they couldn't pay back... this is crazy.
I help this government out alot by working and paying my taxes. Why don't they look at the millions of people on welfare and get a work program started for them and ship all the illegal aliens back.. there's a start right there.... Im sick of supporting them people too... I wish someone would give me money and pay my medical bills too...

[Marilyn]

Haley, I'm very much in agreement with you about the big corporations!!! This is horrible. And how about those automakers taking their luxury jets to Washington to ask for a handout. They said it was for safety reasons. The wealthy in Hollywood fly commercial jets, and if they aren't safe enough for the CEO's they aren't safe enough for the rest of us either. None of those executives should make more than the President if they are taking taxpayer money to make their business work. It's a shame what is happening!!! And you are right, why the automakers and not the steel mills??? Once you start bailing out, where do you draw the line???

Congratulate your sister on making a taxable income of more than $250,000 a year. She should be having a nice Christmas. That's quite an accomplishment for a small business owner. She's doing better than 99% of them, and much better than my hard working small business owning husband has been able to do, even building several $400,000 custom homes a year. People think he makes lots of money. He handles lots of money, but net taxable income is another matter. He has lots of business expenses like rent, labor, materials, etc, etc. If the economy improves, maybe someday we can be where your sister is. I was hoping to retire and help him to get there, but the way things are looking, I'd better stay right where I am as long as I can.

[HALEY]

Marilyn, she is making that on paper only, she is into personal care, and she and her husband only make around 9.00 an hour with all the overhead they have, round the clock workers, lpn's on duty, and the things they have to claim for income is crazy, she pays her personal care home mortgage and that is considered income! I never heard of that in my life, she said its crazy.. they had to cut back some on the groceries buying store brand and shopping at Sam's club cause there prices are going up.. crazy...
And your right where does this madness end?? it's funny when the steel industries were being shipped over sea's where was the goverenment to help the millions of steel workers that lost there jobs and were an industry that's still hurting today. we want money too.. but were not going to get it.. we laid off and fired thousands of people since Sept. you don't see any of this in the newspapers why?? it makes my blood boil!!!
And Gm workers are making with benefits $ 47.00 an hour and with nothing new on the car markert, no fuel effiency cars ... let them close if you ask me.. there not competative with the foreign market... why put the money is a failing business?

[Marilyn]

We were talking about it today. Gas is down to $1.83 per gallon here. Diesel is $2 something. The grocers and everyone else raised their prices because the price of gas and diesel was so high that their costs had gone up. Has anyone seen the price of groceries and other consumer goods drop since the gas prices have dropped????

[HALEY]

groceries are going up around my area like crazy, i was emailed a list of department stores that are going to be closing soon, so sad...