Joe the Plumber, a new spin

iVillage Member
Registered: 10-16-2008
Joe the Plumber, a new spin
166
Fri, 10-17-2008 - 4:16pm

The appeal of Joe the Plumber is that he puts a face to a tax number. Even if he's really not earning that much or isn't even a plumber. I am married to someone who makes that much and let me try to make the same point from a different perspective.

Go ahead, raise my taxes Obama. You are right, I can afford it. But first I'd like you to meet Mike, Steve and Emily. I don't own a business or anything, but I do spend my money (you know, since I'm one of the have's, that's what we do). Obama wanta to spread my wealth around and here's how it will affect 3 people in the middle and lower income brackets.

Mike - Mike is a music school teacher. He does private lessons on the side to make a little extra, in addition to volunteering in a community band. He loves teaching and playing music. He teaches one of our children and we pay him $100/mo.

Steve - Steve works full time doing private music lessons. He has two kids who he pays child support for and he lives on the edge of poverty. Private lessons is his only source of income. We pay for him to instruct three of our children and me every week. We pay him $364/mo.

Emily - Emily works full time but became a mom at age 18 yo, has no education past high school and lives near the poverty level. She is on her own being recently divorced. She helps us out once or twice a week, earning $120-$160/mo.

I recalculated Obama's tax proposals and realized it will only cost my family $1,350/mo on average. I can cover almost half of that by cutting my budget back, not hiring the babysitter and doing away with private music lessons (they are luxury items anyway).

I'm sure Mike, Steve and Emily will be glad to know that instead of earning money from my family, they will get $500 refundable tax credit next year under Obama's plan. And maybe even if $300 stimulus check like they got from Bush in the past.

Make less and pay less in tax, that's Obama's plan for the middle class.

Pennsylvania Mom http://openlettertobarack.blogspot.com/

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iVillage Member
Registered: 10-16-2008
Fri, 10-17-2008 - 7:56pm

I recalculated the tax cost to my family using only the earnings over $250k going up, and payroll taxes increasing only 4% over $250k. That comes to an average $1,350/mo.

Mike, Steve and Emily won't have the income, they'll be worse off. This is what happens when your income goes down in trade for a tax credit.

Pennsylvania Mom http://openlettertobarack.blogspot.com/
iVillage Member
Registered: 10-16-2008
Fri, 10-17-2008 - 7:59pm

>>>>I think that Steve, Mike and Emily would be happy to know that under Sen Obama's plan not only will they get those refunds but they will get healthcare, something they just might need with the meager wages they are bringing home.<<<<

No they won't. Mike already has it, he's a teacher. Steve is self employed, Obama won't be able to force his "employer" to provide him coverage. Emily might get it through her employer, if she can afford to pay the employee portion of the premium.

>>>>I also think the Steve, Mike and Emily would benefit much much more under Sen Obama's tax plan than Sen McCain's. I also think that if you are no longer able to afford music lessons and a baby sitter they will be able to find someone to fill your spot.<<<<

By whom? All the people who know get a $500 tax credit will be sending their kids for private music lessons?

Pennsylvania Mom http://openlettertobarack.blogspot.com/
iVillage Member
Registered: 10-16-2008
Fri, 10-17-2008 - 8:02pm
Your math must be off or maybe you are not using a high enough tax rate. We don't have that much per month.
Pennsylvania Mom http://openlettertobarack.blogspot.com/
iVillage Member
Registered: 10-16-2008
Fri, 10-17-2008 - 8:03pm
I'm not asking for sympathy, not at all. I think we'll be fine. I think we'll have to cut back, and I'm thinking people who provide music lessons and work as nanny's and babysitters might care about that. Since what they get back in taxes won't make up for the lost income.
Pennsylvania Mom http://openlettertobarack.blogspot.com/
iVillage Member
Registered: 10-16-2008
Fri, 10-17-2008 - 8:05pm
How is giving tax credits going to make people suddenly earn a better living wage?
Pennsylvania Mom http://openlettertobarack.blogspot.com/
iVillage Member
Registered: 10-16-2008
Fri, 10-17-2008 - 8:09pm

>>>yes they would be more likely to get better health insurance. not to mention the child care and college education credits would really help them out too. <<<<

Well Steve isn't going to get the child care credit, his ex-wife has custody and she makes good money. Mike doesn't have kids. Emily can't afford childcare, she uses friends and family members.

>>>does anyone know who mike emily and steve are voting for? if it is mccain, i'd be surprised, but i'm sure hed be happy to hear about them so he could make them his new poster children<<<<

I'd bet they are voting for Obama, because they don't know the financial decision we'll be forced to make if Obama is elected. It's called cutting your nose off to spite your face, or biting the hand that feeds you, though it's Obama doing it for them.

The Tax Foundation both candidates will increase the number of American's who pay no income tax, Obama will increase it from 46 million to 63 million, McCain will increase the number to 62 million. http://www.taxfoundation.org/publications/show/23631.html

Pennsylvania Mom http://openlettertobarack.blogspot.com/
iVillage Member
Registered: 10-16-2008
Fri, 10-17-2008 - 8:11pm
We pay her over minimum wage, $10/hour vs. minimum wage of $7.25/hour. How am I robbing anyone?
Pennsylvania Mom http://openlettertobarack.blogspot.com/
iVillage Member
Registered: 05-27-2008
Fri, 10-17-2008 - 8:32pm

I'm sure Mike, Steve and Emily will be glad to know that instead of earning money from my family, they will get $500 refundable tax credit next year under Obama's plan. And maybe even if $300 stimulus check like they got from Bush in the past.

It is nice that you are earning more the $250,000/year (these are the only people who will have their taxes raised under Obama) and my heart really bleeds for your kids being deprived of all of those music lessons. Emily, Steve and Mike will lose their jobs with you no matter who wins because McCain's proposals are even more expensive than Obama's. The bottom line that Emily, Steve and Mike will be better off financially under Obama.

Are you paying FICA and workman's comp. for these three employee's or are you one of those, unethical, immoral under the counter pay them cash people.

iVillage Member
Registered: 04-09-2007
Fri, 10-17-2008 - 8:41pm
How many jobs do you imagine you'd create under McCain?
iVillage Member
Registered: 10-16-2008
Fri, 10-17-2008 - 8:42pm

McCain will not raise our taxes and as long as my dh keeps his job we can continue to afford these extras.

They are not employees of ours. Mike and Steve are self employed, tax is only required on Emily of we go over the nanny tax limit.

Pennsylvania Mom http://openlettertobarack.blogspot.com/

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