****This post is going to be a little different from my usual postings. I wouldn’t even call this a post because it’s going to be more of rant. I cannot guarantee that there will be any educational value in what follows and if I offend anyone in the process I do not apologize because these are my opinions and beliefs!****
Let me first make it crystal clear that I am not “rich.” My wife and I do not make more than $250,000 a year however, we are smart enough to understand that this “idea” is a VERY slippery slope and is growing exponentially in America. The lack of recognition for hard work and absolute destruction of the capitalism in America will be our downfall, mark my words.
I am sure by now you have heard about “The Fiscal Cliff.” If not in short they are tax breaks that are set to expire on Dec 31, 2012. Here is a quick summary break down of the tax increases that are going to take place.
There is a basic principle that everyone needs to understand, “Smart” money goes where it is treated best, plain and simple. By taxing individuals or businesses at higher rates there comes a point where they start looking to relocate their money or business. It is basic economics (Austrian).
There is one FUNDAMENTAL thing that people don’t consider when they support the idea of “Taxing the Rich.” And here it is….. The “rich” are rich for a reason. Yes we all know of that one friend or distant cousin who had a windfall inheritance but for the most part people who are rich EARN IT!
Think about it for a second, as a blogger and investor I work hard. Extremely freaking hard to be blunt. I have a full time job, am a father, and a husband so blogging and investing are done on what little time I have left in the day! As a blogger I am a:
- Website Designer
- Customer Service Rep
- The list goes on
And guess what?! As of now, I don’t make a single penny. I do this for absolutely free and it’s exhausting, meanwhile my peers go home flip on the tv to watch their shows that were DVR’ed the night before or go out and enjoy a nice dinner with their family. Make no mistake there is nothing wrong with doing that, that is their choice and this is mine. But don’t penalize me for attempting to be productive and potentially produce extra income on the side. Don’t call me an overnight success after years and YEARS of long nights and a couple days/weeks of self doubt. This is the truth about the struggles of small business owners that is RARELY publicized!
I mean C’MON!!!
Building a business/brand is hard work! Being an employee is EASY!
I am being dead serious right now and 100% sincere. Can somebody please help me understand the logic behind expecting the rich to pay more than everyone else?
- What are the benefits to our economy?
- How does it encourage entrepreneurs?
- How does it spur growth?
I maybe preaching to the choir, if so then it looks as if I’m in good company. If that’s the case forward this to a friend or family member who you know has an opinion different than ours. I honestly want to hear what they have to say.
One idea that I welcome with open arms is a flat tax rate. I know it will never happen but at least it would be “fair.” Technically the more money you make the more you pay in taxes but there won’t be individuals who pay absolutely nothing!
Do you think we should have a flat tax rate?