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by trollbridge
3 days ago
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The 28% included payroll taxes, sales tax, property tax and so forth. If you don’t include those, it’s closer to 60%. Someone with 3 kids earning $26k gets about $10,000 in cash back per year (wiping out $2k in payroll taxes) and $12k of food stamps. Assuming they spend 100% of their cash on either taxable items with 8% sales tax or rent with comparable property tax, that’s still net minus -$5,280. If we include food stamps and the value of Medicaid at $500 per head per month it’s net minus -$40k. And that doesn’t include things like housing assistance and energy assistance. Such a person DOES pay gross taxes… they just don’t owe on net. |
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