Well this should probably be titled more of depression by numbers but it should help illustrate how new and additional taxes aren’t going to solve our current problem.  All numbers for this exercise have been obtained from US Debt Clock.

Current Tax Revenue as of Today: $2.2 Trillion

Current Spending As of Today: $3.6 Trillion

Deficit for the Year As of Today: $1.4 Trillion

US Population: 311 Million

Deficit per man woman and child:  $4,500

US Taxpayers: 111 Million

Deficit per taxpayer: $12,612

In order to break even in our spending that’s what’s needed in new taxes.  But remember they are only going to raise taxes on those earning over $200,000.  What does this do to their effective tax rate?

According to Fact Check, places 1 in 50 households making more than $250k a year.  That comes out to 2% of households, which we will for the sake of providing maximum cushion apply it to 2% of the population.

Population making over $250k: 6.22 Million

Deficit per “Taxable Citizen” under their plan: $225080

Given that huge disparity it can be assumed that the effective tax rate for those who earn $250k or more will be 90%.  Remember the population making over 250k in this case is probably grossly exaggerated and I expect the required tax rate to be 100%.  So what incentive will they have to continue working, or running their business who employee others?  Joe did an example of how these cuts are actually looking for a simpler perspective most can understand.  The government needs to learn to spend within it’s means, the rest of us have to.  They have a credit card and own the credit company which keeps issuing new credit.  Eventually you end up so far in over your head there’s no way out but bankruptcy.

It seems that many are willing to listen to this class warfare, and are more than happy to use the force of government to prey upon the efforts of others.  Doesn’t matter if they’re a D or an R, the bottom line is neither really cares about the future of the union and arresting the deficit.  All they care about is their reelection which means giving taxpayer money to voters.  The few that have the balls to stand up and say no more are berated by none other than king RINO McCain.

Hope you have all invested in a plan “B” because it appears that our elected reps have pushed the throttles forward and put the nose straight at the ground.  This is going to leave one hell of a crater.

Another way to look at all of this, every tax payer is a single father with 2.7 children he is providing for.  So in a household that is “DINK”, Dual Income No Kids, they support 5.4 other people.  There is an enormity to the spending situation, it appears that only a few of us are willing to point out the wickedness along with its size.

When I read the following all I could think was, that’s a good start. 

A Republican plan for the 2012 budget would cut more than $4 trillion over the next decade, more than even the president's debt commission proposed, with spending caps as well as changes in the Medicare and Medicaid health programs, its principal author said Sunday.

I wouldn’t shed a tear if any and every last entitlement program was dead ended tomorrow.  Even more than that, I would prefer to see every government investment program done in as well.  The way investments work is risk and reward system.  The government programs have absolutely no risk, yet they promise huge payouts.  The question becomes how do they afford this?  That is quite simple, the government covers it’s losses by the use of force collecting the funds required from the those who pay taxes.

Government is force, those who vote receive entitlements from government are merely asking the government to steal on their behalf.

So while cutting the budget today by 6.5 billion dollars, congress increased the deficit by 72 billion dollars.

The national debt jumped by $72 billion on Tuesday even as the Republican-led U.S. House of Representatives passed a continuing resolution to fund the government for just three weeks that will cut $6 billion from government spending.

Only our government could increase the national debt while claiming they were cutting back.  The fun doesn’t stop there though because it ends up the Federal Revenue no longer covers the mandatory spending for required government functions.

The White House Office of Management and Budget projects that in the current fiscal year (2011), mandatory spending alone will exceed all federal receipts. So even if we didn’t spend a single cent on discretionary programs, we still wouldn’t be able to balance our budget this year — let alone pay off any of the $14 trillion in debt that we have already accumulated.

Joe had a great example the other day regarding the current finical situation.  At this point the government couldn’t save money even if it wanted to.  Even then it would require serious cuts including getting rid of unnecessary jobs, social programs, and other things that really aren’t the role of government.

While some are vehemently objecting, others will be upset that what was promised them is no longer possible, and it will require that people return to being productive.  Will it be painful, will many be upset they lost money “promised” them you bet.  However you can’t get money for nothing and with how things are going the only solution is going to be to print the money to pay off the debts.  This will weaken the value of the currency and people will be paid their due with cash that is worthless.

The government is still running flat out ignoring the fact that a mile down the road the bridge is out.  You have city councils giving themselves pay raises.  You have public employee unions working to continue and increase their burden on the public.  Then you have congress who are cutting back their budget while actually spending even more.

If you haven’t started thinking about how you’re going to survive the coming economic collapse, you might want to seriously start thinking about it.  This is unsustainable and it appears our elected officials are actually trying to ensure this crisis occurs.

There is a serious problem when you let people give themselves raises from the public coffers and the City of Denver has been so kind to demonstrate it for us.

After spirited debate Monday, Denver's City Council voted 10-3 to tentatively approve a 6.6 percent raise for the next sitting council and every other elected official — an increase to be delayed for half of their four-year terms.

The city is facing a $100 million budget shortfall for the 2012 budget and has a structural budget problem that, if not addressed, could balloon into a $500 million deficit by 2030.

In an economy where most people are struggling to make ends meet, are doing everything they can to save money and cut their personal deficit the city council voted to give themselves a raise from the public coffers increasing the already large deficit.  You do not save money or cut down on debt by spending more.

Many companies have not given their employees raises over the past couple years and even more took a reduction in equal to what they were making.  While the rest of America is tightening it’s belts, these individuals are choosing to spend more money that isn’t their and rack up more debt that they are neither responsible or accountable for.  I hope come election time the 10 that voted yes will have opponents and be voted out of office.  Hopefully their replacements will immediately work to revert the wages back.  Obviously many in the government still don’t seem to understand the concept of spending within your means.