“Democrat Barack Obama said Friday he would apply the Social Security payroll tax to all annual incomes above $250,000, which would affect the wealthiest 3 percent of Americans.
“The presidential candidate told senior citizens in Ohio that it is unfair for middle-class earners to pay the Social Security tax ‘on every dime they make,’ while millionaires and billionaires pay it on only ‘a very small percentage of their income.’
“The 6.2 percent payroll tax is now applied to all income up to $102,000 a year, which covers the entire amount for most Americans. Under Obama’s plan, the tax would not apply to incomes between that amount and $250,000. But all annual income above the quarter-million-dollar amount would be taxed under his plan.
“Obama has talked before of establishing such a ‘doughnut hole’ in the amount of income subject to the Social Security tax. Friday marked the first time he named a restart level: $250,000 and above.”
Obama wants payroll tax on incomes above $250,000, By Charles Babington, Associated Press Writer, Friday, June 13, 2008
Yesss! The rich are different: they have more money!
This is fair: 15% on $50K is $7,500, which is a lot for someone earning $50K/year. It leaves this taxpayer with $42,500 to pay the rest of their taxes, shelter costs, food, gas, whatnot. 15% on $500K is $75K, which is more than the $50K/year person even grosses so STFU, thanks!