US Tax Revenue declined by 1.5% despite 2m jobs created

[DRumsfeld2000]

If this analysis is correct, then the jobs growth being lauded by various parties does not stack up as the 'quality' of the jobs is poor. The long term consequences of this for Government revenues appears to be a serious but undiscussed issue.


http://www.zerohedge.com/news/qualit...st-picture-yet

[dcarrigg]

Re: US Tax Revenue declined by 1.5% despite 2m jobs created

If this analysis is correct, then the jobs growth being lauded by various parties does not stack up as the 'quality' of the jobs is poor. The long term consequences of this for Government revenues appears to be a serious but undiscussed issue.


http://www.zerohedge.com/news/qualit...st-picture-yet

One has to wonder about the effects of pay and benefit cuts for those who have maintained employment as well. Anecdotally I've personally known private and public sector workers who have experienced 10% pay cuts, massive health insurance contribution increases (which go on the pretax side of the payroll ledger), furloughs, and all sorts of other income-reducing measures over the last 3 years in particular.

[charliebrown]

Re: US Tax Revenue declined by 1.5% despite 2m jobs created

Same thoughts here, in the BLS statistics, I see the weekly wages rising, but I am wondering if this has some sort of survivor bias built in. I am getting a 5-7% increase in my health insurance premiums each year. I am also deferring more money each year into my health savings account, and each year I wonder why I didn't save more into it, as it is normally drained by June. Almost all of my friends who had to change jobs accept lower wages for the same caliber of work, and longer hours for salaried types.

To "punish" my state for thinking they can raise the income tax rate from 3% to 5%, I have set my 401k deduction to the maximum amount, and have cut back on spending. I only hope the feds don't swoop in and trade my 401k balance for some guaranteed annuity. I would like to see a statistic that shows how many families had to give up their home because they can no longer pay their mortgage and their state income tax. A median family in my wealthy county had a $1300 a year increase in taxes with no increase in wages.

My state and local taxes are rising sharply which I also get to deduct from my federal return. I get a whopping .5% rate on my savings account at the CU, and my money market give .04%. So there is another revenue source dried up on the federal return. I am also being very careful not to trip capital gains in taxable accounts too. Stock market was flat last year, no capital gains taxes for uncle sam ha ha!

[doom&gloom]

Re: US Tax Revenue declined by 1.5% despite 2m jobs created

Careful, the minions of the Ministry of Propaganda will come after you for not allowing yourself to be fleeced to the maximum extent allowed by law.

[c1ue]

Re: US Tax Revenue declined by 1.5% despite 2m jobs created

To "punish" my state for thinking they can raise the income tax rate from 3% to 5%, I have set my 401k deduction to the maximum amount, and have cut back on spending.

I sure hope your company permits self directed investing options with 401K, otherwise your punishing of da gubmint is via handing off your savings to the banksters appointed by your corporation.

[lektrode]

Re: US Tax Revenue declined by 1.5% despite 2m jobs created

and aint that a hobsons choice....
door#1 screwed out of ones savings by the bernank via ZIRP, or door#2 the banksters via the casino (fka stockmarket)

vegas starts to look good....
at least ya get free booze.

[flintlock]

Re: US Tax Revenue declined by 1.5% despite 2m jobs created

Long term job outlook for the US is not good. Fewer good jobs, more low paying jobs. Those with higher incomes will have a TAX bullseye painted on their heads. High taxes drive away job creating business. Rinse, wash, repeat.