Taxes have suddenly become even more upsetting to some people since January 2009. Despite the fact that President Obama's stimulus package gave momentary tax relief to 95% of working Americans, the paranoid fear that our children are going to be taxed into chattel slavery because of these tax cuts is a narrative that the GOP/Tea Party has pushed with some measure of success thus far.
Their ability to decry staggering deficits while not wanting to raise taxes on even the richest Americans defies logic. But somehow Republicans have made repealing the Bush tax cuts for the rich such a toxic concept that they forced the Democrats (shocker!) to table this idea. The November elections will show whether these political shenanigans will actually work, but I give the GOP credit for finding an opening to promote their cause where none really existed.
That said, with all of this talk about taxes and tax cuts, how many people even know how much they pay in taxes annually, or where all that money is actually going? Ask most people how tax monies are spent, and you'll inevitably hear terms like "welfare," "public housing," "food stamps," and "Obamacare." Dividing Americans into a "Productive Us vs. Shiftless Them" has been a GOP tactic for years. But is this actually true?
A recent study by a noted liberal think-tank broke down how the taxes of a typical working American are actually distributed. You might be shocked to find out where your money's really going:
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Black Progress
Blacks in Business
The new generation of African Americans going the entrepreneurial route are well equipped and more knowledgeable than ever before. Despite facing many obstacles unparalleled to other races many African Americans have aspired to receive equality and the right to ownership since the ending of slavery. Now, in the 21st century we are able to see their successes as they become business moguls and CEOs of major companies.
(Photo: Getty)
AFP
BlackVoices.com
Black Progress
Blacks in Business
The new generation of African Americans going the entrepreneurial route are well equipped and more knowledgeable than ever before. Despite facing many obstacles unparalleled to other races many African Americans have aspired to receive equality and the right to ownership since the ending of slavery. Now, in the 21st century we are able to see their successes as they become business moguls and CEOs of major companies.
Black Progress
Digital Divide Narrowed
The divide between African-Americans and the rest of the population has been practically eliminated. In recent years the number of blacks online and with high-speed internet has doubled. This gives our community more access to jobs, networking, and inexpensive goods and services. Today, more than 68 percent of African Americans report they are online, compared with 71 percent of all Americans. At one point, that divide was closer to 20 percent.
Black Progress
Race Relations
Overt racism and bigotry have been shunned and pushed to the margins of American life. Inclusion and equal opportunity have been embraced as key principles in America as well. Discrimination, while not eliminated, is no longer humored or tolerated in the larger society the same way it was 50 years ago.
Black Progress
Education
In recent years black graduation rates have been on the rise. School standards, charter schools and the no child left behind act have been cited as reasons for black students' progress in test scores for reading, writing skills, math, and social sciences. Consequently, the number of black men in women enrolling in college is increasing and in many states, the number of African Americans in or heading to college is actually on par with the region's overall population.
Black Progress
Hip-Hop Culture
What started as musical expression in the slums of the inner cities has turned into a $4 billion-a-year industry. Some say hip-hop is the most important contribution to the American cultural landscape since blues, jazz, and rock and roll. Now that's progress! Hip-hop literally forced the important melding of black and white and Latino cultures after the 1960s and 1970s. Today, hip-hop is not one thing, it is every thing: fashion, language, music and movies.
Black Progress
The Black Athlete
Michael Jordan, the Williams sisters, Tiger Woods, Barry Bonds, and Jerry Rice. These names have revolutionized the sports industry. They have collectively made a mark for black athletic talent in the minds and hearts of people around the world as household names. Those names became synonymous with the games they dominated and with talent unmatched by any other person in history. Love sports or not, the black super-athlete has been an important part of our progress in the last 25 years.
Black Progress
Blacks in Hollywood
History was made at the 74th Academy Awards in 2002 when Halle Berry became the first African American woman to win Best Actress. Denzel Washington continued the legacy of greatness when he was awarded Best Actor for Training Day 39 years after Sidney Poitier was the first black man to win the award. They have helped open the door even more for a new generation of leading black men and women in film, not to mention Oscar winners.
Black Progress
Political Power
Condoleezza Rice and Colin Powell are just a couple of examples of how African-Americans have advanced in the world of politics and government. In the last 25 years more black lawmakers, mayors and politicians have come on the scene. It is estimated that in the last 25 years nearly 9,000 blacks have been elected to public office. Powell and Rice have been influential in the advancement of black women and men in the U.S. government by their presence and success at the highest levels.
Black Progress
Empowered Black Women
Call it the Oprah effect if you want, but since this media mogul hit the scene, she has had an impact on all women, not just black women. Oprah Winfrey became America's first black female billionaire, and as inspiring as she is, she certainly won't be the last. She is a potent personality and a cultural phenomenon. Even though Oprah never depended on a black consumer base, her business activities reflect certain aspects of the expansion of black business activity in last 20 years. For instance, black women are more likely than black men to secure a small business loan.
Black Progress
A Black President
As Barack Obama continues on his path to become the first African-American President of the United States, history and progress is being made. It was monumental when Barack defeated Hillary Clinton in the primary to lead the Democratic Party, but before him there was the Rev. Jesse Jackson and others, who can not be discounted for helping pave the way.
Black Progress
According to the IRS website, in 2008 the median tax filer in America had an adjusted gross income of $34,140 and paid $2,790 in federal income taxes. Assuming that all of that income was earned through wages, this filer would also contribute $2,610 to Social Security and Medicare through FICA. That is a total of $5,400 in federal tax and FICA payments. ('A Taxpayer Receipt')
So, of that $5,400 in federal taxes, where exactly does the money go?
A staggering 30% of it goes to entitlements like Social Security, Medicare and Medicaid that many of us pay into for years, but can't use until much later in life, assuming we make it that far. No politician with a desire to get re-elected will ever consider touching these social safety nets, despite how much smoke they might blow.
And what about the remainder of your tax money? Check it out:
-A mere 5% goes to paying off interest on the national debt. Yep, we're China's b*tch.
-Roughly 5% goes towards funding active and retired service members.
-Only about $10 goes towards public housing, and just $46 in foreign aid goes toward feeding the starving chirrens in Africa.
-Funding the bozos in Congress costs only about 19 cents. Clearly, we get what we pay for.
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'We're an International Corporation'
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His Economic Record
Of course these aren't the only tax dollars we get stuck for, because everyone pays state and local taxes as well, but these findings do raise some interesting questions. They also make the complaints of Glenn Beck's fans seem pretty stupid.
So will people stop outright saying and otherwise implying that black people on welfare is what is making taxes so high? Please?
Questions:
Are you shocked to know how your taxes are spent? Did you assume "poor, non-working folks" were getting more of your hard earned cash?
Can we expect all of this stuff to get paid for on it's own without raising taxes at some point? Does anyone really need a tax cut right now, considering how dire our national debt/deficit supposedly is?
Would you be willing to forgo Social Security, Medicare and Medicaid in order to save money on your taxes?
Jay Anderson is a freelance writer from Washington, DC, whose work has been featured in the Washington Post and on NPR. When he's not busy talking smack here, he runs the award-winning blog AverageBro.com. Follow him via Twitter @AverageBro.
Comments: (46)
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By: pink on 10/06/2010 5:21PM
Oh my goodness...THANK U SO MUCH FOR A POSITIVE NEWS ARTICLE ON AFRICAN AMERICANS!!
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By: The truth on 10/07/2010 9:37AM
Summation
Most of the money mentioned (Taxes) goes back to those who earned it once they reach retirement age.
So they are in fact "entitlements"
Welfare is a supposed to be a helping hand UP, but we all know there are those who use it as a handout. We all have family members who take advantage of others. Even Obama had an aunt in his closet.
Welfare is funded by the taxpayer and rarely results in those paying for it receiving it because they're working and paying the taxes that fund it.
To the contrary Medicair, Medicaid and social security HAS to be earned.
So, unless you're (Really) physically or mentally unable to work you have no excuse.
Now get off your but and get to work
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By: The Truth on 10/07/2010 9:44AM
Summation
Most of the money mentioned (Taxes) goes back to those who earned it once they reach retirement age.
So they are in fact "entitlements"
Welfare is a supposed to be a helping hand UP, but we all know there are those who use it as a handout. We all have family members who take advantage of others. Even Obama had an aunt in his closet.
Welfare is funded by the taxpayer and rarely results in those paying for it receiving it because they're working and paying the taxes that fund it.
To the contrary Medicair, Medicaid and social security HAS to be earned.
So, unless you're (Really) physically or mentally unable to work you have no excuse.
Whatever race you IS, get off your but, get to work and start pitching in.
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By: tmj on 10/06/2010 7:05PM
I hate to be the bearer of bad news, but the highest rate of welfare recipients go to people who live in rural America. It is a researched fact, but one that is never spoken about. No one wants to tell the truth. A good portion of blacks and african americans live in the urban core and suburban areas as middle class citizens. Not in rural areas ! look it up folks
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By: stare k on 10/07/2010 6:12PM
To Tmj Most blacks live in the city .Where as whites don't want to live around us . All u are trying to do is put welfare on blacks as you all have done all these years .You all just don't want to beleive that whites are on welfare too .Get a grip
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By: traciii on 10/07/2010 8:25PM
this is a statistic that many whites do not want you to know. many of their brothers/sisters/cousins are on welfare to the tune of 61% of all welfare recipients as of 1991.
see "Welfare: A White Secret" http://www.time.com/time/magazine/article/0,9171,974473,00.html
do you want to take a wild guess at where that percentage is at now in 2010 after the recession hit? probably closer to 70 or 75%
if any white person ever says something about "all those welfare blacks" you post them this article and this 61% statistic. they will shut up very quick
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By: tmj on 10/06/2010 7:13PM
I hate to be the bearer of bad news, but the highest rate of welfare recipients go to people who live in rural America. It is a researched fact, but one that is never spoken about. No one wants to tell the truth. A good portion of blacks and african americans live in the urban core and suburban areas as middle class citizens. Not in rural areas ! look it up folks
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By: Donna on 10/06/2010 7:40PM
What about all the meth heads and crack heads that are white walking around here pulling my tax dollars because they are on welfare too (some claiming social security and disability as well)??? Don't forget the ones that live in the "projects" with their little half breed kids...or did you forget that part? MY tax dollars pay them as well, and I'm a BLACK worker.
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By: westfall on 10/06/2010 7:53PM
Illegals working in this country and paying no taxes because no one knows they are working is not helping either. And there are a lot of them on welfare - food stamps, etc. Medicare and social security is not welfare. People work and earn these benefits. Let's not allow these idiots in Washington who we elect to represent us give us no snow job about what we have earned.
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By: crownedprincess on 10/06/2010 8:14PM
I hate to burst everyones buble, but the biggest welfare recipients is corporate America. Consider the following: Corporate America gets welfare money through a federal agency called Export-Import Bank. This agency has a multi-billion dollar budget that support, almost exclusively, Fortune 500 corporations. As taxpayers, we're funding the Export-Import Bank. Before we throw people who need assistance under the bus, let's look at the really welfare recipients.
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