re: Does Trumps tax plan help middle class?

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Hurts me if I can't itemize state tax and mortgage interest

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Even with the beefed up standard deduction?

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Why not take the $1k right now, invest it, let compounding take over, then use that money for insurance when you get older?

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Because I'm already contributing to Medicare and I'd rather enjoy that money in retirement for something else. I do plan on paying for a supplemental health insurance plan during retirement.

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Source?

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One of the shows on Fox News yesterday. Not sure which one. I was flipping channels and could have mis-heard or misunderstood.

I think the real question is how will trickle down economics work given the top tax rates are half what they were when Reagan cut them.

Further, if they can't show an offset for the 5 trillion in tax cuts then you need 60 votes.

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Why not take the $1k right now, invest it, let compounding take over, then use that money for insurance when you get older?

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It's called not trusting all individuals in being able to do that. Need a new $1,000 iPhone - well, it's not in our budget but we got this $1,000 sitting in our Medicare account that we can "borrow" from.

I hope you see my point, for many people that want what you espouse about "keeping my own money", many of them would fail.

Suppose you're 30 years old and you save that thousand a year. So you save $35,000 for 35 years, plus interest. You would have less than @100,000 for medical purposes to last you the rest of your life after 65. That doesn't go very far when you have one operation much less two or three. So when you use up that 100 grand, what do you do then if you have eliminated yourself from the Medicare pool?

The standard deduction is doubling. The child tax credit is going up too. Not sure if there is anything else, but that's a lot of money right there.

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Only a little bit. It's not enough help to justify the massive cuts to Medicare and Medicaid that have been proposed in the budget to help fund the tax cuts, IMO. I'd rather have my Medicare when I retire than an extra $1k right now.

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This is a fallacy that you clearly don't understand.

Look, the CBO does an annual report on Medicaid and Medicare, and in that report, they estimate and project the growth rate of Federal and State subsidy outlays for the next 10 years. And then they add up the total projected outlays for those 10 years and spit out an estimated number spent.

Well BEFORE Obamacare, Medicaid and Medicare growth rates very closely mimic'd the true inflation rate. Somewhere around 3% on average.

AFTER Obamacare, and it's absurd expansion of Medicaid and Medicare, that average blew up to around 5.7%. And that was after Medicaid and Medicare had three straight years of between 11% to 16% actual expansion growth.

Trump's budget is not actually "cutting" Medicaid and Medicare. It's simply reducing the growth rate, which is producing a lower 10-year CBO projection.

For example, lets illustrate out just the Medicaid changes. He's going from the 2016-2017 projection of 5.7% growth rate down to a 3.0% growth rate.

Medicaid in 2016 cost $576 BILLION of the budget. The estimate for 2017 is $608 billion. So let's start there and project out 10 years with a 5.7% compounding growth rate.

$608B x 1.057 (5.7%) = $644B (now do this 9 more times).

608 + 644 + 680 + 718 + 760 + 803 + 849 + 898 + 949 + 1,003 = $7.912 TRILLION spent on Medicaid over the next 10 years if the 5.7% Obamacare expansion rate were to stay in effect.

Now lets do this same thing but with only Trump's 3.0% growth rate. $608B x 1.03 (3.0%) = $626B (now 9 more times)

608 + 626 + 645 + 664 + 684 + 705 + 726 + 748 + 770 + 793 = $6.969 TRILLION spent on Medicaid


So look right there. The current CBO projection says we will spend $7.912 trillion on Medicaid over the next 10 years.

Trump's projection says we will spend $6.969 trillion over the next 10 years.

THERE is your $1 trillion of Medicaid "cuts" that the Left is whining about and misrepresenting.

As you can see, he's not really cutting Medicaid. If we spend $608 billion in 2017 and $793 billion in 2027, there's no "cut" there. It's just not at the absurd growth rate projected with Obamacare expansion.


Do you get it now?

This proposal still panders to mouth breathers who breed.

Sticks it to working single folks trying to ascend.

So to put it short, SSDD.

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What state are you in?

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NC. 5.75 % State Tax rate. Property tax also high here