Why does the Goverment take so much out in Taxes?

Question

Just finished doing my Taxes, I'm single in my mid 20's, and make about 45k a year. I claim 0. The Government takes close to 30% of my income out in taxes.

I in all honesty feel punished because I don't have kids or support anyone on paperwork. (In reality I am often supporting my family financially my mother or my sisters & their children). I think my income is average. But I look at all the money the Government took & just feel a little sick.

I was also just told that the money they have been taking out for my retirement & Medicare, more then likely will not be there when I retire! Where is that money going then? This is insane!

Sorry social - security thing, yeah I get it & I've known about it for a while, but looking at the amount I put in, the high amount I put in & realizing that money is going to other people is frustrating. I think that whatever money you put into it you should get back when you retire. Plain & simple. That is your money. As far as roads & schools go, I fail to see how come that costs a 1/3 of my income.

Answer 1

The government takes out so much in taxes because, simply put, they have a lot to pay for. The road you drive on to get to work wasn't given to you, you purchased it along with everybody else that uses it.

Unfortunately for you, and I, and most of America, we aren't funding Social Security for ourselves, we're funding it for mom and dad or Grandma and Grandpa. The only way WE get to have any benefits are if there is a radical change in the system and OUR children pay enough to support US.

Having said this, you also shouldn't feel too picked on. As Americans, we really don't pay that much in taxes (in comparison to other countries) but, admittedly, we don't get a lot from the government either. (Think National healthcare, which happens to be a pretty hot topic right now.)


ADDITIONAL INFO:

Just for the pure enjoyment of researching this topic, go to a library, look on the internet, or whatever, and find out how much :
A. A construction worker makes an hour (and not just the general laborers) .. you'll be surprised how much a man on a machine can make.
B. How much in materials it costs to pave one city block's length of asphalt, or a cement sidewalk.
C. How much it costs to build a 20 story Building to house government offices.
D. Court houses. Judges wages, policemens wages,
E. Schools. Including teachers wages, administrator's wages, books, supplies, buildings, transportation department, auxilliary departments, janitorial services etc.
F. Fire stations, fire trucks, firemen's wages,
G. Department of transportation expenses

... need I go on, or are we becoming a little more clear on where the 30% of your 45K ( a measly $13,500 ) went?

Answer 2

That's because the government is a big wasteful machine and it grows worse every year. Every time a new law is created, a new cause is started or a new legal action is filed against the government it costs you money. Some, a very few of those things are worthwhile but the vast majority are a waste of money. The government is doing hundreds of things that are not the government's business. Reality is that the government's primary purpose is self perpetuation and growth.

Read these discussions, you'll see a lot of whining and arguing back and forth about how each side did these terrible things and it goes on endlessly. Really, think about it, do you care? Or do you care that the government is getting bigger and interfering in your life more and more while taking the money to do so right out of your pocket.

One other thing to think about. That 30% you mentioned is the tip of the iceberg. Every item you buy has taxes built into it because the government has already taxed the corporations that produced those products. In almost all cases the materials those corporations used were also taxed. Along with that, your phone and utility bills have a tax on them and then there is sales tax on almost everything you buy. In the end, you probably are paying closer to 60% tax.

What are you getting for all that money? Perhaps its time to consider changing the way we allow the government to work? Make it work for us not us for it. Perhaps government should be reduced drastically in size and scope to reduce what it takes from every person every day.

Taxes do not benefit anybody but the government, don't ever believe otherwise. If the tax burden were reduced there would be more capital available to purchase goods and services, putting more people to work intead of taking money away from us to partially distribute and squander the rest.

Oh, the social security system is broke because the government has repeatedly depleted it to balance the budget. If it weren't for that there would be far more money there.

Answer 3

You were JUST TOLD that your social security money won't be there? Where have you BEEN? We've know about this for years.

The problem with social security is that the largest generation (Baby Boomers, the kids of the WWII-era adults) is retiring. They are no longer going to be putting money into the social security system and now are going to be drawing money FROM the system. There will be way more people taking money out and way fewer people paying money in. The only reason social security worked before was that the largest group of people (Boomers) were paying for the retirement of a smaller group (their parents).

Taxes, OBVIOUSLY, pay for everything the government does for you and others. If you like having police and fire departments and schools and roads, you have to pay taxes. They don't just magically pay for themselves.

Answer 4

My advice to you would be to take that money you've been supporting your grown family members with and contribute (or maximum your contributions if you already are) to a 401k. Don't have a 401k? Start a traditional or Roth IRA then. It's been made quite obvious in the last few years that the government isn't going to take care of us Generation X'ers. Do what you can so maybe you won't have to rely on Social Security.

Answer 5

You are correct. But you also need to know the tax rules and learn how to get back the maximum amount of money you can.
- Instead of renting, you might want to buy a house/townhome/condo as the taxes paid, and interest paid is tax deductable (and you have ownership of something instead of paying rent)
- charitable contributions are also tax deductible
- did you pay student loan payments? if so that should be tax deductible based on your salary range.

Answer 6

45000 a year- Well dem libs think you are rich- oh yeah, guess what- you will be paying more in the next few years as long as dems are in control. They take from you to give to those who don't work- social programs, welfare, you name it!! What is even worse, you are at break away point, where if you have student loans, you won't be able to deduct them if you make much more. The more you make, the more they take!!

Answer 7

first answer

When you claim 0 you are giving them an interest free loan! It's 30% because they have a standard withholding for 0 exemtions. typically its 28%.

2nd answer

tax deductions are the governments way of trying to make it up to you for taking so much. When you have several deductions, they know you would never be able to live if they taxed you the same way as someone with no deductions. Government is supposed to be there for the basics. Protect the country, writing laws to protect the people, build infrastructure and ensure justice for all. Every time the government says they are going to help Americans, they create a tax and everyone pays for it. Special interests known as "lobyists" talk to government people every day trying to convince them why they should provide money to them. It can be anything from someone wanting money for scientific study, to lobyists wanting to convince them they should offer services to special groups of people. In return they give to those Senators or whomever, money, votes, or anything else that benefits that individual Senator or Whomever in Government. We are not supposed to be double taxed, but indeed we are. You pay taxes when you are paid, and again when you buy something, pay a bill, or even when you acrue interest on your 401k. What you make on your money that you were already taxed on should never be taxed again. You paid it once already right? The government gives money to all kinds of special interests that you do not approve of. That all has to come from somewhere. Democrats believe that they know what to do with your money better than you do. They would like for everyone to surrender their money and THEY will dole out what you need. They believe that rich people make too much money and that they should shoulder the brunt of the taxes. Did you know with the salary you make, they consider you to be rich? Why do you think that someone on welfare can never seem to get off of it? Welfare is there for people down on their luck right? Wrong. Once you get on it, if you begin to better yourself, you no longer qualify for it. Thus why should these people try? They cant get a running start to make things better. This benefits the democratic government. You and I pay for these benefits to the people who use it regardless if you ever need it or not. Would it be more fair if we empowered each American to make what they WANT of their lives without having to give money to things in the form of taxes for stuff you dont believe is your responsibility? Democrats always give money to people that dont want to work for it and are looking for handouts. And those people dont care if someone controls their lives as long as they dont have to do anything for it. They believe they are owed. You know as well as I do that if you want something in life, go earn it and you will get it. There are always going to be freeloaders and someone there to make sure the people who sweat and work will pay for it. Just look at the programs the government spends money on and you will see the freeloaders. A flat tax is preferable. You only pay taxes when you spend money. If you have to give money to your family, then you will not pay taxes. Your family will when they use that money to buy food or whatever. know, you get taxed first, and then your family gets taxed again when they purchase with the money you so lovingly gave to help. When government realizes their true role for the country, then taxes will go down dramaticly. They wont unless a GREAT leader changes it. They wont though. Why can they not balance a budget? You have to right? If you dont, then the bank says your broke right? And when your broke, can you spend money that isnt there? Nope! The Democrats dont realize that though. They will just find another way to create another tax to get the stuff, or programs they want. Do you know why social security wont be there? Because they borrow against it and if you will, they put an IOU in the box saying they need to pay it back. If SS is a fund, why do they borrow against it? When everyone pays their amount each week from their paychecks, it should not be touched right? That way it draws interest to help offset spikes due to more people retiring right? Well, they spend it and no interest is ever accrued. That is why it is going broke. If you were allowed to keep your SS deduction in your own account, do you know what you would have when you retire?? You would retire a millionare! Instead, if you rely on SS you might get $1,000 per month. And they tax it too! If you had a million in the bank right now, do you know that you could make about $40,000 a year without touching your principal?? It doesnt matter if its a Republican or Democrat, if they want to give money to anything, WE PAY IT. So pay attention to what the government wants to do and vote accordingly. feel free to email me and I can go alot further.

Answer 8

Your money is paying for those who do not work - simply stated...There are two things you can count on in this life and thats death and taxes!

Answer 9

Because they can.