As the 2009 Tax season come to a close, many have wondered just where all our tax dollars are going. I have found out that the Federal Government will be spending an obscene amount of our money this year. It will be the highest in American history. For 2010, our gracious omnipotent presidential savior decided to spend close to $32,000 per household to cover Social Security/Medicare, national security, welfare, unemployment benefits, veterans’ benefits, education, roads/highway, and pay the interest from our national debt.
The government will collect approximately $18,000 per household in taxes. The remaining $14,000 will be borrowed as a budget deficit per household. This means we will be borrowing from countries to fund the rest of our entitlement programs and thirst. It will also mean that we will be dumping all this massive debt on the laps of our children and grandchildren. It has been mentioned many times in the past year that this type of spending is unsustainable for this economy.
To break it down even further, our gracious government will be taking $10,000 per household to fund Social Security/Medicare. And since as many as 80 million baby boomers are retiring, there will be not enough workers to support all these retirees. Currently, the ratio between workers to each retiree is 3 to 1. When the bulk of the baby boomers are beginning their retirement, that ratio will be 2 to 1. Since Democrats vilified George W. Bush attempt in fixing Social Security, I can see nothing in a way in solving this mess with this current space cadet president. In regards to the welfare program, under Obama, he increased this intrusive entitlement program by 32 percent. We are paying $5,500 per household in suppressing these welfare recipients from getting out from the gutter. The America taxpayer is paying for food stamps, housing subside, childcare subsidies, and low income tax credit. This free money for these impoverish individuals is the only way to control the Democrat vote. Like drug addicts hooked on crack, by giving free money is like bribing for the votes. I have seen this being done in third world and corrupt countries, but I would have never guessed that I can also happen in America.
Each household will be giving an extra $1700 to fund unemployment benefits. But such figure does not include those emergency funds like the bill they have passed couple days ago. Did you know unemployment cost surged by 411% during this recession? Instead of fixing the problem to stimulate the economy and therefore, the creation of jobs, this Congress would rather spend our money (and not theirs) to solve this problem. A Band-Aid measure Democrats believe is a permanent solution. I must include that the government will take another $1600 of our hard-earned dollars to pay down the interest accumulated to the national debt. And that is only interest! The government owes $13 trillion in debt. It owes $9 trillion to public bond owners. The other $4 trillion is owed by the Congress, which they stole annually from the Social Security Trust Fund (Lock Box) to fund their pet projects. To add salt to injury, Obama has his mind set to double our debt in ten years. It is estimated that we are all going to be paying $6,000 per household in 2020.
What comes down is this? As the debt grows out of control, the taxes to sustain the thirst of this government will be a burden to our next generation. They will be paying nearly half of the bill. I don’t think it is our best interest to stick them with an enormous debt. Since I fear more people are living longer and more baby boomers retiring, we are all going to suffer the consequences if the government doesn’t get their priorities in the right place.