Taxing the rich - what is the cutoff?

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Originally Posted by Schneed10

Being a financial analyst by trade, I put together a quick budget for a couple, with 3 kids, living in Maryland around the DC area, making $250,000 per year. I calculated their Federal Income Tax liability, their tax return assuming they're susceptible to the Alternative Minimum Tax, their Maryland State Income tax liability, and made a bunch of other assumptions shown in the table below.

As you can see, this couple can afford to put away 10% of their income towards retirement, save $300 per month per child for each of their 3 kids' college education, take a $5000 vacation each year, spend $5000 on Christmases and Birthdays, spend $400 per month on fun stuff, pay someone to take care of their yard, make $5000 in annual upgrades to their home, drive two very nice cars without worrying about gas, and spend $200 per month eating out. It even assumes that the youngest of the 3 kids needs daycare.

Even after all that, this couple saves money. You're going to tell me they can't cut out some of that lavish spending to give 3% more to the US Government? I tell you one thing, I wouldn't feel sorry for them at all, they can cry me a river.

It not a point if they can afford the addtional 3% its more of a question of "is it fair". They are allready working 3 1/2 months to pay taxes how much should they pay.