Dear NPR: “Steal from the rich to give to the poor” is not a genius new economic theory

I’ve been avoiding TV and radio for many years now, but I catch glimpses of NPR now and then because my wife listens to it in the car. It usually only takes a few minutes to remind me why:

A “human interest” story features an average guy who figured out a “trick to save social security.” This “amateur economist” has a “brilliant” proposal: eliminate social security taxes on middle-class incomes by raising the cap on earnings subject to the Social Security payroll tax. So: steal more from middle-upper families and redistribute their money to middle-lower families. This is hailed as “out of the box economics.”

“Steal from the rich to give to the poor” is not economics, nor is it exactly an original idea. Currently, my total marginal tax rate (what I pay for any additional income earned) is 46%. The cap on social security taxes is one of the few motivations I have to take on additional projects in order to raise my income. A 12% increase in my marginal tax rate would push my rate to 58%.

Why should I work my butt off every day to keep 42% of my income so I can pay for people who haven’t contributed a penny towards their own retirement?

2 Replies to “Dear NPR: “Steal from the rich to give to the poor” is not a genius new economic theory”

  1. It beggars belief that you have to explain something so obvious. It seems that those who either lack the ability or willingness to think critically have plunged into a “lake of ignorance” that has become a “fertile” pool from which the media recruit “talent.” NPR: Not Particularly Rational.

    If you have missed it, I have a suggestion on how to get rid of this bastion of socialism:

    https://bastiatcapital.liberty.me/social-security-if-you-want-the-freedom-to-choose-sign-here/

  2. Hello greetings !
    I am Hanifa by name, I have something confidential to discuss with you.
    I hope you will accept my proposal despite we don’t know each other before?
    I will give you more details as soon as i hear from you. here is my email;
    ([email protected]) Thanks Hanifa

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