Keep Your Entire Paycheck. Make April 15 Just Another Day

Saturday, July 09, 2005

A True Story

What you are about to read is a true story. I know it is, because happened to me.

I just got my annual pay raise. I got a $.74 per hour raise. I know that most people consider themselves lucky if they get $.25 an hour, but you have to remember that I've been working here for over twenty years. I have long said that you'll never get rich working for government, and the pay usually sucks to start with, but you stay with it and eventually, you'll start making a living wage.

I work two forty-hour weeks in one pay period. We’re paid 26 times per year. It takes a couple of extra steps to figure out how much per month I make if I need to know a monthly figure, but it’s not hard. Just multiply the pay figure by 26 then divide by 12. Close enough for government work, as we always say.

Anyway, seventy-four cents an hour comes to $59.20 a pay. My Federal payroll deductions went up $55.21 leaving me with a cool $3.99 per pay to spend however I choose. I'm talking about payroll deductions, FICA Regular and Medicare, and withholding taxes. None of my other deductions were effected.

Gee…I can buy an extra gallon and a half of gas every two weeks! Woo-hoo! $55.21 amounts to 93% of my raise. That's 93% that went to taxes. Am I mad? You bet I am. Had I not been a Fair Tax proponent before, I would be now.

Decisions. Decisions. What ever will I do with that extra $3.99 every two weeks?

Fair Tax all day, everyday!

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