Remember the American Dream? You owned “your” home, mom and dad worked hard to support 2.5 kids and once a year the whole family went to Disney for a vacation. Well folks, that delusional picture has been a dangerous delusional picture for several decades. We’ve all been living under a vicious fiction where no one really owns anything at all anymore….the banks and your government own everything around you, you’re just renting it…and you’re paying one hell of a premium….it’s downright usury. You don’t work to secure any of your future and you certainly are not preserving any future for your children. Unlike in prior generations where grandmom and grandad actually did own their homes and actually did pass on wealth to the next generation…we’re all just spinning our wheels burning up whatever capital we earn from the work we do and the wage we earn.
Sit down and think about it. What is your net take home pay? What is in your check after taxes and all the money that just goes straight to the government from you paycheck. And now from that meager net take home pay how much of that goes to pay the next level of government, state and local sales tax, state and local fees for driver’s license and property taxes and parking tickets and every other tax and fee and charge and license.
TAX FREEDOM DAY
Would you like to know how many months you work to pay taxes….well, Tax Freedom Day is estimated to be April 11 in 2011. That means every single moment you worked from January 1 until April 11 went straight back to the government to pay for all the wonderful services provided. Click here to find out more about the totality of wage and income that is collected in the form of taxes and fees.
THE REST GOES TO BANKS
So now think about the rest of your wage and income. You’ve worked until April and every penny of that wage went straight back out of your pocket. Now think about how much of your wage and income goes straight back into the pockets of banks and institutions. Total up the interest you pay on mortgage, credit cards, car payment and any other financing you carry. If you added that number up and spread it across the remaining 8 wage earning months in the year, how many of those months are you working and sending every single penny of that wage to the banks? If the interest on your mortgage is $2,000 and your car is $600 and your credit cards is $400, so that your total interest payment per month is $3,000. If your net take home wage is $1,500 per month, then you’re working two more additional months just to service the debt on your obligations…oh yeah, anyone making student loan payments? Is that one additional month of your wage? And think about this, you haven’t paid for the first meal, the first tank of gas, not one single dollar on medical and not a single electric payment. Add those up and you’ve probably spent the first nine months of the year just on bills and basic survival.
And now back to that debt burden. We’re just talking about debt service…not actually paying any of it off. Which means you’ll be paying that debt service for the rest of your life….unless of course you take the last two months of your wage and pay down the principle on your mortgage and pay off your credit cards…..
Enjoy your Sunday and get ready for the hamster wheel on Monday.