I’m hoping many of you have heard the latest idea on how to spend the remaining $350 billion that’s left from the massive $700 billion bailout.
Congressman Louie Gohmert (R-TX) has proposed that we use remaining $350 billion dollars to give people a 2-month tax holiday. Imagine having 8-weeks of pay with any federal deductions on your taxes!!!! Take your current take home pay, multiply it by.66. Add the two figures together and that is what you’d take home on your paycheck for January & February. For example:
- If your take home pay is $1,000 a week, you’d take home $1,660 a week during the tax holiday. That’s an additional $660.
- If your take home pay is $1,500 a week, you’d take home $2,490 a week during the tax holiday. That’s an additional $990.
Multiply these figures by the number of paychecks you would receive during the two month period to calculate your take home income during the tax holiday. For example:
- If your take home pay is $1,000 a week, you’d take home $1,660 a week during the tax holiday. That’s an additional $660 a week. Multiply that by eight weeks, you’d have an extra $5,280 in your pocket over a two month period.
- If your take home pay is $1,500 a week, you’d take home $2,490 a week during the tax holiday. That’s an additional $990. Multiply that by eight weeks and you’d have an extra $7,920 in your pocket over the two month holiday.
Imagine what you could do with an additional $5,280 in your pocket!!!!!
This leaves us with one fundamental question. Why should the government continue to give billions of dollars to CEO’s and people who have already mismanaged billions of dollars? What makes the government think they won’t mismanage it again?
The bailout money was designed to open up the credit markets so we can get new automobiles, houses, start businesses, etc…. Instead, banks have been hoarding the money and using it to funds bonuses, executive salaries or create monopolies by buying out businesses.
Imagine what the tax holiday could do for the people. It would likely do the following:
- People could pay their mortgage for 2 or three months, reducing the number of foreclosures.
- People could now make a bigger down payment on a house, allowing people to continue to live the American dream while increasing the number of home sales. This in turn would lead to economic improvement by mitigating the effects of the sub-prime mortgage crisis.
- People could afford to refinance their mortgage, reducing the number of foreclosures.
- People could make a down payment on their automobiles. In some cases, they could buy the car outright. Combine this with a tax credit for those buying American automobiles, it could save the Big Three.
- People can save their money, giving banks more liquidity so they can approve loans for those who can pay it back.
- People will buy with their disposable income. All extra money is disposable income. Business profits rise, stick prices rise and the economy shows signs of improvement.
- Those who need the money will finally get it, leading to guaranteed immediate results as opposed to waiting 12-18 months to SEE if the bailout really worked.
- Democracy and capitalism is saved, preventing a catastrophic shift to socialism and over dependency on the government.
- Instead of allocating this money an hoping business can pay it back, the government gets to hold onto this $350 billion to fund other worthy programs.
If all of the above were to happen, the need for bigger bailout would be reduced and the debt burden to be placed on your children and grandchildren would be greatly reduced, allowing them to enjoy the American ideals we have today.
This plan is almost too good to be true. The problem is that it is created by a Republican in a Democratically controlled Congress. It is up to you, the American people, to write your Congressman and see to it that this bailout be passed. Do you want your money to go to businesses that have already mismanaged enough of your hard earned money? Wouldn’t you like to take home an additional $5,280 to use at your discretion. Then write your Congressman and ask them to pass Rep. Gohmert’s bill.
For more information go to the following site:
http://gohmert.house.gov/Article.aspx?NewsID=1356
