July 13, 2005


Last night my husband and I had a meeting with a financial advisor, and the longer I sat through the meeting, the madder I got. You have a ROTH IRA, you get taxed in the end. You have a regular IRA, you get taxed now. You die with money and you have all these death taxes to pay.

Why, oh why, are people punished for saving their money wisely?

Forget "what would Jesus do"; I find myself often wondering What Would Our Founding Fathers Think? How would they react to knowing that, because my husband and I saved all his deployment money instead of spending it on big screen TVs and cars, we now have to fork over taxes to the government if we want to invest it?

It's our money, dang it.

Posted by Sarah at July 13, 2005 10:51 AM | TrackBack

Look carefully at your money - every piece says 'The United States of America' on it. None of it says 'Sarah' on it. This shows that the money belongs to the government, and they just let you use some of it sometimes.

Posted by: Glenmore at July 13, 2005 01:37 PM

Funny how that works. The government says "Look, see what we have given you!" while having its hand out asking for a cut.

Posted by: Cerberus at July 13, 2005 05:21 PM

Generally if your easily-valued assets have a total value under $1,000,000 you do not need to woestate tax return, so unless the Military pays you guys much better than it pays my brothers (one of whome is an officer), I don't think you need to worry too much.

I think estate taxes are actually a good thing since they keep 'old money' from growing too much and help to level the playing field so that merit and hard work rather than inheritance determine one's chance at realizing wealth. I think it has actually helped to keep the U.S. as a land of opportunity rather than devolving into a Corporate-Feual state.

Personally I stuck with ROTH IRAs mostly. Deferred tax works for me.

I expect that the Founding Fathers would be horrified at a lot of things in the U.S. today, including a permanent standing army (since your Hubby is a big part of Big Government your taxes are really just getting paid back to you in his salary), the corruption of federalism such that highway money and 'interstate commerce' allow the Feds to keep removing power from the states, the degree to which the executive branch has taken powers from the Legislative - Congress is no longer actually involved in the decision to declare war, etc.

I wondder which thing that would have them most disgusted. I think it's likely that it would be the war on drugs (there is good evidence that at least a few Fonding Fathers smoked weed), with the "Patriot" act coming in at a close second. I expect that the degree of corruption in the Congress - the many and various abuses there are myriad, I am especially disgusted that Congressmen get an automatic pay increase each year, unless they specifically vote against it.

Thinking about it more, I think that the direction that the awful state of our two party system at this point where only those who can afford to pay get to play would be the thing that horrified them most.

Posted by: VOT at July 14, 2005 03:51 AM


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Posted by: Pamela at July 14, 2005 09:44 PM

You aren't paying extra taxes on the money you saved instead of spending. If you put the money into a regular IRA you don't pay income taxes on it now. You will pay income tax on all of the money in the IRA, your contributions plus yor additional earnings, just once, when you withdraw the money. Better yet, with a Roth, you pay income tax on the contributions now and you don't pay tax on either those or the earnings later. So you pay income tax on each dollar of income once at most, and with a Roth you get some money tax free.

It is easy to say what Jesus would think, though. Bush calls Jesus his favorite political philosopher, but he ignores what is virtually the only thing Jesus ever said about politics... "Render unto Caesar what is Caesaer's." Pay your taxes.

Posted by: Pericles at July 15, 2005 01:13 PM

first of all, I hit this blog trying to find out if the 1ID unit that was in ARMOR geddon's blog was my old unit 2/2 from the 9ID.
Teh I saw the IRA crapination and had to throw in my two cents.
Read the RichDAD/PoorDAD books,there's a reason theyre bestsellers, its not hype.
Corporations make money, spend it, then pay taxes. Individuals make money, pay taxes,then spendit.
If youre so cheap that you won't pay brokerage or get real damned financial advisor that doesnt do what every mall rat democrat does then you'll pay a premium for squirreling away money. If it is not IN PLAY and making you money every month without you lifting afinger than the Gov'T will TAKE IT. And you can thank your loving socialist neighbors for them having the power.
Fuck taxes,tax is for IDIOTS. Jefferson and Adams both said it was every citizens DUTY to pay the least amount possible. Lookwaht the communists have done with Social Security!!MOney for OLD PEOPLE!! And they stole every fucking penny. You really think you should give these people more!!!? Don'tworry about the welfare state, they'll find their cash...

Invest in a business,get your home loan into an interest-only loan and invest the monthly savings. Pay business taxes only. Get a fucking accountant and a bookkeeper that OWNS SHIT!!! If youre stuck in the same traffic light as your brokers, youre a cheap ass idiot. Buy a nevad corporation,get a fucking clue and PAY someone to incorporate you . Otherwise you can go give your money to wall street and watch them steal every penny while you piss and moan for the government to change and save you,which will NEVER happen!!

Rich people are DIFFERENT!! You can'tbethe sameold dumbass and keep your money. It has to be in play or it will be stolen. Any idoit can beatup on an IRA,roth or not.
That shit is just for suckers...

Conform and perish.

Posted by: playertwo at July 25, 2005 07:22 PM

I could see the steam coming out of playertwo's ears there.

If tax money is used well, paying taxes is a boon. War, for instance, is never a good way to spend money.

"Do what rich people do". Rich people of course don't play by the rules. That's how they get rich. The rules are there for you to adhere to so that they can abuse them and get rich. It's an easy system. Look at how Carnegie, Rockefeller and Bill Gates got rich. There's a lot of hard work in there, sure, but there's also quite a bit of armtwisting as well.

It's not you who has to do as rich people do. It's the rich people who have to do as you do: pay their dues.

Playertwo does not seem to be a very socially engaged individual. That is his choice, of course. Who am I to judge.
The thing is though: why would the poor people believe in the law of the land if they only get the short end of the stick: no benefits or social security and if the country goes to war, they get to pay with their life for the mistakes of others.
Actually, here is where I follow playertwo completely: the soldiers from a poor background especially should go up to their commanders and say: "You want me to keep fighting? Sure. It's going to cost you though: 5 million bucks, pay up front. If I don't get my money, you get to stand guard yourself."
If there is no apparent reason or need to look out for the weaker elements in society, why should the weaker elements of society die to defend it? It's not my idea of a good time.

And I would wear flipflops. I'm sure it would piss of somebody.

Posted by: Jorge at July 26, 2005 01:23 PM