We have to admit we were a little confused when we received U.S. Rep. Ed Perlmutter's propaganda in which he states that those earning "a million dollars a year to pay the same fair share of taxes that the middle class workers pay." Of course, this is all under the header of "Putting Middle Class Families First" and is printed using taxpayer dollars (see the first image below). To better understand his plan for taxes for the rich, see the second image below.
If we were millionaires, we would be overjoyed at this idea. Let us explain. In 2004, sociologist Leonard Beeghley identified a male making $57,000 and a female making $40,000 with a combined households income of $97,000 as a typical middle-class family. So, adjusted for inflation, that would be $69,000 for males, $48,000 for females, and a combined $117,000 for households.
Using Money-Zine.com's 2012 Tax Rate Calculator, below is the breakdown of how much each would pay in taxes. Keep in mind, we used very few deductions and standard exemptions. The taxes below are only federal taxes, not state or local, and include social security and medicare taxes.
So, instead of paying around 32% in income taxes, they'd pay 16% to 18%. We can hear the millionaires high-fiving now….