TAXMAGEDDON, PART 1

I think it's fair to say that most people are a bit overwhelmed, and certainly skeptical of the PATIENT PROTECTION AND AFFORDABILTY ACT OF 2010, also known as OBAMACARE. It's a whopping 2700 pages and includes much legalese. One main goal I had for myself over the last few years was to ACTUALLY read the act. I don't know why, really; most in Congress haven't read it. There's Nancy Pelosi's famous words "we need to pass the bill to see what's in it" comment that I believe summed up why I have such faith in government. The idea of giving a blank check to the government to manage my health literally makes me cringe. Don't get me wrong- people should do what the can to be stewards of their own health by methods like exercise, eating right, etc. I don't however, believe we need the food police to monitor how large our soft drinks should be, ban certain snacks, and the list goes on. This is NOT the government's job- its mine. I will raise my own children and teach them to make good choices. Or if i want to make myself obese by eating twinkies all day and night, it's again my decision. As far as I'm concerned, the government has failed miserably at nearly everything they manage. May I list successes such as the US Postal Service, Fannie Mae, Freddie Mac, Social Security,and so forth. I use the word success very tongue-in-cheek. Now we want to make them in charge of life and death decisions??!! I digress, I really just wanted to give an overview of WHY OBAMACARE is a bad idea from a purely financial perspective. I looked up, read through (zzzzzzzz zzzzzz) the bill as best as I could. I was able to stop taking Ambien when I started getting into the bill since it is so utterly boring and sleep was only a nod away most of the time. Seriously, the bill is a real game-changer when it comes to YOUR financial contribution. 1. Personal income taxes will rise from 35 to 39.6% for top wage earners (and this includes MOST small businesses) and the lowest rate will rise from 10 to 15%. 2. Itemized deductions will go away, and personal exemptions will be phased out. 3. Marriage penalty will kick in as there will be a narrower tax bracket for couples. 4. Child care tax credit will drop from $1000 per child to $500. 5. The middle class death tax returns Jan 1, 2013. The rare is currently 35% up to a 5 million dollar estate. This will go up to 55% on estates over 1 million. 6. You will be penalized if you save/invest. Capital gains goes from 15 to 23.8%. The top dividend tax will rise from 15 to 43.4%. ( a double whammy because scheduled rates hikes coupled with the OBAMACARE investment surtax.) Just a little food for thought. I will share next time the alarming higher taxes that have ALREADY kicked in that you may or may not be aware of, then I will look at Wave 2 of the taxes that will start January 1, 2013. While I'm not a rocket scientist or economist, I am smart enough to figure out this isn't good for a country with a struggling economy and high unemployment. My two favorite Obamaisms about this mandate: "I absolutely reject the mandate is a tax." "Nobody who makes under $200k a year will see their taxes go up as long as I am president!" Remember, your voice DOES matter! Leslie