4 ms·

> In what way is it different from any other tax? What other taxes are paid back to you later, in rough approximation to the amount that you paid?

by anamax 15y ago

mikeash 15y ago
That correlation is really weak, though, so I don't think it matters. In any case, why should it make a difference what happens to the money after you pay it? The nature of a tax is in how it gets collected, not what the government does with the money afterwards.
- anamax 15y ago
  > That correlation is really weak, though, so I don't think it matters. The payback is entirely a function of the contribution stream (amounts and time). > In any case, why should it make a difference what happens to the money after you pay it? Because money collected for specific services rendered isn't much like money collected for general public services. For example, many cities do garbage collection. While that money is collected by govt, it isn't much like property or sales tax. Suppose that I'm looking to live in one of two cities. One has govt garbage collection and will charge me $100/month and the other has a private franchise providing garbage collection, again for $100/month. Would you really claim that the first city has higher taxes?
  - mikeash 15y ago
    > The payback is entirely a function of the contribution stream (amounts and time). SS isn't just the basic retirement stuff. Other payments are available which vary based on disability, personal resources, and location and status of residence. Even the basic retirement stuff depends greatly on how long you live. If you die just as you retire, your inheritors don't get any of your SS benefits. > Suppose that I'm looking to live in one of two cities. One has govt garbage collection and will charge me $100/month and the other has a private franchise providing garbage collection, again for $100/month. Would you really claim that the first city has higher taxes? Yes, as long as the $100/month is not optional. Gas taxes go to build highways that the driver uses, is that then not a tax? Tons of taxes are earmarked for specific purposes.

> In what way is it different from any other tax? What other taxes are paid back to you later, in rough approximation to the amount that you paid?

by anamax 15y ago

> In what way is it different from any other tax? What other taxes are paid back to you later, in rough approximation to the amount that you paid?

mikeash 15y ago

That correlation is really weak, though, so I don't think it matters. In any case, why should it make a difference what happens to the money after you pay it? The nature of a tax is in how it gets collected, not what the government does with the money afterwards.

anamax 15y ago
> That correlation is really weak, though, so I don't think it matters. The payback is entirely a function of the contribution stream (amounts and time). > In any case, why should it make a difference what happens to the money after you pay it? Because money collected for specific services rendered isn't much like money collected for general public services. For example, many cities do garbage collection. While that money is collected by govt, it isn't much like property or sales tax. Suppose that I'm looking to live in one of two cities. One has govt garbage collection and will charge me $100/month and the other has a private franchise providing garbage collection, again for $100/month. Would you really claim that the first city has higher taxes?
- mikeash 15y ago
  > The payback is entirely a function of the contribution stream (amounts and time). SS isn't just the basic retirement stuff. Other payments are available which vary based on disability, personal resources, and location and status of residence. Even the basic retirement stuff depends greatly on how long you live. If you die just as you retire, your inheritors don't get any of your SS benefits. > Suppose that I'm looking to live in one of two cities. One has govt garbage collection and will charge me $100/month and the other has a private franchise providing garbage collection, again for $100/month. Would you really claim that the first city has higher taxes? Yes, as long as the $100/month is not optional. Gas taxes go to build highways that the driver uses, is that then not a tax? Tons of taxes are earmarked for specific purposes.