2 ms·
That actually checks out. If you take the median U.S. household income ($74,580) and factor in the effective tax rate (10.9%), eliminating federal income taxes
by cooper_ganglia 2y ago
That actually checks out. If you take the median U.S. household income ($74,580) and factor in the effective tax rate (10.9%), eliminating federal income taxes would save the average household $8,167.50 per year. Subtract the $3,488.27 in extra costs from tariffs, and the net savings is still $4,679.23.
So yeah, if those numbers hold up, the median American household actually comes out ahead after everything is accounted for.
- reaperman 2y agoI'm sorry, what? Federal income taxes have not been eliminated. Trump can't even do that; Congress would have to, and they won't. The federal government currently collects on the order of $2.5 trillion in income taxes. These tariffs would only generate $500 billion of federal revenue. But in reality they'll generate less, due to any amount of second-order effects where less stuff is imported due to higher costs. It's very myopic to only look at the household finances and not have anything to say about a proposed loss of $2 trillion of federal revenue. With allies like you in this discussion thread, who needs enemies?