Sorry to be so curt with you, Eonwe. Now that I’m at work, I can answer your objections a little more fully. For starters, though, it’s easy to battle against things we make up; for example, “It’s rather insulting that one might suggest that with that sort of income an average family would struggle.” I suggested no such thing. I said, simply, that they don’t all own mansions and yachts, which I think is demonstrably true. And even if they did, it isn’t up to dude to decide how other people get to spend money they earned.
Further to the point, saying, “One day everyone making over $1 million will get taxed more and all the poor will get a check” is little more than pointless class warfare. Get a check for what? Is being poor now some goal that we reward? Of course not. The fact is, the “rich” already pay a disproportionate amount of taxes. If those taxes are not being used in an efficient manner to alleviate poverty in this country, blame the people who disperse it: the government.
On to the numbers. The link I pulled my numbers from is here. The site itself may be biased in favor of lower taxes, but the numbers themselves are all from the Congressional Budget Office.
These figures spell it out pretty plainly. To answer another of your questions beforehand:
Pre-tax Family Income is the sum of wages, salaries, self-employment income, rents, taxable and nontaxable interest, dividends, realized capital gains, and all cash transfer payments. Income also includes the corporate income tax and the employer share of Social Security and federal unemployment insurance payroll taxes. For purposes of ranking by adjusted family income, income for each family is divided by the poverty threshold for a family of that size. Quintiles contain equal numbers of people. Families with zero or negative income are excluded from the lowest income category but are included in the total.
Share of Total Federal Taxes
Quintile %wealth %taxes avg. income #families
Highest 54 65 $132,000 23.6m
Fourth 21 19 $ 53,000 22.6m
Middle 14 11 $ 35,400 22.5m
Second 9 5 $ 21,200 23.3m
Lowest 3 1 $ 8,400 22.7m
Top 1% 15 21 $719,000 1.2m
Top 5% 28 37 $276,000 5.9m
Top 10% 39 49 $188,000 11.9m
So we see that the top quintile, holding just over half of the wealth (and making an average of a whopping $132K), pays far more than half of the taxes. That means that the 80% of the country holding 46% of the wealth pays only one-third of the taxes.
The top 1% – 1.2 million families – pays 21% of the taxes. Look at that again: 1.2 million familes in a nation of 300 million people pay 21% of the taxes. They make an average of $719,000. So the people earning more than $1 million a year comprise fewer than 1.2 million familes, and dude thinks maybe they should pay some more taxes so the poor can “all get a check.” (And who are “the poor”? The lowest 2 quintiles–47 million families??)
In any other social situation, we would (rightfully) declare that discriminatory treatment of the most insidious kind. But because we have to frame all tax debates in these ridiculous class warfare terms, people like dude develop a simple, ineffective “soak the rich” mentality that does nothing to help alleviate poverty or address its causes.