Obama’s 2015 Budget Proposal Shows Continued Care for Lower Tax Brackets
Every time Americans hear that it is time for another budget to be approved, flashes of past debacles most likely dart thorough their minds. Just last year, our government was shut down for over two weeks, due to an inability for Democrats and Republicans to reach a consensus.. While the 2014 budget is covered at least until September, the possibility of another showdown exists.
While Obama’s proposed budget for 2015 was defeated by an incredibly wide margin, it provides us with insight on how the president would address the deficit and the future of our country. Following are some of the most important points of the proposal, which should give clear indication where his priorities lie.
Growth
Over $56 billion was slated to be delivered in the form of an investment package aimed at growing our economy. Areas of importance included education for children, job training and the infrastructure of our country.
Fair Share Tax
For many Americans, Obama made his mark as a champion of the lower and middle classes. This trend would continue in the 2015 budget proposal in the form of a Fair Share Tax on the wealthy. This tax would require people making over one million dollars to pay 30 percent of their earnings in federal taxes, after charitable contributions.
Minimum Wage
Under the 2015 Obama budget proposal, the minimum wage would have been raised from $7.25 to $10.10 an hour. This would have been across the board, unlike New York’s proposed raise for all employees of large corporations.
High-Income Household Deduction Cap
Current tax law allows for a 33 percent savings on the money claimed under deductions. The 2015 Obama proposal would lower that figure to 28 percent, an action that would mostly affect households making an excess of $250,000 per year.
Do you have an opinion on Obama’s vision of the budget for next year? Let us know in the Comments section below!