Should we tax pensions? Your opinion.

[Gene Clem]

We have heard a lot about whether to tax pension income on the Michigan income tax.  This was included in Gov. Snyder's budget proposal for the next two years. 

 

Our state senators and representatives have many tough choices to make and are reaching out to friends for advise.  They are asking Tea Party members all across the state what they are thinking.

 

This is your chance to voice your opinion.  Please go to the poll I constructed on google/docs and vote your opinion, yea or nay!  Then post your opinion on this forum.

 

If this works out well, we will forward the results to our reps in the SW MI area and the Tea Parties in other areas of the state.

 

Now, don't feel like some genius if you discover that you can vote more than once; just don't bother.  This is not a scientific survey, just a sense of where the folks in SW MI are at this point in time.

 

(Click Here to Vote)

[Janet Blazen]

I don't think State or Federal Government should tax ANYTHING THAT YOU EARN, PERIOD !

 

I think the government leaders stink................I believe in the CONSTITUTION , I believe in FREEDOM, I think I am smart enough to run my OWN life and I don't need "BIG DADDY" telling me what to do and how and when to do it !

[Sherry Williams]

No, I don't think we should tax pensions.

[Jan Novak-Voeltzke]

Well,this is a hard one.  I know teachers and public employees who receive extremely healthy, no contributions made by them, pensions....all footed by the weary middle class tax payers and weathy taxpayers too.  Since they have NEVER paid anything into their pension plans, I say tax those public union employees' pensions.  That's only fair.  Their pensions are unbelievably high...unrealistically so.  They have milked the system not only in gouging wages (THEY ARE NOT UNDERPAID, BELIEVE ME) and it's high time they fork over some money into some of their pension money one way or another---if it be taxable pensions for them, so be it.  Not for private industry...where employees pay into their own pensions...with some match from their employer, though.  Taxpayers have absolutely no say-so about wages for these public employees, teachers included.  We have no seat at the table yet we have to pay their wages.  It's incredibly unbalanced in favor of the public employees.

[ROBERT F BREAULT]

Jan Novak-Voeltzke said:

Well,this is a hard one.  I know teachers and public employees who receive extremely healthy, no contributions made by them, pensions....all footed by the weary middle class tax payers and weathy taxpayers too.  Since they have NEVER paid anything into their pension plans, I say tax those public union employees' pensions.  That's only fair.  Their pensions are unbelievably high...unrealistically so.  They have milked the system not only in gouging wages (THEY ARE NOT UNDERPAID, BELIEVE ME) and it's high time they fork over some money into some of their pension money one way or another---if it be taxable pensions for them, so be it.  Not for private industry...where employees pay into their own pensions...with some match from their employer, though.  Taxpayers have absolutely no say-so about wages for these public employees, teachers included.  We have no seat at the table yet we have to pay their wages.  It's incredibly unbalanced in favor of the public employees.

[Joseph Evan Roberts]

I am drawing a fixed pension but believe fair is fair and would not have a problem paying the tax  if it was applied evenly to any/all parties with no exemptions.  The Gov's message regarding the other 49 states is a 1/2 truth....in reality MI would become the 6th state that would not be giving any break to those receiving pensions.  All governments need funding, however, it needs to be = on all respects and needs to be reviewed/voted on by the citizens for final approval.

[Thomas V. Charron]

New sourch of taxes has only lead to new avenues of expendures - this state government has only ONE job to revitalize the state's economy and raising taxes do not help.

[Thomas Cleveland]

We cannot continue to rob Peter to pay Paul. We have to cut and cuts hurt. Just moving the tax payout around does not fix anything.

[Shirley Ann Amos]

There are some companies in which a 401k plan is the pension, retirement plan.  This is money the owner of the 401k plan ie; employee,  saved themselves and the employer contributed a  matching portion to it.    When that money begins to come out for the purpose of retirement it will be taxed.  I don't see any public employees talking about the "unfairness of that retirement plan".  Plus you only get what you put in and if you're a lucky investor in the stock market, what it gained in investing.  So I say, if I got to do it,  why not you.

[Timothy J Banks]

Depends on how much it is. If it's only a few bucks a week and has to be re-authorized after a time, O.K. If it's any significant chop of their buying power, or is permanent, forget it. Taking money from someone to pay another hurts 2 people. The person you took it from and the tradesman or serviceperson he din't hire because of it's loss. Read Bastiat. He predicted all this stuff over 150 years ago and is a bit wordy, but absolutely brillant.

[Timothy J Banks]

Reply By Lori Fisher sharing my page: If it was a pretax contribution then treat it just like our 401k's and IRA's. WE have to pay taxes on them when we start collecting. Why should they get a free ride?

[Scott McPhail]

I do not think we should tax pensions. One thing the government must consider that even this is not a long term solution. Consider this. I am 28. I have been working for since I was 14. I work for a major company that USED to pay pensions but as with most young workers, we are now on Defined Contribution plans, which means the company pays into my 401k with cash just as Shirley said.

 

So in the short term taxing this will help but not in the long term. I do sympathize with taxing the elderly more but that argument doesn't stand on it's own. The elderly person that is a door greeter at Wal-Mart is taxed on their living wages while a retiree from a large company or government is not.

 

I understand Synder is in a tough spot and I applaud him for making some much needed changes but I do not agree with anymore taxes on anyone. If anything, I would like to see no corporate income tax. That would be a tax cut for everyone because remember...Businesses don't pay taxes they pass that cost onto their customers. Only people pay taxes.

[albaby]

I don't have a problem with paying taxes on my pension if it is on a sliding scale. The taxes should start after a certan level of income from all sources is reached and the level should be indexed to inflation. There is no doubt that spending and entitlements should be reduced and pensions are no exceptions. I would suggest-offhand- that maybe $55,000 income from all sources as a starting point.