A Better Federal Budget

So with the tentative approval of Federal Budget and a State Budget here in Michigan, it got me thinking. Why 3.1 Trillion dollars for a Federal Budget? Currently Federal Receipts are about 2.5 Trillion dollars:

$370 Billion from corporate tax
$1.16 Trillion from individual tax
$870 Billion is Soc.Sec. tax
$163 Billion in other taxes, fee, and fines

I suggest we revamp what we collect:

$500 Billion in corporate taxes
$250 Billion in individual taxes
$250 Billion in other fees and fines
$1 Trillion Total Revenue

This total would be 1 Trillion dollars in collected receipts. Corporate America would be paying more and individuals would be paying less. However, Corporate America only pays 0.0123% of revenues in taxes anyway, whereas the individual pays 21% of their revenue.

Under my plan Corporate America would still only be paying 0.0166% of their revenues. And the individual would be paying about 5%. Now keep in mind, Corporate America would be picking up the bill for Social Security now.

This is how we would divide the 1 Trillion dollars:

10% to Defense
10% to Social Security
10% to Health Care
10% to Education
10% to Infrastructure
10% to Environment
10% to Research and Development (Arts and Science)
20% to Debt and Interest
10% to Govt. Operations
100% Total!

Yes, there will be major govt cut backs. And every year we will raise taxes and the budget the rate of inflation so that we can keep up with the economy. This will prevent waste because we won't be able to afford spending money on war, foreign aid, earmark pork, etc. In a later blog I will discuss how to revamp the govt in order to cut the budget, increase national security, end pollution, end poverty, and increase employment. Stay tuned.