Is the payroll tax holiday a re-election ploy?
Okay, so the Middle Class Tax Relief and Job Creation Act of 2012 extends the payroll tax reduction through 2012. Will someone please tell me how the so-called payroll tax holiday makes sense? I see our Congress concentrating on re-election and voting to keep payroll taxes artificially low for people who are among the lucky ones who still have jobs. The reduced payroll taxes remove billions of dollars from a social security program that is already struggling to position itself to handle the throngs of baby boomers who are about to drain the program.
In addition, this "holiday" piles more responsibility on the youth of America who will have to somehow manage to find jobs (latest figures show roughly half of recent college graduates are without work) and who will have to pay more to fund their own unlikely retirement all while struggling to help their ailing parents who didn't put enough away to protect themselves in old age. I could actually see taking that estimated $1,000 per worker in reduced payroll taxes and investing that in a locked down retirement fund that can't be accessed until the owner is over age eighty, but beyond that, I'm having trouble seeing the logic in this legislation.
Prior to this role, Caleb served as the editor of Going Concern since its founding in 2009. During his time as editor, Going Concern quickly became one of the most popular and talked about websites in the accounting profession. He has been named one of Accounting Today's Top 100 Most Influential People every year since 2011 and has been published on numerous websites, including Above the Law, Deadspin, Denver Business Journal, and the Huffington Post.
Caleb is an adjunct professor of journalism the Community College of Denver in Denver, Colorado, where he teaches Internet Media.
Prior to falling bass ackwards into the media business, Caleb spent over five years working in public accounting, with more than three of those years at KPMG. Caleb received a Master of Science in Accounting from Colorado State University and a Bachelor of Science in Business Administration from the University of Nebraska at Kearney.
Caleb spends a lot of time on a bicycle and reading, but never at the same time.