I think this one should get the prize for the week. First, give it a read, then think.
Consider sales tax
With public employees no longer being able to function as unions, there are some changes that will occur which have a bearing on the economy of Wisconsin.
First, if these employees now pay 5.8% of their salaries toward their pensions and 12.6% of the cost of their health insurance, this money will not be available to Wisconsin merchants and industries. So if you have the number of public employees in Wisconsin times the new benefit contributions, this is the amount of money no longer available. This money is already spent. Also, the 5.5% state sales tax on this money will not be present for the state to collect.
I am not against the increased benefit contributions, but why not allow the rest of us in Wisconsin to share in solving our budget crisis?
What I am proposing is a 1% sales tax on everything but food, with the proceeds going to pay off present debt obligations. When we are current with the debt incurred up to 2011, we drop the tax and stress a balanced budget with no borrowing.
Quality of life depends on careful planning and money well-spent. You don't improve the quality of life by cutting taxes. With this 1% sales tax, those who buy the most should feel great since they are doing the most to solve our money woes. Right? And everyone pays something!
Edward C. Mueller
South Milwaukee
State employees were required to modestly increase the amounts they pay toward their pension and health care plans. Previously, these amounts were paid by the taxpayers. Governor Walker's goal was to cut some of the cost of state government by making the state employees pay a bit more, so that taxpayers wouldn't be burdened more.
Mr. Mueller sees a potential revenue shortfall (he doesn't see state employees cutting back on their own spending, as the rest of us would do). So, what's his solution? Why, to make taxpayers pay more through the sales tax to cover the cost of the amounts that state employees are paying toward their pension and health care plans, of course.
This is pure genius. Bernie Maddoff, watch out. You've got competition.
