Federal Pay Cut Is 'Only Way' To Conquer Deficit: Forbes

forbes.com:

If the United States were a large company, Brian Wesbury and Robert Stein write, "the solution would be a no-brainer: It would be time for a big pay cut." To that end, they argue, it's time "we do something serious. How about an outright pay cut of 10% for all civilian federal workers?"

Read the whole story: forbes.com

Comments

[huff po fan]

02:54 PM on 03/03/2010

How about raising taxes on the richies like Forbes who made bundles off cash during deregulation and then got tax breaks on it too boot. Oh no, let's lay it to the little guy again.

[Mormon4Truth]

02:33 PM on 03/03/2010

What about cutting pay to Federal Contractors (who have replaced most Federal workers - coupled with a profit margin for their owners.)

[TruEngineHearing]

12:54 PM on 03/03/2010

You could set your clock by these guys coming out against state workers - it's like tort reform, tax cuts, budget cuts, unemployment benefits. The GOP spits out its clichés like defensive torpedo's firing from a sub. They must have a point to all that, but they can never explain it to people like me because I just don't think that way.

[totaldisbelief]

11:53 AM on 03/03/2010

ok..start with the congresscritters.

[LostRiverLedger]

07:20 AM on 03/03/2010

"The payroll (wages and salaries) for civilian federal workers is about $150 billion per year"

Labor costs 7.5% for a 2 trillion dollar budget.........damned cost effective if you ask me........no, the federal workforce costs are not the problem......an easy scapegoat, but not the problem........there are much bigger fish to fry.......

[hey0there]

12:31 AM on 03/03/2010

i know im sick of all these federal holidays where im getting up and going to work on those days while they get to have it off, to add insult to injury i get to pay for it out of my check too

does anyone really feel they deserve all these taxpayer funded holidays

[synergyblayze]

10:48 PM on 03/02/2010

tax organized religion!!!

[tribilin219]

05:52 PM on 03/02/2010

I think so, And if you ask me why are we paying them at all? for the job they are doing , Maybe we should let the Banks and Wall st. pay them after all they work for them don't they?

[drkazmd65]

03:01 PM on 03/02/2010

I'll admit to a strong bias on this front,.... but I think that there are far better ways to go at the issue of the Federal Defecit than cutting the salaries & benefits of the Federal employees.

Try cutting off some of the big Agricultural subsidies, let the Bush Tax cuts expire, reinstate the Estate Inheritance Taxes, reel in over the top defense spending and sweetheart no-bid contracts, and consider actually increasing the top marginal tax rates to the levels they were under Ronald Reagan,...

Then,... ask the Federal Government employees to do their share.

[SnickDiesel]

10:20 AM on 03/03/2010

re: reinstate the estate inheritance taxes?

you mean tax parents when they die and try to give their kids a place to live, and some money, when there are no jobs?

Do you support the death-tax for all inheritances or do you only support the death-tax for the wealthy?

[drkazmd65]

03:30 PM on 03/03/2010

First - it is not a 'Death Tax' - that remark alone indicates you are uninformed. It is a transfer tax when wealth that often has itself been untaxed capital gains that was amassed by the Parent is transferred to an heir. The tax is NOT on the deceased parents, it is on their heirs who get the net gain they themselves did not earn.

For example. If I bought real-eatate worth $100K 30 years ago, and held it allowing that property value to appreciate to say a current value of $1 million but never myself cashed it in. I die and my heir gets property now worth a gain of $900K that has never been taxed as anybody's income. Where has that gain ever been taxed?

However, under the old rules that were allowed to expire this year there was also an individual exemption of the first $3.5 million inheritance from Federal Taxes, and a 45% tax thereafter. That seemed fairly rasonable as it would effectively exempt most small business owners and farmers from facing having to pay Federal Estate taxes.

Again - it isn't a "Death Tax". And painting it as such shows you are either uninformed or intentionally attempting to mislead.

[totaldisbelief]

11:55 AM on 03/03/2010

that death tax applies to only a rich fraction of the population.

[drkazmd65]

03:32 PM on 03/03/2010

True enough totaldisbelief - but that rich fraction of the population potentially contributes a huge amount of untaxed capital gains.

[lightningbolt]

02:46 PM on 03/02/2010

As usual, the government will try any solution that requires poor and middle class people to pay, but it will never dare touch the holy defense budget.

[totaldisbelief]

11:55 AM on 03/03/2010

which is 25 cents out of every dollar.

[Stretchumall]

01:24 PM on 03/02/2010

It doesn't help if you're a buisness and you give your product away to those who can afford it and charge those who cannot afford it three times as much as should be.

[spencerh]

01:16 PM on 03/02/2010

A far better idea than cutting social programs or laying off those federal workers. Start with Congress.