Saturday, May 25th, 2013
We need to make military pay tax free. After all, if we can bail out big banks, give massive refunds to companies with billions-dollar profits and allow race track operators to pocket huge deductions, then why shouldn’t military salaries be tax free? We have the money, we just need to make better choices and fix [...]
Peter G. Miller | June 25th, 2011 | Continued
Trying to figure out the right pay for the right member of the military can be confusing, so here’s a basic guide to the dollars service personnel are likely to see. To start, we can look at a basic military pay chart which shows payments by the month. Notice that this chart only requires us [...]
7Jul2011 | Peter G. Miller | ContinuedThere have been taxes as long as there have been governments and there’s no doubt that taxes are used to reward certain forms of behavior and to discourage others. In the U.S. the tax system is powered by a strange mash of special interest lobbyists and political action committees (PACs) that literally reward elected officials [...]
17Jul2011 | Peter G. Miller | ContinuedThe idea that there ought to be “parity” between military and civilian pay, that there should be equal pay for equal work, seems both alluring and fair. But the reality is that there’s a huge difference between a civilian job and the totality of a military lifestyle. “Civilian pay rose by about 2 percent more [...]
17Jul2011 | Peter G. Miller | ContinuedThere are frequent claims suggesting that large numbers military families live below the poverty line and thus require food stamps. Such reports are untrue. They are also very destructive because they imply that a military career results in substantial financial hardship. The use of food stamps — an index of limited income and a suggestion [...]
10Jul2011 | Peter G. Miller | ContinuedIf you agree with the idea that tax-free military salaries would be better for the country and better for those who serve, then please join our effort to promote the concept. 1. Tell friends and family, colleagues and co-workers, and members of congregations and committees. 2. Please use our Twitter and FaceBook connections to support [...]
29Jun2011 | Peter G. Miller | ContinuedQuestion: Is the idea to also end the application of Medicare and Social Security taxes? Answer: At this time military pay is subject to Social Security and Medicare taxes. The expectation is that such taxes would continue. The logic is that such taxes can be deducted automatically from pay and deposited directly with the government. [...]
26Jun2011 | Peter G. Miller | ContinuedQuestion: Suppose military wages are exempt from federal income taxes. What about the states? Answer: Currently state rules vary. It’s likely that some states will follow a federal standard that does not tax military wages while others will continue to tax such income. An important issue here concerns the economics of individual states and the [...]
26Jun2011 | Peter G. Miller | ContinuedQuestion: What about treating military households as a single unit and making all household income tax free? Answer: The idea of making military income non-taxable will not happen instantly or easily. All proposals have opposition and such opposition must be fairly considered. To broaden the initial proposal could well doom the entire concept. The better [...]
26Jun2011 | Peter G. Miller | ContinuedQuestion: What would happen to the deficit if military pay is made tax-free? Answer: Not much. Tax revenue would drop if we make military salaries tax free — but that’s not the whole story. Recruitment and retention costs would also fall. Some military income is already non-taxable, such as money earned while in a combat [...]
26Jun2011 | Peter G. Miller | ContinuedQuestion: If military income was made tax free would that apply to National Guard and Reserve wages earned at monthly meetings and during summer training periods? Answer: You bet. Much of our military strength depends on the ability to call up reservists and National Guard personnel. Moreover, the National Guard is routinely and frequently deployed [...]
26Jun2011 | Peter G. Miller | Continued