Guest post by Angela Blair:
“There’s a lot of uncertainty that’s not clear in my mind” — Gibb Lewis
That quote says a lot about where senior citizens stand on the economy and taxes. Oh, we understand as well as those of the younger persuasion but have a lot more experience on which to base our thoughts. The whole thing can be very disconcerting. (By the way, I speak Texanese and write the same way so bear with me here!)
Prime example: A senior citizen on a Social Security, fixed, low income (let’s say $850 in Social Security each month) may also have a home mortgage requiring monthly payments — a great deal of which is interest and not principal. What’s so strange about that? Well, if you don’t make enough money to claim that mortgage interest deduction on your taxes (and trust us, dearhearts, at $850 month that’s not enough income to claim the deduction) – that mortgage interest money just sifts off into the tax-refund/get nothing wind. Truth is, most mortgages, at the very best (and for a hovel-type home) will require a $400 monthly payment (and that’s rock bottom) including taxes, insurance and interest.
In contrast, the young, employed couple (income-generating folks) can claim the mortgage interest deduction on their home because they make enough/more money! What kind of equality is that? You don’t “pay in” so you can’t “get back” and that’s the bottom line on senior, Social Security,low income citizens. Fact is, a lot’s “paid in” just to survive — no matter how little you make. Social Security has not had a cost of living raise going on three years now — and the future ain’t lookin’ good for 2012 either. So, how about the Gov giving Social Security/low income folks a break on all that mortgage interest deduction everyone else is writing off on their taxes – and put it in the form of a refund check?
An across the board deduction for mortgage interest could go a long way to help low income, Social Security drawing seniors. Yep, you’re right again! If you haven’t paid taxes “in” how would the government pay refunds “out” to Social Security recipients for mortgage interest they’ve paid? Well, from where I sit seems the Gov owes the Social Security Fund a ton of money they’ve “borrowed” and made no effort to pay back.
Let’s just consider the mortgage interest refunds to Social Security, low income folks payments against what the Gov owes the Social Security Fund they’ve robbed — ’cause the fund lawfully belongs to all us old poots that paid into it. I, personally, paid into it for over 60 years; it’s my money and it’s been stolen. If I have to get it back via mortgage interest refunds so be it. Every other home owner gets that tax break! This suggestion is very simple and straight forward — meaning it will die on the suggestion vine and quickly — but that money’s mine and I damned sure need it and want it! ‘Nuff said!
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Angela Blair lives in Texas.
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This guest post was submitted in response to my query about how the best way to deal with the current economic situation. This post does not necessarily reflect my thoughts and feelings.
Your comments and reactions are, of course, appreciated. Just play nice. I have standards. And I don’t want to have to delete you.
