I think he's using the money for a less targeted middle class tax break and to pay for poor people to go to college. Seems like a good idea. No need to subsidize upper middle class parents.

Or, we can keep the 529 tax break and raise taxes on the rich.

I have two of my own kids that I need to put through college.  We've been funding 529's to do so.  Are you saying that it's more important for Obama to take money out of my pocket so that he can fund somebody else's kid going to college?

That's your idea of "a good idea"?

I don't have a 529. I do have a middle class income. So yeah, an income tax break for me at the expense of your 529 tax subsidy is fine with me.

Or we could raise taxes in the rich.

Yeah, we've had that discussion before.  "They can afford it.  **** 'em."

Or you. Either one.

I don't see the problem here. We currently give a tax subsidy to people who draw money from a 529 to pay for their kid's college. We know that 529s are used almost exclusively by upper middle class families.

Obama's proposing to end that subsidy in order to help low income people go to college.

If we're going to subsidize college, I'd prefer we subsidize it for poor people.

Posted by bad_luck on 1/20/2015 9:35:00 PM (view original):
I don't have a 529. I do have a middle class income. So yeah, an income tax break for me at the expense of your 529 tax subsidy is fine with me.

Or we could raise taxes in the rich.

Assuming you have children that would mean 1) you are fiscally uneducated or 2) a poor planner.

Maybe both. If you were a good planner you'd be stocking money away early on for college tuition the day your kid gets a social security number and if you were financially literate you'd stock that money in a tax free vehicle for the next 18 years rather than a taxable savings account growing at an interest rate of .01%. Not to mention states like Illinois give a tax deduction to residents who invest in their state plans.... Another benefit.

That said.... I'm not opposed to Obama reducing taxes on the middle class and actually think its wise.... He is however going too far by sacrificing 529s to help pay for it. Education is just too important, why discourage saving for college? Proposing 2 years of college does nothing but bump the needle from a bachelors to a masters to get higher paying entry level jobs at good companies. Its a win for colleges... Not the middle class.

As for taxing the rich more.... I'll leave that to Marco Rubio who correctly states “Raising taxes on people that are successful is not going to make people that are struggling more successful”.

It's a mixed message he's sending with respect to education.

1)  Everybody should be given the opportunity to go to community college for free

vs

2)  Oh, you've been funding 529's to pay for your kid's college education?  Gee, that's too bad.

Posted by bad_luck on 1/20/2015 9:50:00 PM (view original):
Or you. Either one.

I don't see the problem here. We currently give a tax subsidy to people who draw money from a 529 to pay for their kid's college. We know that 529s are used almost exclusively by upper middle class families.

Obama's proposing to end that subsidy in order to help low income people go to college.

If we're going to subsidize college, I'd prefer we subsidize it for poor people.

Yikes! Now taking from the rich isn't enough so we have to take from the upper middle class now as well? When does it end?

And it's funny how BL likes to distinguish between "upper middle class" and "lower middle class".   More division of the classes for the left's class warfare.

Posted by moy23 on 1/20/2015 10:26:00 PM (view original):

Posted by bad_luck on 1/20/2015 9:50:00 PM (view original):
Or you. Either one.

I don't see the problem here. We currently give a tax subsidy to people who draw money from a 529 to pay for their kid's college. We know that 529s are used almost exclusively by upper middle class families.

Obama's proposing to end that subsidy in order to help low income people go to college.

If we're going to subsidize college, I'd prefer we subsidize it for poor people.

Yikes! Now taking from the rich isn't enough so we have to take from the upper middle class now as well? When does it end?

It ends when Obama has all the money.

Posted by tecwrg on 1/20/2015 10:24:00 PM (view original):
It's a mixed message he's sending with respect to education.

1)  Everybody should be given the opportunity to go to community college for free

vs

2)  Oh, you've been funding 529's to pay for your kid's college education?  Gee, that's too bad.

It's not like you lose the 529. You just have to pay income taxes on the gains.

Again, it's a subsidy used almost entirely by upper middle class households with kids. People who have the means to pay for or otherwise finance the cost of college. Ending that subsidy in order to subsidize the college education of the poor makes sense.

So just to be clear, it's not Obama's "War on the Middle Class". It's only a war on the upper middle class.

Oh, well that's just so much better.

Thank you, President Obama, for turning your attention to me and my people.

Label it however you like. Currently, a subsidy is being provided to certain people who have relatively high incomes. Obama is proposing that we shift that subsidy to people with relatively low incomes.

To me, that's a good idea.

Posted by bad_luck on 1/20/2015 10:52:00 PM (view original):

Posted by tecwrg on 1/20/2015 10:24:00 PM (view original):
It's a mixed message he's sending with respect to education.

1)  Everybody should be given the opportunity to go to community college for free

vs

2)  Oh, you've been funding 529's to pay for your kid's college education?  Gee, that's too bad.

It's not like you lose the 529. You just have to pay income taxes on the gains.

Again, it's a subsidy used almost entirely by upper middle class households with kids. People who have the means to pay for or otherwise finance the cost of college. Ending that subsidy in order to subsidize the college education of the poor makes sense.

And who the **** are you to determine my means and ability to "pay for or otherwise finance the cost of college" for my kids? The vehicle that I've been using is a tax-free 529. Now, President Robin Hood wants to tell me "Oh, sorry. We're going to make you pay taxes on the tax-free investment vehicle we provided you and incented you to use. GOTCHA!!!".

Posted by bad_luck on 1/20/2015 10:52:00 PM (view original):

Posted by tecwrg on 1/20/2015 10:24:00 PM (view original):
It's a mixed message he's sending with respect to education.

1)  Everybody should be given the opportunity to go to community college for free

vs

2)  Oh, you've been funding 529's to pay for your kid's college education?  Gee, that's too bad.

It's not like you lose the 529. You just have to pay income taxes on the gains.

Again, it's a subsidy used almost entirely by upper middle class households with kids. People who have the means to pay for or otherwise finance the cost of college. Ending that subsidy in order to subsidize the college education of the poor makes sense.

Can upper middle class get FAFSA loans at low interest rates? I'm not sure they can... But poor people can, then they can go to a 4 year school, get a bachelors degree, a job, and eventually pay it back over 10-20 years with the money they make from advancing their careers. That's how it's done.


On another note... It should be said that Obama has done more good for the rich than any other president in my lifetime.... Its too bad the majority of poor and middle class are too blind to see past his false rhetoric.

http://www.washingtontimes.com/news/2015/jan/4/obama-economy-welfare-dependency-peaks-as-rich-get/?page=all