Federal Income Tax

TARIFFS – The Statistics of 1901 vs 2026 Unraveled

Posted on by Helena

TARIFFS.  State of the Union Address, Trump again pushes the notion that the US used to have no federal income tax because tariff revenue was all that the government needed to sustain themselves.  The Federal Budget in 1901 was $525 million or 3% of GDP and total debt was roughly $2 billion.  Averaging in inflation, the budget would equate to $20 billion and the debt to $76 billion today.  Trump’s Budget is $6 Trillion+.  We are operating at 128% of GDP on debt of nearly $40 trillion.  Using the 1900’s to justify Tariffs today is a ridiculous comparison that has no basis in reality.

The overextended growth of the US Government began in 1979 with Jimmy Carter’s Malaise.  Since then, the federal government’s spending skyrocketed into deficit stratospheres with a brief pause between 1997 and 2000.  In 1913 Woodrow Wilson introduced the Income Tax to pay for WWI.  The United States has since become a War Economy. 

In 2025, the US imported $3.44 Trillion in goods – further defining America’s inability to be self sufficient in anything.  A 10% Tariff across the board would levy $344 billion in receipts, whereas our current allocation to the Feds for income tax is roughly $2.5 Trillion.  Simple math.  In order for Trump to aggregate the value of the Income Tax, Tariffs would have to be levied at 90%.  This would equate to a 100% inflation cost of all imported goods.  Running the risk that countries would reciprocate, the global economy would literally CRASH.   A $50,000 automobile would be $100,000.  Every technology apparatus would double from phones to computers, to kitchen appliances, to electricity, and beyond.

We don’t have mathematicians or economists running the White House – we have lawyers, bankers and conmen.  It is no different than having a lawyer conduct surgery – their acumen is based on argue everything even when you are wrong. They would undoubtedly remove your liver for a head-cold.  Trump is following those orders.  TARIFFS can never replace the income tax unless we can reduce the government and its budget by 90%.

SOCIAL SECURITY:  Every single year we are told that Social Security is broke and retirees will have to take a cut in their receipts.  The fact that Social Security utilizes a completely different schematic to calculate inflation than government employees is only matched by the fact that government pensions are never similarly targeted for bankruptcy.  How is that possible. 

US TREASURY:  As of 2024, the last time the government pulled a calculation out of thin air, the total pension liability at the time amounted to $3.34 Trillion – a 5.5% increase over 2023 due to – inflation.  Where is that money supposed to come from?  According to the US Treasury 2024 Balance Sheet; Total Assets are $5.6 Trillion on Liabilities of $45.5 Trillion.  Within the Receivable section of the Balance Sheet, $2.15 Trillion is for loans, including education that will never be repaid. In addition, $1.3 trillion in Property Plant and Equipment that could generate likely 35cents on the dollar.  So the $5 trillion in assets is more likely $2 Trillion.   It isn’t Social Security that is in trouble – it is the entire government system.  And TARIFFS will exasperate the Value of Living for all 345 million Taxpayers to the point of third world status.

To mitigate the mess, Trump is proposing a Thrift Plan of Savings for Americans.  All you have to do is turn over your retirement to the US Government.  The fund is managed by the Federal Retirement Thrift Investment Board.  It is currently managed by Democrat Lawyer and politician Mike Gerber.  The five member part-time Board is required by FERSA to have “substantial experience, training, and expertise in the management of financial investments and pension benefit plans.” 

Other Board members include Dana Bilyeu – a lawyer, Leona Bridges – MBA from Barclays, aka Blackrock, and Stacie Olivares – MPP Business and Government.  The fifth member is ‘vacancy’.

What Trump is entertaining is for millions of hard working civilians to give their money to FERSA which will be ‘accounted for’ as a Trust but will be used as a slush fund for more government warfare funding.  No one would be able to touch their money until the new retirement age of death per Ben Shapiro and Ted Cruz.  Given Social Security is ‘bankrupt’ – FINRA would call this Investment FRAUD. 

Yet the Trump Gala touts how strong the economy really is despite bankruptcies rising 14%, and unfettered debt.  Not only is it negligent, fraudulent, and unsustainable, the ONLY way out is for government to step down, forfeit their pensions, pay back the graft, and sacrifice their individual wealth gained on the backs of taxpayer labor.

While tariffs funded 19th-century government, they were volatile, regressively taxed consumption, and raised prices. Income taxes allow for higher, more reliable revenue as the government is ‘ever expanding’.  Current federal employees – roughly 9.1 million – 3 million of which are actual employees, the remaining include contract and grant employees doing the actual work on behalf of the government because lawyers don’t know how to contribute to society.

MEDICAID & ACA vs Government Contribution to Society

Posted on by Helena

MEDICAID SPENDING:

States are in a frenzy as they have continued to dole out free Medicaid for illegals and citizens who fraudulently manipulate the system for free healthcare.   Unlike medicare which is funded by payroll taxes, Medicaid is a freebie funded by ALL Taxpayers as a welfare entitlement.  Created in 1969 by Johnson’s Marxist/Socialist regime under the auspices of The great Society, Medicaid quickly became yet another Ponzi scheme of fraud.   It is tied toa person’s stated income – and does NOT take into its algorithm – assets.  

Over 85 million or 26% of all Americans are collecting Medicaid at an annual cost of nearly $1 trillion.   any member of a household with income up to 138% of the federal poverty line qualifies for Medicaid coverage under the provisions of the ACA.  That poverty line is $15,650 per individual or $21,600 at the 138% threshold or $7.82 per hour.   As an example:  Walmart’s starting pay is $14-$19 per hour.   Target is $15 to $24 per hour and McDonalds is $12 to $15 per hour.

In other words, NO ONE who is working is making the poverty threshold – yet 85 million US citizens claim they are.  And we as Taxpayers are footing that bill – not the Feds or the states – US, you and I!   $15 per hour is the equivalent of $30,000 per year – $19 is $38,000 and $24 is $48,000.   Statistically, 52% of payments are for seniors and disabled who represent 21% of enrollees.  Seniors:  does that include the 5million over the age of 108? 

Statistics:  12% of the US population is in poverty.  But more than double that get Medicaid.  27% of disabled live in poverty.  But 31% of the disabled are veterans who qualify for VA Health – not Medicaid.   So WHERE is the money going?  $1 TRILLION.  States say they are ‘Cash Strapped’  – of course they all happen to be Blue states; Colorado, California, Maryland and Washington among the top tier.

There are 990,000 doctors in the US for a population of 330 million.  There are just 96,000 in Canada for a population of 40 million.    

The Topsy Turvy:  Obamacare or ACA was created to ‘reduce the cost of health insurance premiums for those who are not eligible for Medicaid, Medicare, or employer based insurance’.   So  ACA subsidies are over and above Medicaid.  There are 21 million people enrolled in Obamacare.  So, we now have 1/3 of the US population getting subsidized healthcare.  Before this welfare program I paid $300 per month for a family of four – zero subsidies.

There are over 22 million state and local government workers.  There are approximately 3-4 million federal employees (they are not exactly sure).   There are an additional 2 million federal civilian employees – which would include the CIA.  Approximately 163 million private employees are supporting 28 million government employees.   IF Trump were to eliminate the federal tax and instead tariffs, ie consumption, replaced these taxes, by default the uber wealthy would be paying the majority of funds into the government.   While ordinary consumers would likely revert to buying local boosting internal spending via choice spending.  

Healthcare needs a massive reboot!  he average cost of health insurance for a family of four is now $1500 vs the $300 I used to pay.  The reason is NOT that doctors are getting pay raises – the reason is fraud, waste, welfare, and government.

That isn’t socialism – this is Communism – full BLOWN.    

This identifies how the Middle Class came to no longer exist.  Eaten away by extraordinary costs to pay for illegal immigrants and government employees contributing no benefit to society while making far more than those paying into the system and receiving a pension upon retirement.  A pension that pays out 250% more than SS.  This is what Musk was referring to when he lashed out at Peter Navarro calling him ‘dumber than a sack of bricks’ with Navarro stating Musk doesn’t ‘build the cars’.  

Musk owns companies that contribute to society – Navarro and the majority of government workers simply feed off Taxpayers.   It is also likely, that the bottom dwellers Musk and DOGE have uncovered and have yet to release their findings to the media per Trump’s order  – is based on that premise.    And Musk is royally pissed at the extent of this revelation.