Elizabeth Warren Has a Plan -- And the Billionaires Don't Like It

Readers' Forum Part 2, Sept. 29, 2019: Words of fairness from Sen. Warren
Letters to the Editor: Opinions from readers on issues of the day Sep 28, 2019

   
Words of fairness from Sen. Warren

If you’re paying attention, you know Elizabeth Warren has plans for America. Her wealth tax (I would call it the tax on obscene amounts of wealth) would bring in billions from billionaires to pay the bills for strained and injured human infrastructure. She’s ready to address universal child care, rising college costs, the student debt crisis, political corruption and a host of other pressing problems quickly turning into intractable crises.

This wealth tax would assess a 2 percent levy on fortunes greater than $50 million dollars and 3 cents on every dollar of wealth exceeding a billion dollars. Stop for a minute and remind yourself what a billion dollars is. One billion is 1,000 times one million. Warren’s wealth tax really adds up to a minuscule amount on those safely holding humongous riches in financial harbors around the world.

For example, take a look at Jeff Bezos, seeing as he is the current reigning king of the billionaires. He’s worth an estimated $160 billion. If Warren’s plan had gone into effect in 1982, Jeff’s mountain range of money would be reduced to $87 billion. If you win a million in the lottery tomorrow, think of Jeff Bezos. His after tax pot is that million you won multiplied 87,000 times.

Of course, the vast majority of Americans do not work and play in the elevated reaches of billion dollar mountain peaks. We’re tethered to earthly concerns. Down here on the flats and in the valleys of family finances we frown and balance our check books, grimace and pay off (sometimes only a portion) of our credit card and other bills, and then ponder how next month’s child care, food, shelter and clothing will be squeezed into our budgets.

The meanings of the jumbo Bezos’ billions figures can be beyond understanding. And therefore, beyond thinking about, beyond considering actions that might bring ballooning assets within the sight of us all. Warren is proposing a plan to change this.

But maybe you’re almost comfortable with the condition of your economic condition. Good for you. You’re not exactly smug, but Warren, and plans, and change ... Nah! But think about this.

Imagine some point in the future when you’re entering retirement. You have saved $200,000 to sustain and enjoy your golden years. (Lucky, hard working, frugal you. Only 16% of Americans reach this level of savings upon retiring.) $200K, with careful management, can make you feel comfortable, maybe (and only maybe) even safe. And then there’s multi-billionaire Jeff B. He may (though it’s highly unlikely) churlishly decide to chuck it all after Warren’s tax hits him. His nest egg is $87 billion. If he spends $200K each and every year, his savings pot will last ... 435,000 years.

So there it is. Just you and Jeff. Two retirees enjoying the golden years.

Sigh. I suppose this is where the hard core base of Trump supporters are holding up a single finger in the middle of their small hands as their way of countering hard truths. They are spouting epithets about losers, envy, and socialism. Their red-faced jeers wander off into the plowed and re-plowed fields of dusty lies about Hillary and Obama.

But even those in Trump’s sneering base know the bravado veneer of the president’s ravings will not buffer them against life’s hardships, bad luck, and plain economic facts. Dark, hard days come to all of us. The single-parent’s child care must be paid for; the granddaughter in trade school or college faces costs which continue to climb; student debt hangs heavier each year; soaring medical costs appear to have no ceiling; and retirement often ends with assisted care, memory care, or full time nursing care and $200K is wiped out faster than Jeff Bezos can build a bigger dock on one of his privately owned islands.

These realities of life lived won’t fit on a political bumper sticker or yard sign. They must be faced with the courage to accept changes and to have a plan of action.

So I give Elizabeth Warren the last word here. They are words of fairness and common sense to billionaires, and to us.

“You made it big? Good for you! You had a great idea, you worked hard ... or you inherited well. But either way, great fortunes in this country were built using workers all of us helped pay to educate ... Put a little back in so everybody else has a chance to make it.”

— Gary Daily