Potus Budget Plan Unveiling on 2/23

[crazy connie]

Obama to Unveil an Ambitious Budget Plan

Dependent on what he says, the entire market should be hyperactive on Monday.

Hold on tight for the next few days I think this will be like a bucking bronco!

[newporttony]

I suspect that announcing tax hikes in the middle of a recession will not be warmly received by investors, but I could be wrong.

[Dawg52]

Quote:

Originally Posted by newporttony I suspect that announcing tax hikes in the middle of a recession will not be warmly received by investors, but I could be wrong.

DOW 6,000, here we come.

[OAG]

Quote:

Originally Posted by Dawg54 DOW 6,000, here we come.

You are so optimistic.

[kumquat]

Quote:

Originally Posted by newporttony I suspect that announcing tax hikes in the middle of a recession will not be warmly received by investors, but I could be wrong.

Quote:

Originally Posted by Dawg54 DOW 6,000, here we come.

Don't these taxes only apply to profitable companies?

[. . . Yrs to Go]

Quote:

Originally Posted by newporttony I suspect that announcing tax hikes in the middle of a recession will not be warmly received by investors, but I could be wrong.

I also suspect "Damn the $2,000,000,000,000.00 deficit, full steam ahead!" might not be warmly received by investors either.

[FIRE'd@51]

Quote:

Originally Posted by newporttony I suspect that announcing tax hikes in the middle of a recession will not be warmly received by investors, but I could be wrong.

To the contrary, this is what the article says about the tax increases:

Obama also seeks to increase tax collections, mainly by making good on his promise to eliminate some of the temporary tax cuts enacted in 2001 and 2003. While the budget would keep the breaks that benefit middle-income families, it would eliminate them for wealthy taxpayers, defined as families earning more than $250,000 a year. Those tax breaks would be permitted to expire on schedule in 2011. That means the top tax rate would rise from 35 percent to 39.6 percent, the tax on capital gains would jump to 20 percent from 15 percent for wealthy filers and the tax on estates worth more than $3.5 million would be maintained at the current rate of 45 percent.

IMO, this is about the best that investors could have expected. Remember, the Bush tax cuts are set to sunset in 2011. Apparently Obama is going to let them expire on schedule. The worry was that he might try to end them sooner. IMO, the markets may view this as positive.

[RAE]

Obama also seeks to increase tax collections, mainly by making good on his promise to eliminate some of the temporary tax cuts enacted in 2001 and 2003. While the budget would keep the breaks that benefit middle-income families, it would eliminate them for wealthy taxpayers, defined as families earning more than $250,000 a year. Those tax breaks would be permitted to expire on schedule in 2011. That means the top tax rate would rise from 35 percent to 39.6 percent, the tax on capital gains would jump to 20 percent from 15 percent for wealthy filers and the tax on estates worth more than $3.5 million would be maintained at the current rate of 45 percent.


I don't know how the market will react, but this plan works for me. Pretty much what he said he would do during the campaign.

[newporttony]

Quote:

Originally Posted by RAE Obama also seeks to increase tax collections, mainly by making good on his promise to eliminate some of the temporary tax cuts enacted in 2001 and 2003. While the budget would keep the breaks that benefit middle-income families, it would eliminate them for wealthy taxpayers, defined as families earning more than $250,000 a year. Those tax breaks would be permitted to expire on schedule in 2011. That means the top tax rate would rise from 35 percent to 39.6 percent, the tax on capital gains would jump to 20 percent from 15 percent for wealthy filers and the tax on estates worth more than $3.5 million would be maintained at the current rate of 45 percent. I don't know how the market will react, but this plan works for me. Pretty much what he said he would do during the campaign.

May work for you but not for people that actually have to pay for his ideas. Like they say in DC, "don't tax you don't tax me, tax the guy behind the tree".

[RAE]

Quote:

Originally Posted by newporttony May work for you but not for people that actually have to pay for his ideas. Like they say in DC, "don't tax you don't tax me, tax the guy behind the tree".

Well, yeah, I don't imagine that the folks making over $250,000/year are too thrilled with this plan. However, Obama has said consistently all along that this was something he would do if elected, and he got enough votes to be elected, so I'm apparently not the only one that thinks it's a reasonable idea.

[FUEGO]

It will be "interesting".

[TromboneAl]

I noticed this for the first time:

Administration officials also are debating whether to permit people as young as 55 to purchase coverage through Medicare. That age group is particularly vulnerable in today's weakened economy, as many have lost jobs or seen insurance premiums rise rapidly. The cost would depend on whether recipients were offered a discount or required to pay the full price of coverage.

[Rich_in_Tampa]

Quote:

Originally Posted by TromboneAl I noticed this for the first time: Administration officials also are debating whether to permit people as young as 55 to purchase coverage through Medicare. That age group is particularly vulnerable in today's weakened economy, as many have lost jobs or seen insurance premiums rise rapidly. The cost would depend on whether recipients were offered a discount or required to pay the full price of coverage.

Al, do you remember where that's from?

[FUEGO]

Quote:

Originally Posted by TromboneAl I noticed this for the first time: Administration officials also are debating whether to permit people as young as 55 to purchase coverage through Medicare. That age group is particularly vulnerable in today's weakened economy, as many have lost jobs or seen insurance premiums rise rapidly. The cost would depend on whether recipients were offered a discount or required to pay the full price of coverage.

I'm afraid I may be the last to receive free or subsidized guaranteed issue health insurance. To summarize, all the following get government sponsored health coverage:

- Old people (medicare - over 65 - maybe over 55 now)
- young people - up to age 25 in some cases
- some disabled and problem kidney folks (medicare)
- government employees (provided as an employee benefit)
- prisoners
- military personnel
- poor people (medicaid)
- veterans and military/civilian retirees

Did I leave anyone out?

Who is not included are: middle class, middle-aged folks too poor to self insure and too rich to get free govt cheese.

[dex]

Quote:

Originally Posted by FUEGO - Old people (medicare - over 65 - maybe over 55 now)

Under that plan I will be able to get medicare next year.
I am now moving to a plan with a 7,500 deductible for 150/mo.
My mother - 89 pays 91/mo for the BCBS medicare supplemental plus 71/mo for the prescription drug part.

[freebird5825]

...free or subsidized guaranteed issue health insurance. To summarize, all the following get government sponsored health coverage:

- Old people (medicare - over 65 - maybe over 55 now)
- young people - up to age 25 in some cases
- some disabled and problem kidney folks (medicare)
- government employees (provided as an employee benefit)
- prisoners
- military personnel
- poor people (medicaid)
- veterans and military/civilian retirees and their survivor spouses and dependents

I erased the quotes (oops!) in the process of making a minor correction to the last sentence.
BTW, most groups including vets and mil/civ retirees pay for their insurance coverage at different levels. It is definitely not free.
I'm not sure about the rest of the groups who may get it free, perhaps the federal prisoners?

[Bestwifeever]

If he says no nationalization of banking, it will make the biggest difference it seems to me.

[unclemick]

Quote:

Originally Posted by Bestwifeever If he says no nationalization of banking, it will make the biggest difference it seems to me.

I hope he does - the Swedes knew best.

On second thought - the Norwegian widow owns BAC, JP Morgan, Citi, Sun Trust and those Swiss cats - UBS.

Hmmmmm.

heh heh heh - kay cera cera whatever will be will be. .

[OAG]

Next to last Paragraph: Obama Targets Budget Deficit

[bubba]

So the Stimulus Bill for more money than I can fathom gets passed, and before the ink dries, announce potential tax hikes. Yes sir, I just abandoned all hope of economic recovery. I can't imagine how the markets will react.