Obama Plans to Reduce Budget Deficit to $533 Billion by 2013

[eridanus]

He is reducing the deficit by cutting taxes?

This is what Reagan tried. It didn't work too well, and he later raised taxes.

 

[lets-retire]

I'm not sure what your point is but 153K isn't a lot of money these days - especially with a family.

Including all tax returns that had a positive AGI, taxpayers with an AGI of $153,542 or more in 2006 constituted the nation's top 5 percent of earners.

If I made 150k, or 100k per year for that matter, I'd be set. Me and the DW have never made more than 90k with a family and we haven't really struggled with finances too much. We did have one major hiccup, but that was after taking a 25% pay cut.

 

[ziggy29]

If I made 150k, or 100k per year for that matter, I'd be set.

Could be, assuming you had that job long enough such that if you were a "hypersaver" while you had that income, you'd have years worth of cash to get through it hitting the fan.

That's what we've been trying to do lately ourselves.

 

[Abreutime]

So, Obama's planning on "cutting" the deficit to Bush era levels, and everyone is supposed to be impressed? Looking at his proposal, the major cut is in Iraq spending (1.6T over 10 years, if I recall correctly), which is something that was he was going to do anyway. Most importantly, his proposal assumes GDP growth in the coming years. If the economy does turn around and grows in the next few years, I hope the annual budget deficit is not half a trillion dollars. I would not consider that an accomplishment, since that's where we were under Bush, and it's not a sustainable level.

My guess is that the government solutions to the current credit crisis, combined with future tax increases, will retard growth, and the deficits that we run are greater than $1T. I leave open the possibility of Obama being tough on budgets in 2012 during his re-election bid.