Spread the Wealth

I am just now realizing that I am one of the "Rich" and must spread the wealth. When I retired I continued to pay the premiums on my group life insurance. Well the government has decided that the value of any amount over $50,000 is taxable, or, "imputed income". In 2009 my imputed income was over $3000. The three previous years it was less than $400. Why the ten-fold increase? Therefore, my income taxes increased by $377 based on 14.5% rate.

Now here is the kicker. I have a little part time job. It is fun, easy and gives me a little extra spending money. Since I am drawing social security, I have a limit on my earnings, otherwise SS reduces that benefit $1 for every $2 I make. Fair enough, that has been well communicated over the years. Little did I know that the imputed income also counts against that ceiling. Now I find out that I earned too much in 2009 and must repay social security $455. Because I over earned and my wife is drawing SS, her benefit is reduced and she must repay $121. That is a total of $953 I must pay in 2009 vs each of the previous years.

Consider the fact that everyone must pay income taxes on 85% of their social security earnings.

Summary:

I am taxed on a benefit for which I pay $180/mo that my heirs will get and my annual earnings is reduced because I have chosen to look out for future generations. I thought Obama wasn't going to increase taxes on anyone making under $250,000. I guess the definition of "Rich" has changed. I feel better now knowing that I am Rich