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How To Fix The Economy With Child Support Reform

12/8/2011, 3:59 p.m.
How To Fix The Economy With Child Support Reform

How To Fix The Economy With Child Support Reform

When I watch the news regarding taxing the rich more and the poor less or the 99% vs. the 1% or Wall Street vs. Main Street, I realized the only way to find a resolution to the problem for both sides is to find common ground. But, how do you do that when one person is living check to check and the other person is responsible for providing that very person with the check? The equation alone creates the fundamental difference and problem. So, I began to search the entire Earth looking for common ground between the two entities and when I came up short on Earth...I began to search the galaxy until I began to look at pictures of my children and then it hit me; no matter how rich or poor you are we all have one thing in common...CHILDREN and if the individual doesn't have any of their own they have a relative or friend that does! The commonality of children not only transcends race, politically affiliation and economic circumstances, but it transcends gender too and that is where the tax break argument should start. Do you really think the rich and/or poor non-custodial parents of this great nation that send out a lump sum of money each month to take care of a child they only get to see on weekends for 4 hours a pop would ever argue against providing those same individuals with a tax break, and, before you even think about if it will even make a dent in our current economic circumstance...there are millions of us out there. According to the U.S. Census Bureau, in 2008 there were 13.7 million parents in the United States who had custody of 21.8 million children under 21, while the other parent lived somewhere else. Of those 13.7 million parents, 7.4 million (2.5% of the entire U.S. population in 2008) had a child support agreement or court order in place to receive monetary help from the noncustodial parent who lived somewhere else. Translation: There are enough non-custodial parents to silence the tax break battle between Republicans and Democrats because the ones affected by it are: Republicans and Democrats!

So I began to assess ways our politicians can provide tax breaks for a select group of people both rich and poor that will provide economic stimulus without bankrupting our nation.

Suggestion #1

All child support payments should be mandatorily withdrawn directly from your paycheck and assessed before taxes. In New York State, child support payments are withdrawn after taxes, which means the individual paying support is taxed on a higher amount resulting in less take home pay and that amount is reduced further because the support is then withdrawn from what is left after taxes. This results in less available discretionary funds to be placed back into the economy for economic growth. If Child Support was withdrawn before taxes this would result in being taxed on a lower amount, which would increase the amount of funds left on an individual's paycheck after taxes and additional money in the pockets of Americans that need it and would put it back in the economy. We already do this with transportation/parking costs not to mention, the government will arrest, revoke passport/driving privileges and adversely affect the credit of an individual for not paying child support, so it should be the government responsibility to that same individual to ensure the best interests of the child are met as well as do whatever possible to prevent the individual from failing in a system it created and enforces.