Jane Hardin: Small tax cuts now, bigger costs come later

The word ‘big’ seems to be a misnomer for the average person who will at best see about a 1.6 percent tax cut according to the nonpartisan Tax Policy Center. Here is some data. If you make between $20,000 to $30,000 your big cut will be about $180 a year. For those in the $30,000 to $40,000 bracket you’ll have $360 more dollars. The $40,000 to $50,000 thousand dollars nets you a savings of $570. Those making $50,000 to $75,000 will be $870 dollars richer. Finally, if you make from $75,000 to $100,000 you will have about $1,310 yearly increase in your pocket. Of course each individual situation is different and these are averages.

A part of the reform bill eliminates the Obamacare provision requiring everyone to have health insurance. Premiums will spike even higher especially for older Americans buying insurance on their own. AARP estimates that a 50 year old will pay $1,110 more or $12,200 a year while a 60 year old will see a $1,350 rise or $14,860 for 2019. Tax reform will spike the deficit by 1 trillion over 10 years and there are already calls by Paul Ryan to cut Medicare, Social Security, and Medicare. Tax reform? Be careful what you wish for!

This story was originally published December 27, 2017 at 4:26 PM with the headline "Jane Hardin: Small tax cuts now, bigger costs come later."