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‘Spread the Wealth’?

October 14, 2008 12:27 PM

"This weekend," Sen. John McCain, R-Ariz., said today, "a plumber concerned that Senator Obama was going to raise his taxes asked him directly about his plan. The response was telling. Senator Obama explained to him that he was going to raise his taxes to quote 'spread the wealth around.'"

Is that what happened?

Judge for yourself -- here's the exchange.

Outside Toledo, Ohio, on Sunday, Sen. Barack Obama, D-Ill., was approached by plumber Joe Wurzelbacher, a big, bald man with a goatee who asked Obama if he believes in the American dream.

"I'm getting ready to buy a company that makes 250 to 280 thousand dollars a year," Wurzelbacher said. "Your new tax plan is going to tax me more, isn't it?"

Obama said, "First off, you would get a 50% tax credit so you'd get a tax cut for your healthcare costs….. if your revenue is above 250 – then from 250 down, your taxes are going to stay the same. It is true that from 250 up – from 250 – 300 or so, so for that additional amount, you’d go from 36 to 39%, which is what it was under Bill Clinton. And the reason why we’re doing that is because 95% of small businesses make less than 250. So what I want to do is give them a tax cut. I want to give all these folks who are bus drivers, teachers, auto workers who make less, I want to give them a tax cut. And so what we’re doing is, we are saying that folks who make more than 250 that that marginal amount above 250 – they’re gonna be taxed at a 39 instead of a 36% rate.”

Responded Wurzelbacher, "the reason I ask you about the American dream, I mean I've worked hard. I'm a plumber. I work 10-12 hours a day and I'm buying this company and I'm going to continue working that way. I'm getting taxed more and more while fulfilling the American dream."

"Well," said Obama, "here's a way of thinking about it. How long have been a plumber?"

Wurzelbacher said 15 years.

Obama says, “Over the last 15 years, when you weren’t making 250, you would have been given a tax cut from me, so you’d actually have more money, which means you would have saved more, which means you would have gotten to the point where you could build your small business quicker than under the current tax code. So there are two ways of looking at it – I mean one way of looking at it is, now that you’ve become more successful through hard work – you don’t want to be taxed as much.”

“Exactly," Wurzelbacher said.

Obama continued, “But another way of looking at it is 95% of folks who are making less than 250, they may be working hard too, but they’re being taxed at a higher rate than they would be under mine. So what I’m doing is, put yourself back 10 years ago when you were only making whatever, 60 or 70. Under my tax plan you would be keeping more of your paycheck, you’d be paying lower taxes, which means you would have saved…Now look, nobody likes high taxes."

"No," said Wurzelbacher.

"Of course not," said Obama. "But what’s happened is that we end up – we’ve cut taxes a lot for folks like me who make a lot more than 250. We haven’t given a break to folks who make less, and as a consequence, the average wage and income for ordinary folks, the vast majority of Americans, has actually gone down over the last eight years. So all I want to do is – I’ve got a tax cut. The only thing that changes, is I’m gonna cut taxes a little bit more for the folks who are most in need and for the 5% of the folks who are doing very well - even though they’ve been working hard and I appreciate that – I just want to make sure they’re paying a little bit more in order to pay for those other tax cuts. Now, I respect the disagreement. I just want you to be clear – it’s not that I want to punish your success – I just want to make sure that everybody who is behind you – that they’ve got a chance at success too.”

Wurzelbacher said it seemed as though Obama might support a flat tax.

Obama says, “you know, I would be open to it except here’s the problem with a flat tax is that if you actually put a flat tax together, in order for it to work and replace all the revenue that we’ve got, you’d probably end up having to make it like about a 40% sales tax. I mean that’s the value added, making it up. Now some people say 23 or 25, but in truth when you add up all the revenue that would need to be raised, you’d have to slap on a whole bunch of sales taxes on. And I do believe for folks like me who have worked hard, but frankly also been lucky, I don’t mind paying just a little bit more than the waitress that I just met over there who’s things are slow and she can barely make the rent."

Obama said, "My attitude is that if the economy’s good for folks from the bottom up, it’s gonna be good for everybody. If you’ve got a plumbing business, you’re gonna be better off if you’re gonna be better off if you’ve got a whole bunch of customers who can afford to hire you, and right now everybody’s so pinched that business is bad for everybody and I think when you spread the wealth around, it’s good for everybody."

That's the key moment McCain is jumping out…"when you spread the wealth around it's good for everybody."

"But listen," Obama said, shaking Wurzelbacher's hand, "I respect what you do and I respect your question, and even if I don’t get your vote, I’m still gonna be working hard on your behalf, because small businesses are what creates jobs in this country and I want to encourage it.”

"Guys I gotta get out of here and go prepare for the debate," Obama said, "but that was pretty good practice right there."

-- jpt

October 14, 2008 in 2008: Democrats | Permalink | Share | User Comments (521)

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@ Partisanandproud

Are you implying that a vote should be bought? It seems like you're saying that, since that part of society gives 40 % of their money to the government, they should get more representation than my boyfriend, who pays, I don't know, about 10%. So a vote has a monetary value? Hmm, I thought democracy worked person by person, not dollar by dollar.

Posted by: Ali | Nov 10, 2009 1:19:16 PM

I thought his name was Stan instead of Sam.Which is wierd because my brother’s name is Sam.Maybe I have issues.

Posted by: dallas plumber | Sep 4, 2009 8:35:00 AM

I apalogize for the accidental double post of my last artical. This one is not another post of the same. I have one request to make of my oponents of the socialist side. If you are a democrat do not call yourself a republican. I admit that I am a partisan republican in my screen name. And specificaly you Speakout1 it is obvious that you are a democrat don't fake it. Go ahead and express your ideas but don't call yourself something that you are not. On a more relavent note do you know that there is a group of americians in our society who get one percent of the votes but pay 40% of taxes. This might not be taxation without representation but it sure is close

Posted by: Partisanandproud | Mar 29, 2009 3:17:31 PM

I think that all of you who say that the republicians need to figure out what socailisam is are a bunch of morons. You "liberals" so called can't recognize socialism when it is right in front of your face. Obama says that we should spread the wealth around. You should ask yourself what happened in the soviet union? the government took in all of the wealth and spread it around "fairly". Fair as in eaqual. This means that those hardworking people who work day after day to make their country prosper only get the mean of what everyone produces. This includes the lazy idol losers. Face it OBAMA IS NOT A MODERATE. There is nothing moderate in his policys he wants to raise taxes on people who make more money. THIS PUNISHES SUCCESS!!! Duhh! If you work hard, succeed and make more money then Obama takes more of it away from you. I am surprised that nobody else has made a comment about this yet. Oh and by the way I do not have a problem with the other side expressing it's views unlike you fairness doctrine liberals. PS. If you do not know what th fairness doctrine is look it up.

Posted by: PartisanandProud | Mar 29, 2009 2:59:03 PM

Wow, people who are more on the rich side actually earned their money so why should they lose it more when it is just as valuable to the waitress. It's not fair to tax one person more than everyone else.

Posted by: Spreadthewealthisbad | Dec 30, 2008 3:25:02 PM

Nam, Luke and Sharon apparently have been living in some dream world where reality is not in play.

Nam hasn't yet figured out what most households and small businesses in America bring home or how badly raising a tax 3% to where it was during the Clinton years is going cause suffering hardship for those that make $250,000. Sharon seemed to miss all the searches that were done on Obama and his connections and that McCain was the one that sky-rocketed Joe the Plumber to "the world's going to want to know everything about him" fame status, not Obama and Obama was far from embarrassed by Joe the Plumber because there was no need to be embarrassed if one listens to the tape and takes note of all the Joe the Plumber type people that helped elect Obama, knowing the nation has to pay its bills, not put them on the nations credit card for their children and grandchildren top pay just so we can play. Luke seems to think the mess we're in now is due to someone who has not yet taken office yet or has failed to notice what America has already done, the shape it is in now and who has been in office the last 8 years.

These types of statements and mentalities offer examples of why the NeoCon part of my party (Republican) has destroyed the GOP if not for good, for a good generation. Unfortunately what is going on in our world and the nation now can only be blamed on ourselves and those that had been elected to be leaders, but have ended up being big losers in the last 8 years.

When are we going to get a clue? Hopefully the last election was a wee bit of one for those with brains enough to "get it".even just a little.

Posted by: Speak Out 1 | Nov 22, 2008 2:00:47 AM

I would bet almost any amount of money that if the Joe the Plumber incident had happened the other way around (asking a question that embarrassed McCain) and the aftermath of the illegal searches of his background, the ACLU and the Obama folks would have called for the screamed for the firing of anyone involved

Posted by: SharonM | Nov 21, 2008 11:31:41 AM

well we are all screwed now...congratulations America, you really did it this time...i think im gonna cry..

Posted by: Luke | Nov 14, 2008 12:03:24 PM

Anyone who thinks people making more than 250K a year as a couple are rich is not thinking. This tax increase affects every engineering couples, every professionals who have about 10 years of professional experience, and everyone who tries so hard to open a small business or two will be punished. There is no point of working so hard anymore. Obama plan is the Communist plan, and million of people like us risked our lives running away by boats to come to the US now face the same communist government.

I left Vietnam 13 years ago with $50 from the money I sold my house for. I worked so hard, lived in a basement with a family of 4, earned my BS, then MS. I am now simply punished by Obama.

People work very hard to make that amount. You tax them high and they won't be motivated to work as hard. No new ideas or opportunities will come from them. And we all will suffer. We will be just like another France or China.

Posted by: Nam | Nov 7, 2008 10:53:56 AM

There is hope yet based on the number of people that used their minds to look behind those spreading misinformation hoping the ignorant would listen. The problem is, such tactics get old after a while and people see them for what they are. What is amazing in all of this is that the tax rate Mr. Obama mentioned to Joe the Plumber was a return to a tax rate that was in place during the Clinton years, not some wild out of whack tax on people struggling to get by. People talk of those who do not pay taxes in our nation, yet they somehow fail to also include at what income level those people are or how anyone that makes below the cut-off for incomes for paying taxes can put food on the table and a roof over their head, much less pay taxes, the idea is to help some of those people step over the threshold to BECOME tax payers and get people like John McCain who can’t even remember how many properties he and his wife own to help with that task, instead of investing it in cheaper Indian and Chinese labor forces and the Indian and Chinese economies where those paychecks will be spent. All the wealthy in the world could not support all the economies in the world because that would mean they would have to buy 100’s of items to make up for the larger populations that are keeping businesses in business, not by buying luxury homes and jewelry, but by buying mass quantities of goods and services, even at relatively low cost. Stimulus packages are fine for a quick jumpstart, IF the fundamentals (all the indicators of an economy, not just labor) are okay, they don’t work if the fundamentals are hurting, which ours have been. It goes back to the “give a man a fish and you feed him for a day, teach a man to fish and you feed him for a lifetime” mentality. We need to teach people to fish. I think Obama will do that. On the opposite coin, given free rein, we have seen what people like the AIG executives will do with such responsibility, treat themselves to a nearly half million dollar several day retreat AFTER being bailed out for their failures. Is it any wonder the pirates have been desperate to keep from having limitations put on their pirating? In addition, when both Reagan and G.H.W. Bush had to end up raising taxes and each having recessions during their terms, how can one argue that tax cuts work more often than they do not? Is someone going to try to suggest our current economy is in good shape as the result of tax cuts? Left to their own devises, people will take the money and run, not invest it the way it needs to be invested to stimulate the economy. Tax cuts don't and won't work if you expand spending beyond revenue collections and for them to work, they need to generate enough to offset the spending and expansion of the National Debt, of which interest and finances on that debt have become the third largest expense in the budget. So-called "conservatives" haven't been conservative, except perhaps of their own personal greed. We need a return to the Theodore Roosevelt and Eisenhower type of conservatism, one that looks at the greater good for the nation and the world, not just the greater good of me,me, me. People might do well to study the causes of the Great Depression. Mr. Obama has huge challenges in front of him, but he is an intelligent man and is likely to include intelligent people from all parties to help him work on solutions for the problems facing our nation. It is naïve to believe that there will not have to be sacrifice to solve our problems, from all people. It is also naïve to believe Barack Obama and his administration are going to represent perfection any more than others might have, but he has been elected based in large part because of his principles and direction and to many his ability to think and be in touch with the American people more so than those who cannot remember how many properties they and their wife own.

Posted by: Speak Out 1 | Nov 6, 2008 1:10:15 AM

I study Psychology and my main focus was on the 3% Tax increase initiated by Senator Obama. I only focused on that very aspect of Senator Obama in a Family Oriented analysis. I study Psychology and truthfully can tell you; That unfortunately so many people in this Country and beyond crave money over emotions. I knowingly believe what will fix this economy. That is ethics, humanity and compassion towards others. The money that leaves our hands is then intrusted in others. They must exercise these human emotions. My advise is ... Go to different sites that are not Presidentially funded, Democrat nor Republican. Again my study was on Senator Obama's tax increase and how it will effect Families. The "Family Clause"... I entitled it. I don't want to decide your vote, so please research all Senator Mccaiin and Obama's proposals and what educated economic opinions are offered. God bless you and whomever you may VOTE for.

Posted by: Ectology | Nov 3, 2008 8:56:48 PM

Senator Obama just stated that he wants to bankrupt all Coal companies and that under him our electic bills will go super high compared to where they are now. This he said will force them to produce clean energy??? What about everyone who is going to die freezing due to this garbage he and the democrats (who are all in Bill Ayers) back pocket planning this COMMUNIST TAKEOVER! Think this is baloney - start doing a search about their relationship and the book Bill Ayers wrote Prarie Fire how to seize power from the inside of the United States and make it communist. How they will re-educate some and exterminate those who will not conform. Obama is not a U.S. Democratic Senator - a vote for him is for Bill Ayers so they can CHANGE THE COUNTRY - And these are real facts you can BELIEVE in - read up then vote to SAVE YOUR FREEDOM BEFORE IT IS TOO LATE TO GO BACK TO WHAT YOU LOVED - America the home of the Free!

Posted by: americanwoman | Nov 3, 2008 11:02:34 AM

Remember that all that went before you blazed the trail for as far as they went. They gutted it out to become a success, and so can you! Don't look to the government for your welfare because when you do then the government gets to dictate how you will live you life to pay back the state!

Don't give up control of your freedom for a handout!

Three planks from the Communist Manifesto are:

1- A graduated tax system, to make it difficult to amass any wealth so as to mire the worker in a state of perpetual labor for the state. (already done!)

2- Abolition of private property rights. (Already in progress under the cloak of environmentalism)

3- Abolition of private gun ownership. (this is to prevent the citizens from rising up against an unpopular goverment, the Bolsheviks remembered how they overthrew the Czar)

"If a Nation expects to be ignorant and free in a state of civilization, it expects what never was and never will be...
if we are to guard against ignorance and remain free, it is the responsibility of every American to be informed."
- Thomas Jefferson

"It is a precedent fraught with danger for the country, for when Congress once begins to stretch its power beyond the limits of the Constitution, there is no limit to it and no security for the people...... the Constitution, to be worth anything, must be held sacred and rigidly observed in all its provisions."
-- Colonel David Crockett -- A.K.A. Davy Crockett --Member of the U.S. Congress 1827-31 & 1832-35 –

Posted by: P. Alford | Nov 3, 2008 12:18:22 AM

I have a lot of black friends and they know what a racial divide Obama has caused in the name of making himself President! Think people - he supports Planned Parenthood - they abort mostly innocent black unborn children (genocide under the geise of helping?) He supports Welfare not education for blacks - he's not compasionate because his own Aunt and 1/2 brother both live in poverty. He pulls on the heart strings of the poor, the angry and was part of this nations financial crises (by supporting mortgages Acorn pushed for) to people who could not afford them. These facts add up to the writings in Ayers, praire fire, how to take over the U.S.A. Do your homework and then decide who does Obama really care about, the poor - I think he is part of something much bigger something not even the poorest human wants to be opressed by!

Posted by: americanwoman | Nov 2, 2008 6:13:59 PM

The Ford assembly plant in Wixom Michigan used to be the largest auto assembly plant in the world. There were 4 shifts employing over 250 thousand employees; now a ghost town - closed. Our stupid Democratic Govenor said, if she was re-elected we would all be blown away, she was right! They closed months later stating that their plea's to get help to stay here with tax help were ignored until they actually started moving - (too late)! They went south of the border and elsewhere because Taxes in Michigan drove them out! Obama/higher taxes = more jobs lost and a welfare check (temporarilly) for all of you who he claims to care so much about! If he and Rev Wright are so passionate to help the poor - I want to see them sell their million dollar homes before the election and spread their own wealth around rather than confiscate the retirment plans of all americans to fund social security and spread the wealth to lazy people who never worked a day in their life! This has nothing to do with Obama and his insulting crap about - his peanut butter sandwhich and being a kindergartner - socialism /communisism will make him a dictator and no one will ever rise above poverty level again. The rich stay rich and everyone else stays EQUALLY POOR - documented by thousands of people in those countries do a search and you will see!

Posted by: americanwoman | Nov 2, 2008 6:05:13 PM

Just tryed to give you folks some links of information to judge for yourself about Obama, the Dems intentions for confiscating your 401k's and Ayers information and I got a response saying my information was spam and being reviewed - another words freedom of speech has been snuffed and they are giving you only what they want you to hear and read. These people have an agenda get out their and vote McCain!

Posted by: americanwoman | Nov 2, 2008 5:55:06 PM

If Obama believes so strongly that spreading the wealth will make America better, why doesn't he spread his own campaign wealth with McCain? Instead of sticking to the original promise of campaign funding, he's set all new records including millions on his own 30 minute infomercial. If anyone is naive enough to believe that Obama wants to just "split his peanutbutter and jelly sandwich" with his classmate, then ask yourself why he's only interested in spreading other peoples' wealth around? And how do you think he's going to spread that around? The government has to take it all in order to spread it and that means THEY decide where it goes? Is that what you want? That's not America. If you feel inclined to spread wealth around then do it yourself, don't rely on the government to make that decision. Afterall, who has enough faith in the government's decision-making to give them control of all our wealth and health care choices? I certainly don't.

Obama is a facade and a lie of unrealistic ideologies. Don't be a fool and buy into promises that can't be delivered.

Posted by: Matt | Nov 2, 2008 10:13:21 AM

How many of us here are even going to make $250,000 a year? Few to none. So why in the heck are you all worried about the tax on the rich? The large majority of Americans will never make that much.

Posted by: Jason | Oct 31, 2008 9:17:32 PM

The problem with the rich in this country now is that they will not give jobs to people in this country, they just pack their factories and ship them to China or India. Yes, they will generate more for the shareholders, but what about us who want to work and work hard and earn a decent living. Now you made your money and you are rich and you can make your money in whatever way you want, including producing at the lowest cost at the expense of jobs in this country. I suggest tax hike for those companies which outsource jobs overseas. We need that money to support our local economy and create jobs for people in this country.

Posted by: john | Oct 30, 2008 9:41:27 PM

More than 30 percent pay nothing in federal income taxes. Obama comes up with this number by calling tax credits "tax cuts." One can debate whether these things are good or bad, but they are not tax cuts. McCain offers refundable tax credits for health care, as well as other credits, but he doesn't insult the intelligence of the American people by calling them "tax cuts." When Obama's credits go to people who pay no federal income taxes or who pay less than the value of the credit, they are not "tax cuts." They are transfers of money from one pocket to another, or redistributions of wealth, but they are not tax cuts.

Hiking taxes on the so-called rich affects us all. The so called rich face a tax rate of 39.5 percent plus increased Social Security taxes, on top of higher taxes for capital gains and dividends.

President Kennedy said, "The soundest way to raise the revenues in the long run is to cut the (tax) rates now." When Kennedy says it, it's Camelot. When Reagan says it, it's trickledown. By the way, Kennedy cut taxes by 22 percent (reducing the top marginal rate from 90 percent to 70 percent), and Reagan by 60 percent (top marginal rate from 70 percent to 28 percent). The "unfair, pro-rich" Bush tax cuts that are set to expire? A reduction in the top marginal rate of approximately 7.5 percent. A recent headline in Agence France-Presse says it all: "Sweden Announces Income Tax Cuts to Boost Jobs."

On spending, Obama now says — as with taxes — he may defer some of it because of a poor economy. But didn't he consider the spending "investments" that are "fully paid for"? If they are investments that "don't cost" anything, why put them off because of a bad economy? If Obama's been telling the truth, the ideal time to spend and to raise taxes is precisely when things are bad, unless they a) are not paid for and b) are not investments that will "jump-start our economy."

Posted by: Rockgoods | Oct 30, 2008 3:33:53 PM

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