Comments on: Is New York City An Example Of Tax Hikes To Come? http://briansullivan.blogs.foxbusiness.com/2009/03/31/is-new-york-city-an-example-of-tax-hikes-to-come/ FOXBusiness Fri, 20 Nov 2009 18:24:21 -0500 http://wordpress.org/?v=2.8.5.2 hourly 1 By: Brian Sullivan http://briansullivan.blogs.foxbusiness.com/2009/03/31/is-new-york-city-an-example-of-tax-hikes-to-come/comment-page-1/#comment-5143 Brian Sullivan Thu, 02 Apr 2009 12:35:58 +0000 http://briansullivan.blogs.foxbusiness.com/?p=1231#comment-5143 Now you see the problem. Many New Yorkers spend 40% on their housing because they don't have other options. Check out real estate listings and you will see what I mean. Even an hour out of the city you are looking at $600,000 for a small home with high taxes and an hour+ commute into Manhattan. Real estate is ridiculous in this area, though coming down quickly because of the economic problems and Wall Street downturn. "Black car" means a towncar. While it seems fancy, it's not. They are basically a secondary taxi service in NYC. Taxi to Newark airport is about $50 and a towncar is about $65, so many opt to pay a little more for the extra comfort. Most NYC'ers do not own cars, remember. When I lived in Manhattan right after I got married I paid $3,500 a month in rent for a 600 sq ft 1 bedroom apartment plus $400 a month in parking. I quickly ditched the car .. cheaper to periodically rent or take a taxi/towncar. Of course, don't even talk about the $30,000 a year for kindergarten ... that is IF you can get in and around the waiting list. It's why I live in the burbs. Now you see the problem. Many New Yorkers spend 40% on their housing because they don’t have other options. Check out real estate listings and you will see what I mean. Even an hour out of the city you are looking at $600,000 for a small home with high taxes and an hour+ commute into Manhattan. Real estate is ridiculous in this area, though coming down quickly because of the economic problems and Wall Street downturn.

“Black car” means a towncar. While it seems fancy, it’s not. They are basically a secondary taxi service in NYC. Taxi to Newark airport is about $50 and a towncar is about $65, so many opt to pay a little more for the extra comfort. Most NYC’ers do not own cars, remember. When I lived in Manhattan right after I got married I paid $3,500 a month in rent for a 600 sq ft 1 bedroom apartment plus $400 a month in parking. I quickly ditched the car .. cheaper to periodically rent or take a taxi/towncar.

Of course, don’t even talk about the $30,000 a year for kindergarten … that is IF you can get in and around the waiting list. It’s why I live in the burbs.

]]> By: Jonathan Miller http://briansullivan.blogs.foxbusiness.com/2009/03/31/is-new-york-city-an-example-of-tax-hikes-to-come/comment-page-1/#comment-5139 Jonathan Miller Thu, 02 Apr 2009 02:47:02 +0000 http://briansullivan.blogs.foxbusiness.com/?p=1231#comment-5139 I am kind of confused by the article. After reading the comments, does the article only apply to those living in Manhattan? If the average house payment was 9400, wouldn't the owner have to make $40k/month or $480k per year to meet the 25% of income recommendation? I am missing the link between the average income affording that place. Are there no places in the suburbs that are cheaper? I do have to agree with Jon on the alcoholic thing, for the 30-year-old-guy. I used to drink about 2 12packs a week, sometimes 3 and I was an alcoholic. The last thing I would have been worried about was an extra 3 pennies per week. And I know young ambitious 25-20 year olds who make $100k. I call them doctors and lawyers. Not the Applebee cook looking guy. 2 Questions: Does New York not have clean tap water? Does everyone drink bottled water? What is a "black car ride"? Is that referring to a funeral? I am kind of confused by the article. After reading the comments, does the article only apply to those living in Manhattan? If the average house payment was 9400, wouldn’t the owner have to make $40k/month or $480k per year to meet the 25% of income recommendation? I am missing the link between the average income affording that place. Are there no places in the suburbs that are cheaper?
I do have to agree with Jon on the alcoholic thing, for the 30-year-old-guy. I used to drink about 2 12packs a week, sometimes 3 and I was an alcoholic. The last thing I would have been worried about was an extra 3 pennies per week.
And I know young ambitious 25-20 year olds who make $100k. I call them doctors and lawyers. Not the Applebee cook looking guy.
2 Questions:
Does New York not have clean tap water? Does everyone drink bottled water?
What is a “black car ride”? Is that referring to a funeral?

]]> By: Keith http://briansullivan.blogs.foxbusiness.com/2009/03/31/is-new-york-city-an-example-of-tax-hikes-to-come/comment-page-1/#comment-5136 Keith Wed, 01 Apr 2009 20:44:38 +0000 http://briansullivan.blogs.foxbusiness.com/?p=1231#comment-5136 Most strong ompanies have regular assessments on internal spending and process improvement. Do we hear about these things in governnent? Would it be worth every state government hiring a 100K/yr employee just to focus on identifying these needs? We look at companies with $100B in revenues and $110B in costs - they're going to focus on cutting costs, not increasing prices! What should make our governments any different? Heck, with as long as our governments have been growing, I can't really imagine the possible gains that could be seen by such efforts. Most strong ompanies have regular assessments on internal spending and process improvement. Do we hear about these things in governnent? Would it be worth every state government hiring a 100K/yr employee just to focus on identifying these needs? We look at companies with $100B in revenues and $110B in costs – they’re going to focus on cutting costs, not increasing prices! What should make our governments any different? Heck, with as long as our governments have been growing, I can’t really imagine the possible gains that could be seen by such efforts.

]]> By: Nacho http://briansullivan.blogs.foxbusiness.com/2009/03/31/is-new-york-city-an-example-of-tax-hikes-to-come/comment-page-1/#comment-5135 Nacho Wed, 01 Apr 2009 19:20:35 +0000 http://briansullivan.blogs.foxbusiness.com/?p=1231#comment-5135 Well Brian addressed much of what I just posted. And I should say, I'll give you the guy making 110K probably doesn't drink Budweiser. Hey Brian, how about all the tax changes in CA. From what I've read it seem that they will be even worse than those seen in NY. Well Brian addressed much of what I just posted.

And I should say, I’ll give you the guy making 110K probably doesn’t drink Budweiser.

Hey Brian, how about all the tax changes in CA. From what I’ve read it seem that they will be even worse than those seen in NY.

]]> By: Nacho http://briansullivan.blogs.foxbusiness.com/2009/03/31/is-new-york-city-an-example-of-tax-hikes-to-come/comment-page-1/#comment-5134 Nacho Wed, 01 Apr 2009 19:09:28 +0000 http://briansullivan.blogs.foxbusiness.com/?p=1231#comment-5134 Jon, the median house hold income in new york was $53K in 2007. For a married family with kids, 95K sounds about right. 72 bottles of wine is ~.2 per day, or .1 bottles per person per day. That's 75mL of wine a day, or about 3 ounces, which is just over a half a glass per day per person. Yeah, that's an alcoholic. If you drink alcohol at all, you likely double that. Then you get into some semantics. What exactly "well-off" means is up for an individual's interpretation. I wouldn't really call double the national average all that well-off, particularly not in a place like NYC where mean house prices are in the 800K range. So our family making DOUBLE the national average doesn't even pull in the mortgage payment for the average house (after taxes it would be a draw). I'd say the first requirement for being "well-off" is owning at least a roughly average house for a particular area. Now the family making double the national average in Nebraska, he might be well off. Which exposes a problem with our tax code. 65K is way different in NY or CA vs. the Midwest, but our national taxes treat each person equally. In CA 65K a year leaves you renting a nice 2bd apartment, in AZ you can buy a 2,000 sq. ft. home with a pool. And I have several friends in the 25-30 age group making roughly 100K/year... Its pretty realistic for the young ambitious crowd. I'm kind of left wondering if you were being sarcastic. I hope so, and in that case the joke is one me, but I doubt it. Jon, the median house hold income in new york was $53K in 2007. For a married family with kids, 95K sounds about right. 72 bottles of wine is ~.2 per day, or .1 bottles per person per day. That’s 75mL of wine a day, or about 3 ounces, which is just over a half a glass per day per person. Yeah, that’s an alcoholic. If you drink alcohol at all, you likely double that.

Then you get into some semantics. What exactly “well-off” means is up for an individual’s interpretation. I wouldn’t really call double the national average all that well-off, particularly not in a place like NYC where mean house prices are in the 800K range. So our family making DOUBLE the national average doesn’t even pull in the mortgage payment for the average house (after taxes it would be a draw). I’d say the first requirement for being “well-off” is owning at least a roughly average house for a particular area. Now the family making double the national average in Nebraska, he might be well off. Which exposes a problem with our tax code. 65K is way different in NY or CA vs. the Midwest, but our national taxes treat each person equally. In CA 65K a year leaves you renting a nice 2bd apartment, in AZ you can buy a 2,000 sq. ft. home with a pool.

And I have several friends in the 25-30 age group making roughly 100K/year… Its pretty realistic for the young ambitious crowd.

I’m kind of left wondering if you were being sarcastic. I hope so, and in that case the joke is one me, but I doubt it.

]]> By: Brian Sullivan http://briansullivan.blogs.foxbusiness.com/2009/03/31/is-new-york-city-an-example-of-tax-hikes-to-come/comment-page-1/#comment-5133 Brian Sullivan Wed, 01 Apr 2009 18:35:06 +0000 http://briansullivan.blogs.foxbusiness.com/?p=1231#comment-5133 Jon - Thanks for writing in. Not sure if you live in these parts, but those numbers are not way off for this area (sadly). The median income in Manhattan is actually $100,000 per year. Even with the decline in real estate the prices are sky high .. check out this random listing I found and what you have to pay for a small (1,200 sq ft) apartment in NYC is: http://corcoran.com/property/listing.aspx?Region=NYC&ListingID=1524270 You also have nearly $2,000 month in taxes and maintenance on that place. At 20% down, you have a monthly payment of $9,400! Its why I dont live in NYC ... and instead trade it for a 75 minute commute each way. Jon -

Thanks for writing in. Not sure if you live in these parts, but those numbers are not way off for this area (sadly).

The median income in Manhattan is actually $100,000 per year.

Even with the decline in real estate the prices are sky high .. check out this random listing I found and what you have to pay for a small (1,200 sq ft) apartment in NYC is: http://corcoran.com/property/listing.aspx?Region=NYC&ListingID=1524270

You also have nearly $2,000 month in taxes and maintenance on that place. At 20% down, you have a monthly payment of $9,400!

Its why I dont live in NYC … and instead trade it for a 75 minute commute each way.

]]> By: Jon Dean http://briansullivan.blogs.foxbusiness.com/2009/03/31/is-new-york-city-an-example-of-tax-hikes-to-come/comment-page-1/#comment-5131 Jon Dean Wed, 01 Apr 2009 16:17:46 +0000 http://briansullivan.blogs.foxbusiness.com/?p=1231#comment-5131 What is the author smoking? These are horrible examples! "The average Joe" according to the US Census bureau make $48,000/year, not $95,000! And why would he be drinking 72 bottles of wine every year? Is he an alcoholic? The "well-off family" makes $450,000! Wouldnt someone making DOUBLE the national average be considered well off? The "Average Joe" example is well off. THe picture of the single guy making $110,000 looks like a lot of guys I know, and they make around $20,000. It seems the author has lost touch with reality. What is the author smoking? These are horrible examples! “The average Joe” according to the US Census bureau make $48,000/year, not $95,000! And why would he be drinking 72 bottles of wine every year? Is he an alcoholic? The “well-off family” makes $450,000! Wouldnt someone making DOUBLE the national average be considered well off? The “Average Joe” example is well off. THe picture of the single guy making $110,000 looks like a lot of guys I know, and they make around $20,000. It seems the author has lost touch with reality.

]]> By: Cindy http://briansullivan.blogs.foxbusiness.com/2009/03/31/is-new-york-city-an-example-of-tax-hikes-to-come/comment-page-1/#comment-5128 Cindy Wed, 01 Apr 2009 07:48:48 +0000 http://briansullivan.blogs.foxbusiness.com/?p=1231#comment-5128 The last thing we need in this economy is higher taxes. It will only make things worse all around. My daughter works her tail off at a popular restaurant here in Southern Calif. Tonight she told me a couple with a child came in, ordered alcohol, an appetizer and three dinners. While she was processing their bill, they casually walked out without paying. It's happening more and more. Then, this afternoon, someone stole bags of aluminum cans from the side yard of a friend's house. What's my point? People are desperate to the point of stealing. What angers my daughter so much is that she has to pay taxes on that $75 meal those people skipped out on. The govt also taxes her on "assumed" tips even when she gets stiffed. Higher taxes, whether they be on the rich or poor, is not the answer. When will they get it?! The last thing we need in this economy is higher taxes. It will only make things worse all around. My daughter works her tail off at a popular restaurant here in Southern Calif. Tonight she told me a couple with a child came in, ordered alcohol, an appetizer and three dinners. While she was processing their bill, they casually walked out without paying. It’s happening more and more. Then, this afternoon, someone stole bags of aluminum cans from the side yard of a friend’s house. What’s my point? People are desperate to the point of stealing. What angers my daughter so much is that she has to pay taxes on that $75 meal those people skipped out on. The govt also taxes her on “assumed” tips even when she gets stiffed. Higher taxes, whether they be on the rich or poor, is not the answer. When will they get it?!

]]> By: Don Kamp http://briansullivan.blogs.foxbusiness.com/2009/03/31/is-new-york-city-an-example-of-tax-hikes-to-come/comment-page-1/#comment-5127 Don Kamp Wed, 01 Apr 2009 03:56:34 +0000 http://briansullivan.blogs.foxbusiness.com/?p=1231#comment-5127 "The best Repubican is a Democrat who just got his tax bill." --Unknown quote. I got to get out of this state. There are too many spend crazy liberals! Don Kamp Canajoharie, NY “The best Repubican is a Democrat who just got his tax bill.” –Unknown quote.

I got to get out of this state. There are too many spend crazy liberals!

Don Kamp
Canajoharie, NY

]]> By: 6ftrabbit http://briansullivan.blogs.foxbusiness.com/2009/03/31/is-new-york-city-an-example-of-tax-hikes-to-come/comment-page-1/#comment-5126 6ftrabbit Wed, 01 Apr 2009 00:44:28 +0000 http://briansullivan.blogs.foxbusiness.com/?p=1231#comment-5126 You know, when folks think about dictatorship they usually associate the term with some 3rd world military junta that enforces the rules at the point of a gun. What we are faced with is not a Military/Political dictatorship, but rather a "Economic/Political" dictatorship where the rules are enforced via taxes, credit scores, salaries, etc.. It is extraordinarily difficult to fight such a strategy, since it enlists the legislative and legal systems on behalf of the gov't; and therefore opposition to it is automatically subject to prosecution (and persecution) without adequate countermeasures. You know, when folks think about dictatorship they usually associate the term with some 3rd world military junta that enforces the rules at the point of a gun. What we are faced with is not a Military/Political dictatorship, but rather a “Economic/Political” dictatorship where the rules are enforced via taxes, credit scores, salaries, etc.. It is extraordinarily difficult to fight such a strategy, since it enlists the legislative and legal systems on behalf of the gov’t; and therefore opposition to it is automatically subject to prosecution (and persecution) without adequate countermeasures.

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