Chicago Fed Thinks It Knows How To Tax Illinoisans Fleeing Pension Liabilities (Springfield: school, university)

[Liledgy]

Originally Posted by Bitey

Illinoisans particularly in the Chicago area are mostly fleeing punitive property taxes and the corrosive effect they have on home values, so naturally the solution is to... raise property taxes!

I say go for it. There doesn't seem to be any stopping the feedback loop now, so we might as well accelerate it and face the day of reckoning sooner rather than later. We should also change the bankruptcy laws to allow states to declare bankruptcy. That way the taxpayers have a relief valve to stop the public-sector unions from bleeding every possible drop from them.

Indiana is “right to work”, public pensions are 100% paid by the state. Indiana pays 5.5% of there wage into a defined benefit plan plus 6.2% into social security. Illinois teachers contribute 9.4%, state of Illinois kicks in 8.3% (supposed to to make it solvent), state does NOT CONTRIBUTE to social security. Now how can the Illinois public sector unions get Indiana’s deal?

[dtcbnd03]

All pensions fail in time. Saying one state has a better deal than another is like saying one ponzi scheme is better than another. Here's a great breakdown from Bloomberg of the funding ratio of all 50 state public pensions:

https://www.bloomberg.com/graphics/2...unding-ratios/

Even with a budget "surplus" Indiana is only 63% funded. Doesn't sound like they have a surplus to me. Here's California governor Jerry Brown talking about a budget "surplus" when pensions are 69.8% funded. I do give him credit cause at least he's fiscally responsible and plans to save the money in reserves but he should be investing that in pensions so they can take advantage of compounding interest now:

http://www.capradio.org/articles/201...dget-proposal/

So again...just a matter of time before all public pensions fail because someone else is controlling your money. 401k is the only answer.

[USDefault]

Mod cut., if you own a home in Illinois, your taxes are going to skyrocket. And go way, way up in a state where the taxes already are very high. The fact this is even being proposed means I would never, ever -- ever -- consider moving to your state.


This is theft by disgusting Illinois politicians and bureaucrats.

[Jacobo1]

this is criminal

[RisingAurvandil]

Reading comprehension is low in this thread.

The Chicago Fed has not proposed anything. Sure, a few employees have proposed their personal vision, but the Fed itself has not proposed anything.

And the OP's link is incorrect. It does not lead to the Fed website.

Originally Posted by USDefault

This is theft by disgusting Illinois politicians and bureaucrats.

This has no relation to Illinois government. The Fed is not a part of Illinois government.

[NewHomer556]

Originally Posted by Jacobo1

this is criminal

All the more reason to leave Illinois before your are stuck with a worthless home you can't sell.

[bobsell]

Originally Posted by NewHomer556

All the more reason to leave Illinois before your are stuck with a worthless home you can't sell.

Or the home is seized for nonpayment of the hyperinflating tax bill.

During the Great Depression of the 1930's tons of houses were seized after the property taxes were raised through the roof.

[NewHomer556]

Originally Posted by bobsell

Or the home is seized for nonpayment of the hyperinflating tax bill.

During the Great Depression of the 1930's tons of houses were seized after the property taxes were raised through the roof.

Harvey is already doing that and the kicker here is nobody wants to buy those homes. Its kind of difficult for a city to raise property taxes on buildings it owns.
Harvey is the crystal ball for the future of Illinois. It will be Interesting to see how it looks 3 years from now.

[MongooseHugger]

Originally Posted by MSchemist80

How about we have a peasants' revolt instead against the feudal Democrat and Union lords.

I'm for that. Levy a statewide civilian boycott of the city of Chicago until the crooks are thrown out. Things have fallen to the point where something DRASTIC needs to be done.

[Liledgy]

Originally Posted by MSchemist80

How about we have a peasants' revolt instead against the feudal Democrat and Union lords.

If the unions are so strong, why can’t that get the deal that “right to work indiana” gives its state employees? They don’t even contribute to their pension, plus the state contributes to social security. Maybe it’s not a union thing!