Roy said she would like to go back to work but the tax system makes it difficult for her, and other widows, because any additional earnings would put them in a higher tax bracket.
What a bunch of bullshit. If all she's living on is the survivor's benefit, she gets 30,000 a year. The next tax bracket doesn't kick in until 41,000, so she could earn 11,000 at the same rate as she's paying now. Let's say she gets a job at 24,000 a year. That means she has to pay 22% instead of 15% on the 13,000 above the cutoff. So she has to pay $910 more than if it was all taxed at the same rate. She still gets to keep most of the money she ears. There is no way it doesn't pay for her to work, she just wants more money in her pocket without working, and is using a bullshit excuse to try to get it.
As to whether the benefits should be taxed, that's another questions. Widow's pension benefits are taxed, I would guess most govt benefits are taxed, so if they cut out the tax for her they'd have to cut it out for a lot of people.
Still, those benefits are pretty generous, I cant see much support for making them tax free.
What a bunch of bullshit. If all she's living on is the survivor's benefit, she gets 30,000 a year. The next tax bracket doesn't kick in until 41,000, so she could earn 11,000 at the same rate as she's paying now. Let's say she gets a job at 24,000 a year. That means she has to pay 22% instead of 15% on the 13,000 above the cutoff. So she has to pay $910 more than if it was all taxed at the same rate. She still gets to keep most of the money she ears. There is no way it doesn't pay for her to work, she just wants more money in her pocket without working, and is using a bullshit excuse to try to get it.
As to whether the benefits should be taxed, that's another questions. Widow's pension benefits are taxed, I would guess most govt benefits are taxed, so if they cut out the tax for her they'd have to cut it out for a lot of people.