The Cost of Living Makes Our Case for a Middle Class Tax Cut
Over the last several years, the cost of living for most Wisconsinites has increased at unsustainable rates. Every family is managing increasing grocery bills, higher energy costs and more. Wisconsinites need relief from inflation. This is why the State Legislature continues to pass Middle Class Tax Cuts. We want to return your $4 billion surplus to you.
The State Senate will soon be voting on another Middle Class Tax Cut. This $2.9 billion tax cut will provide $772 in tax relief for the average filer. It also creates a tax-free retirement for older Wisconsinites by exempting $100,000 of retirement income for single filers and $150,000 for married-joint filers from being taxed!
You deserve a tax cut. Your costs of living have increased exponentially due to the flood of COVID relief funds that have saturated our economy. Inflation is crushing our checkbooks. The cause: rampant spending at both the Federal and State levels of our government. It needs to stop.
Even when it does stop, your family will still be managing the effects of inflation. Have you noticed the tremendous jump in prices at the grocery store? Are you paying more for the goods and services you use every day? If you own a business, have you increased your prices to manage your increases in costs?
In just four years, families have experienced an increase of more than 23% for groceries. In 2019, an average family of four spent $245.90 per week, or $1,065.30 per month, for groceries. That cost has now inflated to $302.80 per week, or $1,311.50 per month, according to the United States Department of Agriculture (USDA). For more information on the cost of groceries, visit this link: https://www.fns.usda.gov/cnpp/usda-food-plans-cost-food-monthly-reports. Gasoline has also seen dramatic price fluctuations since January 2019. The Midwest cost for a gallon of gas in 2019 was $2.09, whereas the August 2023 gallon of gas costs $3.67, according to BLS Beta Labs. For more information, visit this link: https://beta.bls.gov/dataViewer/view/timeseries/APUN2007471A;jsessionid=4690B796E827A3DA5AC8C76DE75A0AFB. The cost of heating and supplying energy to our homes has skyrocketed. The average retail price of electricty per KWH rose from $0.1047 in January 2019 to $0.1315 in July 2023 – a 26% increase. Additionally, the cost per thousand cubic feet for residential natural gas has risen from $7.28 in January 2019 to $12.76 in January 2023 – a 75% increase! For more information, visit this link: https://www.eia.gov/dnav/ng/hist/n3010wi3m.htm The Governor vetoed the Middle Class Tax Cut we included in the most recent state budget. He told us that he didn’t want the uppermost bracket to receive a tax cut.
In response, the current Middle Class Tax Cut does not include the top bracket. We are focusing our tax relief on everyone in the third tax bracket and retirees: the middle class. This includes most taxpayers in the state. The third bracket income ranges are $36,840 to $405,550 for married joint filers or $27,630 to $304,170 for single filers.
Now, I know that the top end of this bracket looks very high. However, there are many small business owners who fall into this category and they are the economic engines of our communities. Besides, if we are trying to reach the Middle Class, the third tax bracket is where most of you fit. I want to cut your taxes!
When we cut taxes, I often hear people say that the tax cut isn’t much. They say, “it’s only $100.” But, it is important to note that when we cut taxes, it is for that year and each year ongoing. So, this year, it is $772. Next year it is an additional $772 and $772 each year ongoing. When we cut a tax, it stays cut until it is restored. Our middle class tax cut will keep your money in your pocket.
Providing a tax-free retirement and tax relief to our the middle-class is the best way to provide relief from all of the increases in the costs of living that you are managing every day. It is time for a Middle Class Tax Cut.
As always, please do not hesitate to connect with me to provide input, ideas or to seek assistance. Send an email to sen.marklein@legis.wisconsin.gov or call 608-266-0703. I want to hear from you.
Last Call for 2023-2024 Blue Books and Updated Highway Maps
Blue Book and Highway Map delivery has begun! Senator Howard Marklein and his staff will be working to deliver Blue Books to all who have requested a copy.
Blue Books are a useful summary of information about our state including information on the Legislature, the organization of state government, and fun statistics on Wisconsin. These books are printed every session and are complimentary for every resident of Wisconsin.
Highway maps provide new ways to travel the state, information on our state park system, and other locations for your traveling needs. If you would like one delivered or shipped to you (at no charge), please click the button below and fill out the online form.
Sen. Howard Marklein joined Rep. Nancy VanderMeer (R-Tomah) and Congressman Tom Tiffany (WI-7) to present a legislative citation to Neva, Brian, Martin and Lisa Potter for the 100th Anniversary of Cutler Cranberries on Sunday, October 1, 2023. Cutler Cranberry Company represents five generations of farming fresh cranberries in Wisconsin and has been a part of the Ocean Spray Cranberry Cooperative since 1930.
Sen. Howard Marklein spoke at the Northern Grain Belt Ports Annual Meeting in La Crosse on Thursday, October 4, 2023. At this meeting, Sen. Marklein and other attendees celebrated the new opportunity for shipping on the Mississippi with the new Northern Grain Belt Ports area distinction.
Sen. Howard Marklein met with Andy Buttles of Lancaster about his Executive Appointment as a Farmer Representative on the Land and Water Conservation Board on Wednesday, October 4, 2023. He would serve for the term ending May 1, 2027.
Back to School: Per Household Spending
The graph demonstrates the US average cost for grade school supplies for a typical family. The data includes the cost of clothing, shoes, school supplies and electronics or related equipment. It has increased from $696.70 in 2019 to $890.07 in 2023.
