It costs $270,463 Million (aka $270 Billion) required annually to fund Canada's programs

Annual report for Canada reports that between income taxes, other taxes, EI premiums and other income, our revenue / inflows were $237,091 Million.

In spite of that income, there's a shortfall in income of $33,372 Million for 2011, year ended March 31, 2011.  The money had to come from somewhere.  Canada had to borrow because of that shortfall, our deficit grew by the same amount, $33,372 Million, during the period from April 1, 2010 to March 31, 2011.

See Table 4 which shows the major categories of expenses for Canada, what makes up the $270,463 Million we spent? Transfers to seniors for OAS and GIS, EI payments, children, funding for health and social programs, fiscal arrangements (not sure what this is...) cities, crown corporations, national defence, and the cost of borrowing.

We have an accumulated deficit at the end of March, 2011. What we've borrowed net of assets we hold of $550,327 Billion.  The carrying cost on this debt is around $30 Million per year.  That's about 5.8% of total debt.

The population of Canada in 2011 is approximately 33 Million.  That means our deficit grew by $1,011 for every person in Canada. 

Makes me wonder, if...
... we all paid our taxes and added a thousand dollars, would the deficit actually disappear or would our politicians find a way to spend more than we make?

... everyone who was supposed to pay taxes actually did pay their taxes?

Just for fun, let's do some math. Let's say that there was a segment of the population who paid tax on $30,000 and didn't report an additional, let's estimate, $20,000 of income and pay tax on that extra income. Let's say there's 15% of Canadians, or 5 Million who didn't pay $5,000 (the rate would be effectively 25% on the extra income not reported at Federal plus BC tax rates) 

How many people do you know who only report $30,000 a year?  I've met a few over the years. In fact, in 2008, the national average reported income was less than that...http://www.statcan.gc.ca/daily-quotidien/100617/dq100617c-eng.htm

Just sayin'...it costs me way more than that just to live a frugal life, well, maybe I eat out once in a while, but only breakfast, or a burger, never an alcoholic drink, and camping holidays, makes ya wonder...this year the campgrounds filled with fifth wheels, hardly any tents.

Would people who only reported $30,000 have any savings in their RRSP?
How on earth did they manage to save at that income level?
Does any of this add up?
Mortgage or rent $1,500 x 12 = $18,000 / year
Utilities $4,000 / year
Cell phone $1,000 / year
Vehicle costs $8,000 / year (gas $1,400, insurance $1,400, repairs,$1,500 loan payments $3,700)
Groceries $125/week, $6,000 / year per person
I'm already up to $37,000... and this doesn't include education, clothes, cosmetics, entertainment, fitness, arts or medical expenses.

It's no wonder the seniors in my community are out every Monday morning collecting everything they can out of the recycling boxes. Between the two of them, they probably bring in OAS, CPP and GIS, for a total of about $30,000 combined.

It's also no wonder that anyone who is widowed and knows that their widower's GIS will be cut off if they live with someone, or remarry, after one year would want to lie about their living arrangements.

Imagine living on Persons with Disability allowance, in BC, about $10,000 per year.  Choose between food or shelter. Shop at the Thrift Store, and see how you make out.  Oh yes, and someone watches your bank account like a hawk.  The minute you go over their threshold, your benefits are cut off until you get rid of your savings. We're really good at marginalizing those who can't help themselves. Hasn't changed much since we were kids in the playground it seems...

The additional cost to provide a similar GIS for Persons with a Disability, 800,000 persons with a disability (this is about how many are qualified for the DTC in Canada) x $5,000 = $4,000 Million, about 1.5% of our annual spending.

You could argue, there are already hidden costs, most persons with a disability have their medical costs covered because our Medical Services Plan doesn't require premiums to be paid, and their medical care is covered. You'd be right.  But does that make it OK to not allow them to save, or to have to choose between food and shelter?















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