Tax Law and Accounting Every person, organization, company, or non-profit is subject to the income tax. Income tax refers to those taxes imposed on any money earned during a calendar year. The government taxes our income so it can have enough money to pay for the things we all need. In order to comply with tax laws and regulations, a good understanding of the Federal tax law, its sources and purposes, and the relation with the accounting profession must be achieved. Congress and the President of the United States are responsible for writing and approving the tax laws.
Clinton signed into law Personal Responsibility and Work Opportunity Reconciliation Act, changing the focus of welfare in America to getting Americans working and decreasing the dependency on the system Federal Social Welfare policy is a federal program that provides income benefits to retired and disabled workers and their dependents and the dependents of deceased workers. The purpose of social welfare was to aid families financially. The basic structure of the U.S. social welfare was established in 1935 with the Social Security Act, which has been amended over time. The Social Security Act of 1935 created a major federal role in the U.S. welfare policy, which was primarily handled by state and local government. While AFDC was principally a federal program managed by the Department of Health and Human Services, it was administered through state-run welfare offices.
Congress passed other organizations such as the Federal Deposit Insurance Corporation in 1933 to guarantee Americans that their money would be safe, and the Federal Securities Act and the Securities and Exchange Commission in 1933 as well to confirm the security of people’s stocks. Roosevelt also enacted the Social Security system in 1935 to offer monthly payments to those who were not able to provide for themselves. (document E) Social Security had three types of eligibility: old-age pensions and survivors, where you had to be at least sixty-five years of age, unemployment insurance where workers who had lost their jobs were compensated, and then aid for the dependent children, the blind, and the disabled where you would receive grants from the government. This system proved itself to be very beneficial because it helped those who physically could not work to support themselves. Roosevelt’s next gesture toward recovery was to reinforce the relief ... ... middle of paper ... ... New Deal.
Among those issues is the issue of Social Security. In more ways than we commonly realize, the current Social Security system is a harmful system that is not consistent with the customs and traditions of the American republic. In 1932, Franklin D. Roosevelt replaced Herbert Hoover for President of the United States. Roosevelt assumed the highest office in the land during a time when the American people were in dire need of leadership. The United States was in the midst of the Great Depression and flamboyant political leaders like Huey P. Long were trying to transform the face of America from a free enterprise republic to a kind of communist regime.
At times of war, he is our backbone and the support we need. Congress has been putting the president on the spot about spending money for drop-in supplies to Afghanistan, which will affect the entire United States by causing us to spend more money and at the same time, hurting our economy. Recently, President Bush has been working since September 11 to find a solution to cut the spending of Congress, but at the same time, provide military assistance to Afghanistan. Bush believes that he may have opened up doors to profligate government spending and thinks he is too late to close them. On Wednesday morning, several presidential advisers met and decided that it was necessary to pursue and improve the stimulus package, the supplies being parachuted for the citizens of Afghanistan.
The US government has spent a total of “619 billion” on welfare in “Fiscal Year 2012” (US Government Spending). These outstanding numbers makes me believe welfare needs to be reformed. One way of reforming welfare would be restricting alcohol, tobacco products, strippers, gambling, and body piercing through photo ID. For those who are unemployed, implementing mandatory job training or offer them jobs that need workers. Welfare has been created and changed “over a 50 year period,” “result[ing] [in] a complex system” that has many problems; undoubtedly, could be resolved from the revocation of all previously written welfare legislation and the creation of one well written law that covers every factor of welfare (Federal Safety Net).
Survivor’s benefits provided a monthly payment starting in 1940, when these benefits were added as part of the Social Security Act. The new LSDB were created to help families when regular survivor’s benefits were not payable. The new LSDB also stated that if no family members were still alive the benefits could also be paid to anyone who assists with funeral and burial costs. At this time, LSDB were 6x the persons primary insurance amount, which is the monthly benefit amount for the worker at full retirement age. Under this 6x rule, the minimum payment ever made was $63.75 and the maximum payment made was $273.60 (DeWitt, 2006).
The President would propose a new initiative and the Committee would adjust the budget accordingly. Due to increased spending and a growing national deficit, the government created the Bureau of the Budget (known today as OMB) and the General Accounting Off... ... middle of paper ... ...ver, the document defends this decision, “the top-down approach is suggested to help focus the agency’s resources on the items most material and most at risk to the agency’s financial reporting” (OMB, 2013). The document concludes by providing instructions and suggestions on how to use top-down methodology to complete the budgeting process. The government has used top-down budgeting for many years. This methodology ensures projects and departments are funded and approved by stakeholders.
Medicare is a national social insurance program, run by the U.S. federal government since 1966 that promises health insurance for Americans aged 65 and older and younger people with disabilities. Being the nation’s single largest health insurance program, covering a large population for a wide range of health services, Medicare's funding is a fundamental part of it sustainability. Medicare is comprised of several different parts, serving different purposes, some of which require separate funding. In general, people at the age of 65 and older who have been legal residents of the United States for at least 5 years are eligible for Medicare. Same is true with people that have disabilities under 65, if they receive Social Security Disability Insurance benefits.
Social Security is a federally administered social insurance program. The program was created in 1935; it was designed to mitigate the financial damage caused by the Great Depression. Social Security provides monthly cash stipends to the disabled and the elderly. As of December 2013, 58 million people were receiving Social Security payments (Social). Social Security is financially unsustainable because there is a significant difference in the number of retired and the number of workers paying into the system.