HatedNation

Social inequality is a large part of the world we live in today. Taking financial circumstances into account, it is easy to see the divide we have in society. Much this countries wealth resides in the hands of such a small percentage of the population. This has mostly occurred due to many generations of wealth being passed down to the next generation.

When wealth is passed own to a child of a wealthy person, that child has  ahead start in achieving wealth. Another reason this may be caused is early saving practices. A wealthy family may be able to start a saving fund at the birth of a child, and therefore the child has accumulated a decent savings by the time they become independent. Without the need to spend every dollar earned the next generation is capable of obtaining more assets, such as a cars or homes. Each asset increases their personal worth.

Much of the lower class needs every dollar earned, what many of us know as “living paycheck to paycheck”. Many times there is only a small portion left for savings if any. In this manner there is typically not much wealth to be passed to the next generation. The children in these families usually have to work for everything much the way the parents did. On the bright side, many children in these circumstances may learn good saving practices with what little they obtain, which can sometimes offset the bad spending practices that become necessity in low income families.

This inequality could be easily offset if the government decided to offset the tax and return system in the country. if the wealthy were required to pay 10% more taxes while the poor were able to receive a 10% bonus to their returns this would begin to equalize over time, and would help offset the wealth passed among generations. Many believe a flat tax would benefit society as well. Having the entire country pay a flat rate percentage would mean that the same percentage would come from every dollar earned. In that scenario the wealthy would pay more only because they had more.