Obama’s ‘Middle-Class Economics’

He proposes to tax savings plans that parents create for their children’s college education.

The million-dollar phrase used by President Obama in his State of the Union address last week was “middle-class economics.” What he didn’t explain is that his middle-class economics doesn’t actually help the middle class. It hurts them.

The latest war on the middle class comes with the taxing of 529 college savings plans — which currently grow tax-free. They are very popular among middle-class families who are trying to responsibly save for their children’s college tuition.

The White House has proposed taxing these plans as a way to “simplify the tax code.” How nice of our president to tax families responsibly saving, a move that would inevitably take away opportunities for their children. I guess that’s the definition of Obama’s middle-class economics. He did say that “an America built to last insists on responsibility from everybody.”

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