$75 Billion for 7.5 million homeowners.....

Perhaps it is time for a little lesson in realistic math....

President Obama just tagged ANOTHER $75 Billion of our money to help troubled homeowners get mortgage help. Digging beyond the headline, what do those numbers really mean?

First, the money is going to be used to, essentially, reimburse banks for refinancing people who are current on their mortgages but who are in danger of falling behind. Sounds like a really good idea. However, $75 Billion divided by 7.5 million homeowners is $10,000....take that $10K and divide it by 360 (the number of monthly payments in a 30 yr fixed mortgage) and you get a monthly reduction in mortgage payment of $27.

So, do we REALLY think that $27 is going to save anyone's mortgage??? Give me a break!

How about this idea: Let's say the average family earns $60,000 per year. If taxable income ends up being $40,000 ($20K in deductions) the tax owed for the year is $5,201. What if, we implement my idea, and cut the personal (and corp) income tax rate by 50%? That would put $2600 into people's budget every year, or per month, $216.

What if you are a family making $100K with $30K in deductions (again a high estimate of deductions). Your $70K in taxable income carries a tax liability of $10,194. If we cut the rate in half, that family would get an extra $5,097 per year or $424 per MONTH injected into the family budget.

In both cases, that is REAL buying and investing power for tens of millions of families across this country. You want to save mortgages Mr. President, then let's do the RIGHT thing. Lower taxes, drastically shrink the size of government (on the campaign trail, YOU DID tell us you were NOT going to sign any bill with pork and you WERE going to go through the budget and government with a fine tooth comb).

You've already gone back on campaign promises Mr. President. We ARE watching........