Valuetainment - “You’re Killing Generational Wealth” - High Tax States PUSH Families & Businesses OUT

00:00:00.040 Okay, when I sell my business, I want the best tax and investment advice.

00:00:04.800 I want to help my kids, and I want to give back to the community.

00:00:07.940 Ooh, then it's the vacation of a lifetime.

00:00:12.200 I wonder if my out-of-office has a forever setting.

00:00:15.740 An IG Private Wealth Advisor creates the clarity you need

00:00:19.060 with plans that harmonize your business, your family, and your dreams.

00:00:23.480 Get financial advice that puts you at the center.

00:00:26.440 Find your advisor at igprivatewealth.com.

00:00:30.000 Now streaming on Paramount+.

00:00:32.680 My center, my soul is gone.

00:00:35.920 From Academy Award nominee Taylor Sheridan.

00:00:39.820 Mine is not a family designed to withstand tragedy.

00:00:43.580 Starring Academy Award nominee Michelle Pfeiffer and Golden Globe nominee Kurt Russell.

00:00:49.540 The worry is what you do next.

00:00:52.020 You will have as much life to live as you allow yourself.

00:00:55.240 The Madison.

00:00:56.560 New series now streaming only on Paramount+.

00:01:00.400 Tax the rich or kill income taxes.

00:01:02.260 States are divided on what to do.

00:01:04.660 This is a barren story a couple days ago, and it's not, I mean, it's truly what's going on right now.

00:01:09.360 Some states just want to tax the crap out of you, and some states are saying, like DeSantis,

00:01:14.040 who was on Hannity yesterday, and Hannity asked him, are you going to be running in 2020?

00:01:17.200 He says, I don't know.

00:01:18.300 He says, of course you have to run.

00:01:19.720 It's just get a better marketing campaign.

00:01:22.000 But, you know, for him, he wants to get rid of property taxes.

00:01:27.100 So here's a story.

00:01:28.500 Let me read it to you.

00:01:29.320 Page 21. Oh, I'm sorry. It says page 21, but it's not on page or page 10.

00:01:34.220 So page 10 tax the rich or kill income taxes. Let's go to this.

00:01:39.360 While you're pulling it up, Pat, you know, we talk a lot about housing affordability, the price of the home, as well as interest rates.

00:01:46.360 Right. But a huge chunk of that is the enormous rise we've seen in insurance costs and property taxes.

00:01:52.140 And that's part of the affordability problem that no one talks about.

00:01:56.060 It's true. It is very true. So let me read this to you.

00:01:58.080 U.S. states are heading in a different direction on tax policy reflecting diverging views of wealth and economic growth.

00:02:03.800 California has grabbed headlines with a proposed ballot initiative for a one-time 5% tax net worth on billionaires.

00:02:11.820 On March 11, Washington State passed a millionaire tax on personal income above a million and expanded a tax credit for low-income families.

00:02:18.680 Maine, Connecticut, and Rhode Island are among several other states where a proposal exists to boost tax on the wealthiest residents.

00:02:24.280 New York City, Mamdani has also steered debate with a proposed two percentage point increase in the city's income taxes for those that make over a million dollars.

00:02:33.620 At the same time, South Carolina, Georgia, Missouri are seeking to cut personal income tax.

00:02:38.660 A year after Oklahoma and Mississippi created a plan to eliminate personal income tax altogether to spur economic growth and attract businesses to their states,

00:02:45.980 that some states governed largely by Republicans

00:02:48.860 are cutting taxes to spur growth

00:02:50.680 while those governed largely by Democrats

00:02:52.800 are raising them to pay public services

00:02:54.560 is a century-old trend Matt Gardner,

00:02:57.120 senior fellow at Nonpartisan Institute

00:02:59.220 on Taxation Economic Policy, said.

00:03:01.420 Barry, thoughts on this?

00:03:02.840 What works throughout history?

00:03:05.040 Overtax, I mean, it just doesn't work

00:03:08.200 because you're going to lose,

00:03:09.900 and you're already losing

00:03:10.840 some of the more desirable individuals you have there.

00:03:13.660 Sure, some level of taxation may be appropriate, but if you overtax, you're going to wind up on the losing end of this.

00:03:21.780 There's only so much of this that you can do, and it's easy to stay in power, and it's easy to vote for it

00:03:26.680 because the majority of people are going to vote and say, oh, that doesn't affect me.

00:03:29.980 I don't make that much money or this and that, so it's easy to vote for it, but the effects that they don't realize,

00:03:35.560 Again, it is an age-old problem, and it's an age-old debate, but the reason why you have to have a balance is because if you do too much taxation, you will wind up increasing the burden and reducing the quality of life to those who are left behind.

00:03:52.500 Tom, you know, what's really interesting, I love state budgets as a topic to discuss, because in the United States, a state budget, there's a sense of truth to it, because states can't run deficits.

00:04:08.180 At the end of the year, they've got to sell bonds.

00:04:11.360 They've got to do something.

00:04:12.220 They've got to balance it.

00:04:13.100 They've got to find the money somewhere.

00:04:14.440 If they've had a natural disaster, a hurricane in Florida, earthquake in California, you can get federal relief dollars.

00:04:19.900 But at the end of the day, you've got to balance the budget.

00:04:22.500 So if you promise this and you do this, now you have to tax.

00:04:27.880 And if you tax, you get the outcome.

00:04:31.560 People don't understand it.

00:04:32.840 If you talk to the average person, most people are in favor of very reasonable taxes

00:04:39.800 because they like shiny fire trucks that are in good condition, firemen, police,

00:04:45.200 streetlights at work, streets without potholes, and sewage systems that actually flow.

00:04:50.700 Americans are all very in favor of this.

00:04:53.180 You know, it takes taxes to do those, to do those basic things and a public park for people to walk their dogs.

00:04:58.360 They understand.

00:04:59.420 But the rest of it is when it comes down to you decide to win the vote, you're going to promise free.

00:05:07.680 And then the other guy's got to pay for it.

00:05:09.980 And then the other guy leaves because guess what?

00:05:12.860 You have to balance the state budget.

00:05:14.620 So now you've got to go get bonds and you can't get them.

00:05:16.920 Do you think Maine, Connecticut, Rhode Island want to raise the taxes coming up in election year?

00:05:22.160 No, they don't.

00:05:23.220 They know they're about to get a cold bucket of water in the face.

00:05:26.260 They know what's going to happen, but they got no choice.

00:05:29.220 And they have to go with the tax the rich, and that has to be the angle that they're pushing.

00:05:36.180 So guess what?

00:05:38.180 Every action has a consequence and a reaction.

00:05:42.420 And right now you're seeing states raise taxes and lose citizens that are moving.

00:05:50.720 I have so much respect for these founding fathers.

00:05:53.460 If only federal government worked. 0.98

00:05:54.420 That created it the way they did.

00:05:56.320 They have options.

00:05:57.860 If you're sitting in a state that's destroying you with taxes, you have 49 other options.

00:06:01.940 Where do you want to go?

00:06:02.660 Pick and choose.

00:06:03.660 Pat, this brings up a much bigger issue.

00:06:05.440 that we know that within six years you're going to have a mandatory 23% cut in Social Security

00:06:13.240 benefits. That's just mandatory unless something changes. But if you've looked, and there's charts,

00:06:18.420 I don't know if you could find it, Rob, where you have inflows and outflows of government money.

00:06:23.020 So the inflows are approximately $5 trillion. The outflows are approximately $7 trillion.

00:06:28.420 You probably know more precise numbers, but that's a round ballpark number. And if you say,

00:06:32.880 okay, so how do I balance the budget? What can I do? If you look at the areas that you could cut,

00:06:38.160 you have to pay interest on the debt, which is pretty much as big as Social Security is.

00:06:42.560 Now, do you touch Social Security? That's a third rail. Do you touch the health care portion? So

00:06:48.540 it becomes very difficult. And the portions that are remaining out there, there's really not that

00:06:54.820 much where you could cut. This is the sad state of affairs that we are in. It's easy to talk about

00:06:59.980 it but um it's a very very difficult way to balance it i think that social security we have

00:07:05.380 to think about something like this you got it rob perfect you could see health care interest on the

00:07:10.600 debt social security this may be an old chart from 2024 interest on the debt has gone up clearly

00:07:15.840 since then it will be a trillion this year and it'll be above defense spending for the first

00:07:19.480 time ever that's right and those two will be 25 of the total budget that's right interest

00:07:23.720 it's weird how they snapped on musk when he started going after the fraud because i mean

00:07:26.680 there is some fraud to be found here that could narrow it down,

00:07:28.960 but it sounds like he got really scared when he was poking around with the

00:07:31.900 social security fraud.

00:07:33.020 Yeah.

00:07:33.500 Now,

00:07:33.780 one of the things you can do,

00:07:35.380 there's a calculator that you can go on where you could kind of try and

00:07:38.500 balance the,

00:07:39.260 or extend social security.

00:07:40.540 The biggest one that we have to consider is extending the age of where,

00:07:45.320 where you start getting benefits.

00:07:46.780 I mean,

00:07:46.960 you can't shock the system,

00:07:48.400 but you have to phase into that,

00:07:50.580 right?

00:07:50.780 Because otherwise we're,

00:07:52.400 we're definitely heading down a bad path here and people just have to,

00:07:56.120 suck it up and say okay you know the only way the system works is if we delay some of those

00:08:01.320 benefits a little bit longer people are living longer you talked about the age of uh new yorkers 0.93

00:08:06.820 yeah 58.8 yeah you know some of that is just because people are living longer and also there's

00:08:12.360 another story pat that you see median age of a first-time home buyer there's some discrepancies

00:08:16.460 there the media picked up on the 40 years old that's one survey and and that's there's problems

00:08:21.820 with that one is a 120 question survey a lot of young people aren't going to do that low response

00:08:25.780 rate and it also will count you as a first-time home buyer if you owned a home rented and then

00:08:30.620 owned a home again so that's skewed it's probably closer to 34 35 but that's a little above the

00:08:35.560 historical average so we have to address in realistic terms these issues the time and i

00:08:41.480 were saying the same thing some level of taxation is appropriate but you can't just spend crazy

00:08:49.060 Recklessly.

00:08:50.740 It's the family and friends event at Shoppers Drug Mart.

00:08:54.160 Get 20% off almost all regular priced merchandise.

00:08:57.240 Two days only.

00:08:58.400 Tuesday, March 31st and Wednesday, April 1st.

00:09:01.460 Open your PC Optimum app to get your coupon.

00:09:07.460 Recklessly.

00:09:08.140 It's a very weird thing they're doing.

00:09:09.880 By the way, here's all it is.

00:09:12.060 Increasing taxes, if you're for it,

00:09:14.520 you think the government can do a better job than free market and people.

00:09:19.280 That's all it is.

00:09:20.520 You think money going to them, they're better with that money than free market.

00:09:26.760 Brent, I'll give you final thoughts here.

00:09:28.740 Yeah, I mean, it's pretty straightforward with the impact of state income taxes

00:09:33.340 like Connecticut, New York, Massachusetts.

00:09:35.320 They used to be great places, but when you put state income taxes in,

00:09:38.120 it decimates the incentive to own a business.

00:09:40.420 And that money doesn't even go towards productive things.

00:09:42.880 Like, look at California. I think they get, like, $250 billion a year in state income taxes.

00:09:48.020 And somehow they're always short of money for, you know, highway projects, for homelessness, for health care.

00:09:54.700 Everybody talks about the California pension system as being the number one most likely to go down.

00:09:59.540 They're going to have to get bailed out, which is crazy.

00:10:01.500 So don't know where all that money goes.

00:10:02.960 And, I mean, Florida only gets $50 billion from the sales tax and, like, all the cumulative taxes for the state.

00:10:08.800 And somehow we're cruising along fine with everything that we need.

00:10:11.600 So, I don't know, call me crazy, but maybe some of that money is going towards things it shouldn't go to in California.

00:10:17.100 Yeah.

00:10:18.340 DeSantis said our real estate revenue went from $30 billion to, I don't know what the number was, a massive number in the last five years.

00:10:25.460 He said it doubled.

00:10:26.580 And I said, we didn't do anything different.

00:10:28.420 It just went up.

00:10:29.140 So, you mean to tell me that's the right thing to do?

00:10:31.420 I don't agree with it.

00:10:32.120 So, I kind of, what DeSantis is doing, man, I mean, he is, as a governor and the way he thinks, he's a phenomenal governor.

00:10:39.840 Yes.

00:10:40.860 Phenomenal governor on what he's done.

00:10:42.360 Yeah, property income tax revenue went from $31 billion to now $60 billion.

00:10:47.120 He says, we don't need that additional $30 billion.

00:10:49.400 A rise in $20 billion honors from 19 to 24.

00:10:52.320 Forget about what it is in 2026.

00:10:54.400 What are you doing with that $30 billion?

00:10:55.500 He's saying, why do we need it?

00:10:56.840 Why don't we need it?

00:10:57.540 Why don't we just give it back to the people?

00:10:59.120 If you're living here, you say it's your house, you've paid it off.

00:11:02.280 Why are we still taxing you?

00:11:04.080 That doesn't make any sense.

00:11:05.240 So I like the way he thinks.

00:11:06.720 We'll see what will happen.

00:11:07.500 One thing on the, first of all, the tax thing that is absolutely fantastic, but what we were talking about just a moment ago, what was your point that you just made a moment ago?

00:11:19.320 The fraud and the deficit spending or what the money actually gets spent on?

00:11:24.960 California taxes.

00:11:26.320 Yeah.

00:11:26.620 Where are they shelling out those hundreds of billions?

00:11:29.340 Yeah.

00:11:30.420 I've lost my train of thought on that.

00:11:32.300 Oh, the pension system.

00:11:33.760 We were talking about the pension system.

00:11:35.680 There's another point I wanted to make, but it's okay.

00:11:37.500 We covered it well.

00:11:39.520 51% of you consume the content here on the podcast who have not subscribed.

00:11:45.280 We'd like to take PBD Podcasts to 5 million subscribers.

00:11:48.720 We're at 2.9 million right now.

00:11:50.260 We're going to have something we'll announce here soon.

00:11:52.320 And we'd like to take Valuetainment to 10 million subscribers.

00:11:54.880 We're currently at 7.16 million subscribers.

00:11:58.460 So if you haven't yet, if you enjoy what we do, you support the conversations that we have,

00:12:03.440 click on that subscribe button.

00:12:04.720 It helps us out with the algorithms.

00:12:06.240 And last but not least, if you're a full stack developer, if you're a good editor, if you're somebody with an MBA, if you're somebody that's been in the consulting side, we're hiring aggressively right now.

00:12:18.220 We just got the floor plan for how high we can go here.

00:12:22.360 We're planning on building a building, and we got some good news on how high we can go on the building that we're going to build here to house a couple thousand employees.

00:12:29.780 We're hiring aggressively.

00:12:30.900 Rob, if you want to play the clip for some people that just think this is a podcast, there's a lot of stuff that's going on here.

00:12:35.160 go for it and play this clip. Many times when people think about

00:12:38.280 Valuetainment, all they think about is a podcast, but it's a lot more than

00:12:41.240 that. It's nine companies working together on an

00:12:44.120 11-acre campus. If I was to give you a virtual tour here,

00:12:47.400 you'll see the HR department hiring, talent acquisition.

00:12:50.540 We have full-stack developers that are working on Manac and

00:12:53.100 Hiremetrics. We have a full-fledged events team that puts together

00:12:56.200 events with thousands of people. We have a merch department

00:12:58.980 designing the latest product. We just launched EFLB Shoes

00:13:02.100 made in italy we have a marketing department and if you go to the complete opposite side of the

00:13:06.540 building 50 60 people making calls working for bed david consulting sales setters and then on

00:13:11.900 the complete opposite side of the campus there's a full-on production company with editors shooters

00:13:16.280 creating content doing podcasts then you can drive down a couple miles and go to our private board

00:13:20.980 room cigar lounge with members only regardless of what it is working at valutainment every day is a

00:13:26.700 surprise you could be walking into work and right next to you is a governor is a billionaire is an

00:13:31.780 athlete we are hiring aggressively but vitaminism for everybody for the right person this could be

00:13:37.540 the last company you ever work for so if you're watching this and you want to learn more go to

00:13:43.420 vt.com forward slash careers and apply now again go to vt.com careers and if you know somebody

00:13:51.180 that's looking for a job fully qualified or has a job but they're not happy fully talented share

00:13:55.960 this video with them as well if you enjoy this video you want to watch more videos like this

00:13:59.480 click here. And if you want to watch the entire podcast, click here.

Valuetainment - March 27, 2026

“You’re Killing Generational Wealth” - High Tax States PUSH Families & Businesses OUT

Episode Stats

Summary

Transcript