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Comment by cwan | Hacker News Reader

That'd be a more reasonable argument if say Californians' taxes were used to fund the progressive policies of other states (though it is true that Californians get something like 80 cents per dollar sent to Washington). Californians however at an individual level are subject to the same federal tax rules as people in other states (and if they were poorer I'm sure the pendulum would swing the other way).

This being the case, it is even more remarkable the financial straits that California finds itself in. It has some of the biggest advantages geographically and started with and still generally has a wealthy and high income tax base.

The state of California also chooses to tax well above that of other states - stats here: http://www.taxfoundation.org/research/topic/15.html - and still manages to run a massive deficit.

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California state taxes are a small fraction of what most California residents pay in overall taxes.

Plus, because of California's high cost of living, a worker in California is paid more to do the same work as in another state, yet falls in a higher federal tax bracket and so pays thousands more per year in Federal taxes for doing the same work and experiencing the same standard of living as a citizen of another state.

Sure the cost of living might be higher, but the opportunity for making money is also higher - or that's how it's supposed to work. One of the problems in California is that the benefits are now beginning to under weigh the costs which is why you have a outflow of migration towards surrounding states like Texas. Many of the problems are now structural like higher state and municipal taxes - so that despite getting ever fewer benefits, taxes are ever increasing.

I concede that CA has higher state taxes, but I don't see why this is particularly relevant when I and most Californians pay a massive chunk of our income to the Federal government, which spends the money frivolously and doesn't even have a balanced budget.

California could add a few percent to state income taxes and inconvenience its residents minimally in comparison with the high rates of Federal taxation Californians experience (due to higher cost of living).

It's just so far out of proportion that I consider it absurd to spend much time worrying about California's budget.

"massive chunk of our income to the Federal government"

So does every other resident of every other state, you act like this is some problem unique to CA. Not to mention that if the sate did raise it's income tax that would help it's residents pay a lower amount of federal tax because don't you normally subtract your state tax liability from your earnings to determine your federal taxable income? Sounds like you need to write your legislature and beg for an income tax increase.

Well, due to inflated cost of living, Californians tend to be in higher tax brackets than workers in other states, which leads to a disproportionate amount of money being paid into Federal taxes.

> Plus, because of California's high cost of living, a worker in California is paid more to do the same work as in another state

You forget - that worker gets to live in CA. That worker thinks that the cost-of-living premium is worth it because if she didn't, she'd be living somewhere else.

If the benefits that you get from living in CA are less than the costs that you pay, you should leave. Seriously.

What? You like it here and are just trying to reduce the costs? That's not nearly as noble a crusade....

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