So you think the hardworking 4% should suffer like the rest of them? Even though they pay more taxes? Taxation is supposed to be fair, but your approach isn't.
It seems like you're assuming motivation where it doesn't exist. I'm simply stating that your belief that paid taxes would be compounded to 99% of income is quite a fantastic claim. Besides, there's no proof that the "hardworking" are necessarily more saving than those who aren't. Sometimes the highest earning have the highest rates of debt, ie, they don't save.
Do you think that the minority of the population which saves money works harder than the majority that does not save money?
* I think that the 4% number is dubious but it's not material to the question.
I'm just going off of the documented personal savings rate.