Years ago, Oregon citizens voted on and passed a law that requires the state to give back any money that is over 2% of the forecasted revenue by the state. It usually comes in the form of a tax credit. And sometimes, it can be kind of substantial?
The “Oregon Kicker” is unique to Oregon. But the question is… do you like the system?
It breaks down to which kind of person you are… are you good with money or no? Me? I’m pretty good with money. I don’t usually overextend, and I make investments that usually pay off. But… I LOVE the Oregon system, because I like that little surprise pile of money. All the real money professionals I talk to are always angry over budget surpluses, because in their minds, they can spend/invest the surplus money better than the government can. I’m not convinced I can do that, so I think it’s kinda fun to get a kicker.
I feel the same way about taxes. I don’t mind when I accidentally give too much money, because when they give it back, I have money I didn’t expect. If my paycheck were $50 more or whatever, I wouldn’t use that $50 to good effect. I’d simply spend the way I always do, and I wouldn’t notice that my overall impact was slightly less. However… if suddenly I’ve got $3,000 I didn’t expect, that might make an impact on my life. That’s like Christmas time for me.
My point is… I don’t buy into the “I know better than the government how to spend my money,” because I’ve proven that I don’t. But if I can get a check all at once, I might buy something cool with that.
~Jake from 98.7 The Bull