On 1/7/14, the school district released its preliminary budget estimate for 2014-15. The estimate includes a 3.39% tax increase– or
what the district called a $17.32 per month tax increase on the "median
The presentation did not include the amount that the median household
would pay per year: On a $145,000 home assessment that homeowner is
presently paying a yearly tax of $6135. The proposed tax increase
will increase the yearly bill to $6343 per year.
So what is a "median household ?" What impact does a $6343 tax bill
have on this household ?
According to the census bureau the 2012 Pennsylvania median household
income was $51,904. Under the new Cheltenham School Tax rate, the
breadwinner will have to write a check for 12.2% of his/her
total gross income.
What if our median household breadwinner is on unemployment ?
According to the Pennsylvania Department of Labor and Industry,
Unemployment Compensation is typically half of the last full-time wage received. So median total unemployment compensation would be
$25,952. This unemployed breadwinner will have to write a check for 24.4%
of total unemployment benefits at tax time.
What about those retired on Social Security ? According to
www.socialsecurity.gov, the average monthly benefit is $1,228.25
or a yearly gross income of $14,739. For our retiree the
new Cheltenham School Tax bill takes away 43.0% of gross
With such a high tax burden on the weakest members of our community,
why haven't our elected officials yet signed on to co-sponsor The
Property Tax Independence Act (HB/SB 76) ? If passed, it will
eliminate all school property taxes across the Commonwealth and will
replace those taxes with funding from a single state source.
Watch the video below to find out more, then contact Representative Steve McCarter(email)
and Senator LeAnna Washington (email)
and request that they co-sponsor the Property Tax Independence Act, HB76 and SB76.