Can a GLBI for 19,886,000+ Canadian Households actually pay off the National Debt?

Eliminating the national debt has been a head scratcher for decades. How could we possibly pay it off? Well a GLBI might just be the answer, as long as we use Scenario 3. The reason is not just because of the increased population, or the lower claw back rate, or the economic effects over decades of lower crime,lower healthcare costs, better mental health, less property damage, and the alleviation of inflationary stress. But, how does it all fit together?

By using the 3rd Scenario of GLBI, which for those who haven’t caught up on all my articles, is using a means testing or claw back rate of 15%. That means for each dollar you earn, only $0.15 comes off your Basic Income for the YEAR (Not a monthly calculation) and not the 50% their currently proposing, which is Scenario 1.

With the largest Scenario, we are increasing the amount of Canadians who could be eligible in much higher income brackets. While providing more dollars for everyone in all scenarios. For those Individuals/Households who are earning $70,000 to $120,000 a year a GLBI could not be desired, and that’s OK because this is where our plan works for them with Canada’s long term economic situation in mind.

If you give the Individual or Household the choice to “bank” the GLBI with the CRA, it would generate interest in a secured fund through the government. While being able to be cashed in at any time, and continuing to be tax free, it could be used just like a RRSP (this is not intended only for retirement), helping Families save money to buy homes, save for emergencies or job losses, and more.

However, for this idea to work, it would need to be set that it can not be used to disqualify from EI/CPP/etc, because the GLBI is intended to be tax free. So let’s keep it that way, and allow Canadians to safely and securely save possibly hundreds of thousands of dollars over decades that they didn’t need, while the government pays down the national debt by not needing to borrow Billions of dollars.

What do you think of the idea?

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