The Quirks of Property Taxes

It's not that I totally disagree with the concept of property taxes as a whole. I understand that sewers and roads need to be repaired, that we must pay for the police and firemen that protect us, that parks need to be built for kids to play in, and that neighborhoods in general need to be maintained. That's fine with me. But there are a few things on my latest property tax installment that I just don't agree with.

Our Total Taxes for 2009

Our property taxes in the Chicagoland area are probably quite a bit higher than many other areas of the United States . Our total 2009 property tax bill after taking out our homeowner's exemption was $4468.63. Of this amount, $380.05 went toward miscellaneous taxes such as mosquito abatement, the water reclamation district and park district. Another $333.35 went to county taxes. Then there was $869.30 for municipality and township taxes, and the kicker, $2885.93 for school taxes.

Schools

So let's talk about that nearly $2900 for schools. That's a lot of money, right? And the school district isn't even that great -- especially the high school. While I don't necessarily mind paying taxes toward schools, I don't think it is fair for everyone to pay or to pay equal amounts. I mean, what about those people who don't have kids or only have one child versus four or five or want to send their child to private school. I'm stuck paying the same amount even if I don't have a child in school.

Maybe there should be a "childless family" or "child not yet in school" tax exemption. Once the child is in school, then a property owner should pay based upon the number of children in school. Then maybe people would think twice about having kids before just popping them off left and right.

Community College?

Okay, so it's bad enough getting stuck for elementary, middle and high schools without a child attending (my little guy just turned four), but then there is another $153.74 for the community college. Okay, I already paid for my schooling -- and I paid a lot '" and now I have to help someone else pay for theirs through my property taxes? That doesn't seem quite right to me.

Pensions!

Here is the worst part. Being self-employed, it's been a difficult last few years when it comes to retirement savings. Last year I contributed nothing to my own retirement fund (besides being forced to pay into social security and Medicare). However, from my property taxes I paid $317.50 to fund the pensions of various municipality and county employees.

Now come on. I'm funding their retirements but not my own? Seems a bit much to me.

Take a Look Next Time

It's easy to just get your tax bill in the mail and set it aside with the rest of your bills to be paid when you have the time. Or if your property taxes are escrowed with your mortgage payment, you may hardly glance at the bill when it comes. However, the next time the tax bill arrives, you might want to actually take a minute to look at where your money is going. It can be an eye-opening experience.

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Disclaimer:

The author is not a licensed tax or financial professional. The information provided in this article is for informational purposes only and does not constitute legal or financial advice. For financial advice, readers should consult a licensed financial advisor. Any action taken by the reader due to the information provided in this article is solely at the reader's discretion.