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Budget of an Interest Slave

by on January 17, 2012

The main reason why interest slavery goes largely unnoticed is because most of what we pay is invisible: it is included in prices. Producers cannot avoid capital costs and must pass these on to consumers.
It has been established that 45% of prices we pay are for interest on business loans or other capital costs. No less than 50% of taxes we pay go to servicing the National Debt and capital costs included in prices the Government pays. So what does the budget of a typical interest slave look like?

Here’s one from a young man, 31 years old, living in North Western Europe and working as a civil servant, making €37,200 per year. He has bought his own apartment a few years ago, so most of it is still property of the bank. He has a €10,000 credit line which he has used to decorate his place.

His monthly gross income is €3,100, of which €1,000 goes to income tax and other levies. Of this money, €500 is lost to interest on the National Debt and capital costs included in prices the Government pays.
His net income is €2,100.

Percentages differ per expenditure, depending on the capital intensity of the industry involved. The percentages in the left column are the fractions of the prices that are lost to interest.

So let’s see what his budget looks like:

Spent VAT Excluding VAT VAT lost to interest amount lost to capital costs excl. VAT
Mortgage, 100% 450 0% 450 0 450
Energy, 45% 100 30% 70 15 31.5
Food, 25% 400 6% 376 12 94
Internet/Telecom, 50% 100 19% 81 9.5 40.5
Interest payments credit, 100% 100 0% 100 0 100
savings 100 0% 100 0 0
Going out, 30% 500 19% 405 47.5 121.5
Clothing, 30% 100 19% 81 9.5 24.3
Transportation, 50% 100 6% 94 3 47
Various, 45% 150 19% 121.5 14.25 54.68
Totals 2100 110.75 963.48
VAT + Income Tax 1221,50
Of which Interest 610,75
Lost to Interest 1574,23


  • An astounding €1574,23 (610,75 + 963,48) of a monthly gross €3100,- income is lost to interest!
  • Taxation (VAT + Income Tax) is €1221,50, but half of this, about €610,- is lost to interest the Government pays.
  • Taxation (corrected for interest) + Interest takes away an incredible 75% of the disposable income.
  • This example shows someone with a reasonable income, but a little less than zero net assets. This is quite common throughout the West: 50% of Americans have zero net assets or less.
  • Had he rented a place instead of buying his own apartment, he would not have been better off: 75% of the rent we pay is compensation for the landlord’s capital costs.
  • All percentages where available are taken from Margrit Kennedy, in the case of clothing and Telecom they have been estimated.

So while it is natural to complain of high taxes, it transpires that no less than half of taxes we pay is lost to interest. We would pay 50% less tax were there no cost for capital.

Worse still: approximately half our own disposable income is lost to interest, on top of the taxes we pay. Combined interest + tax takes 75% of our gross income.

Amazingly, a Medieval serf typically payed only 10% of his gross income to his ‘Lord’. Interest was unheard of then.

Would we end interest, our interest slave’s disposable income would triple: He would be left paying only 25% in taxes, leaving 75% for himself.

The only way we can escape being net payers of interest is by having assets ourselves. But this forces us to exploit others, to compensate for, instead of ending, being exploited ourselves. In this way the Money Power’s methods have become acceptable to the mainstream, whereas Usury has been a taboo for most of human history.

To add insult to injury: all the interest ends up with the rich: after all, they have money to lend, while the poor borrow. Margrit Kennedy also established that 80% of the population pays interest to the richest 10%. But also within the top 10% bracket the redistribution of wealth continues: the ‘poorer’ 8% pay interest to the richest 1% and eventually all ends up with the Plutocracy.

The Money Power has subverted almost every Government on the Globe. It has forced them to surrender their currency monopoly to the Money Power’s Central Banks. They use this monopoly to enslave both Government and us with interest and the boom/bust cycle.

It cares not whether her monopoly is paper or metal based: it owns all Gold and came to power through the Gold Standard. Gold as currency is interest bearing.

But the Government can be reconquered by the People and that’s why they want to consolidate their power in World Government and World Currency, both of which will know no national affiliation.

Our own goal must be to have interest free money. Both by reconquering Government and forcing it to end the Central Bank monopoly and by creating independent currencies, based on interest free credit. Modern Mutual Credit will destroy Federal Reserve Notes and the Euro in the market place.

World Government and Government tyranny are both Money Power projects and to defeat them an interest free money supply is a ‘sine qua non’.

On Interest
The Goal of Monetary Reform
Financial Warfare 2012: Boycott All Banks!

  1. I’m lost on the chart above. Could you possibly make it simpler? I don’t understand:

    — Energy, 45%, VAT 30% — what does the 45% represent? All the percentages following each entry (energy, food, telecom, mortgage, etc) add up to far more than 100%.

    — What does “amount lost to capital costs excl. VAT” mean?

    — Where did you get the “VAT + Income Tax” number at the bottom? Income tax, from your preliminary paragraph, is €1,000. I don’t see where the additional €221.50 comes from.

    — Below that line you have “of which interest €610.75” — what does that mean?

    — I’m unclear what you are actually doing when you add €610.75 and €963.48 to get your total.

    I would LOVE for this chart to be simpler! As it is, I think the only people who MAY get it are bookkeepers and accountants who know what the invisible factors are. Could you please make the invisible factors visible for us regular folks?


  2. kaycee permalink

    So you do “REALLY BELIEVE that the ELECTIONS are FAIR and are NOT RIGGED and that your Votes do Really Count”? Well think again? Ever wonder why the Jews refer to all Non-Jews as GOYISHE KUP or STUPID CATTLE?

    > You view this on your own and then think about the advice
    > that you posted on the messageboard.
    > >
    > Ps: There was voter FRAUD and VOTE Rigging in all of the major states. One has to be a complete moron or a complete idiot to have not noticed it!

    The Israeli Defense Firm That Tallies The Iowa Caucus
    By Christopher Bollyn

    The Iowa caucus is only a few days away and the nation’s attention will be directed to the results, which signify the beginning of the U.S. presidential race. But does anyone watch who tallies the results of the Iowa caucus?

    The Iowa caucus results were tallied in 2004 by a company that is headed by a man whose company was bought by Elron Electronics, the Israeli defense firm. I suspect that it will be the same this year. Don’t expect to see any grassroots political activists doing the tally in Iowa. The Israeli defense establishment takes care of that part of the American “democratic” election process.


    In the summer of 2004, I first learned that a foreign and out-of-state company using Interactive Voice Response (IVR) technology tallied the Iowa caucus results.

    The system used to tally the 2004 Iowa caucus results was provided by a company called Voxeo, which was apparently based in Orlando, Florida. (Yellow flag goes up in the mind of those familiar with Orlando and electronic vote fraud history

  3. “They have the money to lend” – are you shooting yourself in the foot on purpose? They don’t lend anything. The debt is between the borrower and the person who accepts the currency in exchange for a product. Credit is debit is debt. You want parasite free debt.

    • sikkin permalink

      What the hell are you talking about?

      • Just keep asking yourself “what the hell is he talking about?”. Pray to your creator for illumination. Be persistent. Study every monetary reform proposal you can find. Use your mind’s eye to visualize society. Don’t think in terms of language. See a huge market of producers exchanging their wares while non-producing parasites extract a huge percentage of those wares because of the producers lack of understanding how to create an IOU currency and use it to pool resources for complex endeavors.

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