THE EFFECTS OF THE OBAMA TAX PLAN

New Jersey
President Obama’s tax plan would allow portions TOTAL EMPLOYMENT
of the 2001 and 2003 tax cuts to expire, resulting in Annual Change in Jobs
steep tax hikes beginning in January 2011 for small
2011 2015 2020
businesses and those earning $250,000 or more. 0
The tax hikes would significantly affect the economy
–3,000
in New Jersey, most notably in the number of jobs
and change in personal income. –6,000

Among the results, from 2011 to 2020, the state –9,000

of New Jersey would: –12,000

• Lose, on average, 20,720 jobs annually.
• Lose, per household, $10,843 in total –15,000
disposable personal income.
–18,000
• See total individual income taxes increase by
$22,762 million. –21,000

–24,000
Source: Heritage Foundation calculations based on the IHS Global
Insight U.S. macroeconomic model, and data from the U.S. Census –27,000
Bureau and U.S. Department of Labor, Bureau of Labor Statistics.
–26,173

REAL DISPOSABLE INCOME TOTAL INDIVIDUAL INCOME TAXES

Annual Change per Household Annual Change in Millions of Dollars
$2,823.9
2011 2015 2020
$0 $3,000

$2,700
–$200
$2,400
–$400 $2,100

$1,800
–$600
$1,500
–$800
$1,200

–$1,000 $900

$600
–$1,200
$300

–$1,400 $0
2011 2015 2020
–$1,372.51

Chart NJ • Obama Tax Plan by State heritage.org

THE EFFECTS OF THE OBAMA TAX PLAN

Change in Employment in New Jersey

Average Annual Change in Total

Employment, 2011 to 2020, by
Congressional District 5
Jobs Lost: 800–1,399 8
11 9
Jobs Lost: 1,400–1,599
Jobs Lost: 1,600–1,799
Jobs Lost: 1,800–2,320 10

12

State: 20,720 jobs lost annually on average

Source: Heritage Foundation calculations based on the IHS Global Insight U.S. macroeconomic model, and data from the U.S. Census Bureau and U.S.
Department of Labor, Bureau of Labor Statistics.

Map NJ • Obama Tax Plan by State heritage.org