Failure is being rewarded with free services, lower taxes and a whole bunch of other benefits, this isnt really in question here.

Dollar for dollar poor people pay 1 sixth of the income taxes that high income earners pay. If that's not rewarding failure, what is?

You put an equal sign between failure and low income, which in my mind is quite baffling. You could be a failure and pay a lot of taxes too.

But it's not uncommon, we do it with our kids all the time. "If you don't perform good grades, you are not good enough". My point being that changing that view to, "look at what opportunities you (will) have now". Someone being a failure according to you may be quite demotivated at reaching a high income due to the fact that it seems impossible, why do the effort? For what is more important than playing a role in society, and be a good human? Is really income a value of how human you are?

You're assuming market prices for labor aren't artificially low because the system works against them.

You're also assuming high incomes are completely independent of Central Banks subsidizing asset prices.