Howdy, Stranger!

It looks like you're new here. If you want to get involved, click one of these buttons!





Show your support for what this community means to you:


Choose a Donation Amount
Username (required for credit)



Welcome to the Hardcore Husky Forums. If you dare criticize Jimmy Lake, you won't last long.

April 15th - Tax day

2

Comments

  • HHuskyHHusky Posts: 2,445
    250 Answers 500 Up Votes 1000 Comments 100 Awesomes
    See the USA in your Chevrolet, Fidel.
  • jecorneljecornel Posts: 5,593
    Butler Cabin Supporter Sixth Anniversary 2500 Comments 250 Answers

    HHusky said:

    jecornel said:

    HHusky said:

    “About” 480. Like I said.

    So what was the problem?
    No problem. Just trying to figure out how you’re paying more than half a million in taxes on a million dollars. That’s a talent no one else has.
    In the financial services industry, post recession and financial services law reform, bonus payment income has mandatory withholding requirements of about 50%. Thus, if your salary is $200k and your bonus is $800k, net monthly income will be about $40k to 45k. You settle up every April 15, but $40k or slightly more net monthly income in the financial services industry is about right.
    Thank you cirrohosis dawg.
  • HHuskyHHusky Posts: 2,445
    250 Answers 500 Up Votes 1000 Comments 100 Awesomes

    HHusky said:

    jecornel said:

    HHusky said:

    “About” 480. Like I said.

    So what was the problem?
    No problem. Just trying to figure out how you’re paying more than half a million in taxes on a million dollars. That’s a talent no one else has.
    In the financial services industry, post recession and financial services law reform, bonus payment income has mandatory withholding requirements of about 50%. Thus, if your salary is $200k and your bonus is $800k, net monthly income will be about $40k to 45k. You settle up every April 15, but $40k or slightly more net monthly income in the financial services industry is about right.
    A mandatory withholding requirement that is 10% higher than the maximum tax rate? What law is that?
  • MisterEmMisterEm Posts: 6,367
    Swaye's Wigwam 5000 Comments 250 Answers Fifth Anniversary
    edited April 15
    jecornel said:

    Blu82 said:

    I would like to take this opportunity to thank President Trump for lowering the amount of taxes that are extorted from me annually.

    I'm not complaining this year......at all.
    Amen.

    Passive rental activity changed, took a small hit there. But both State and Federal wage income and business revenue went down, considerably.
  • CirrhosisDawgCirrhosisDawg Posts: 4,603
    Sixth Anniversary 2500 Comments 250 Answers 500 Awesomes
    HHusky said:

    HHusky said:

    jecornel said:

    HHusky said:

    “About” 480. Like I said.

    So what was the problem?
    No problem. Just trying to figure out how you’re paying more than half a million in taxes on a million dollars. That’s a talent no one else has.
    In the financial services industry, post recession and financial services law reform, bonus payment income has mandatory withholding requirements of about 50%. Thus, if your salary is $200k and your bonus is $800k, net monthly income will be about $40k to 45k. You settle up every April 15, but $40k or slightly more net monthly income in the financial services industry is about right.
    A mandatory withholding requirement that is 10% higher than the maximum tax rate? What law is that?
    Sometime around 2010, investment banker bonuses started having mandatory nearly 50% withholding requirements on payouts. Not salary. Just bonuses. It was part of the crackdown on Wall Street and annual incentive payments. I can’t recall the specific bill now but it’s been a fact of life for about 10 years now.
  • HHuskyHHusky Posts: 2,445
    250 Answers 500 Up Votes 1000 Comments 100 Awesomes

    HHusky said:

    HHusky said:

    jecornel said:

    HHusky said:

    “About” 480. Like I said.

    So what was the problem?
    No problem. Just trying to figure out how you’re paying more than half a million in taxes on a million dollars. That’s a talent no one else has.
    In the financial services industry, post recession and financial services law reform, bonus payment income has mandatory withholding requirements of about 50%. Thus, if your salary is $200k and your bonus is $800k, net monthly income will be about $40k to 45k. You settle up every April 15, but $40k or slightly more net monthly income in the financial services industry is about right.
    A mandatory withholding requirement that is 10% higher than the maximum tax rate? What law is that?
    Sometime around 2010, investment banker bonuses started having mandatory nearly 50% withholding requirements on payouts. Not salary. Just bonuses. It was part of the crackdown on Wall Street and annual incentive payments. I can’t recall the specific bill now but it’s been a fact of life for about 10 years now.
    I get that bonuses would have taxes withheld at the maximum tax rate. But the maximum tax rate is considerably lower than 50%.
  • MikeDamoneMikeDamone Posts: 16,030
    Swaye's Wigwam 10000 Comments 250 Answers Sixth Anniversary
    HHusky said:

    HHusky said:

    HHusky said:

    jecornel said:

    HHusky said:

    “About” 480. Like I said.

    So what was the problem?
    No problem. Just trying to figure out how you’re paying more than half a million in taxes on a million dollars. That’s a talent no one else has.
    In the financial services industry, post recession and financial services law reform, bonus payment income has mandatory withholding requirements of about 50%. Thus, if your salary is $200k and your bonus is $800k, net monthly income will be about $40k to 45k. You settle up every April 15, but $40k or slightly more net monthly income in the financial services industry is about right.
    A mandatory withholding requirement that is 10% higher than the maximum tax rate? What law is that?
    Sometime around 2010, investment banker bonuses started having mandatory nearly 50% withholding requirements on payouts. Not salary. Just bonuses. It was part of the crackdown on Wall Street and annual incentive payments. I can’t recall the specific bill now but it’s been a fact of life for about 10 years now.
    I get that bonuses would have taxes withheld at the maximum tax rate. But the maximum tax rate is considerably lower than 50%.
    https://taxmap.irs.gov/taxmap/pubs/p15-006.htm
    CirrhosisDawg
  • HHuskyHHusky Posts: 2,445
    250 Answers 500 Up Votes 1000 Comments 100 Awesomes
    Thanks Mike.

    If a supplemental wage payment, together with other supplemental wage payments made to the employee during the calendar year, exceeds $1 million, the excess is subject to withholding at 37% (or the highest rate of income tax for the year). Withhold using the 37% rate without regard to the employee's Form W-4.
  • CirrhosisDawgCirrhosisDawg Posts: 4,603
    Sixth Anniversary 2500 Comments 250 Answers 500 Awesomes
    HHusky said:

    Thanks Mike.

    If a supplemental wage payment, together with other supplemental wage payments made to the employee during the calendar year, exceeds $1 million, the excess is subject to withholding at 37% (or the highest rate of income tax for the year). Withhold using the 37% rate without regard to the employee's Form W-4.

    And with social security, 401k deposits, employee portion of benefits, etc, the net cash to the employee from the bonus is about 50 pct. Much lower than a salary payment where your deductions apply. All of which substantiates the $40-$45k or so average monthly income on a gross $1 million income number (depending on the salary / bonus split and before you settle up with the IRS every April).
    jecornel
  • jecorneljecornel Posts: 5,593
    Butler Cabin Supporter Sixth Anniversary 2500 Comments 250 Answers
    HHusky said:

    Thanks Mike.

    If a supplemental wage payment, together with other supplemental wage payments made to the employee during the calendar year, exceeds $1 million, the excess is subject to withholding at 37% (or the highest rate of income tax for the year). Withhold using the 37% rate without regard to the employee's Form W-4.

    Alright then better for you. If you are barely surving on on 50 grand (52,500) a month then dial it back a little.

    If you could find a way to live on the 200k for a year you could make your remaining money work for you so that you are able to generate passive income. Then you could be rich.
  • creepycougcreepycoug Posts: 11,322
    10000 Comments 250 Answers Fifth Anniversary 500 Awesomes
    Let's just say that, after sending that check off to the Service, my mood darkened.

    The point you make is fair ... and compelling. The question that goes along with it is too: on what are we spending it, and is that ok? I've been on record for entitlement reform, and I stand by that. The other source of big sucking sounds from the fed on tax revenue is the military. It is here where my views diverge a bit from many conservatives.

    I think we spend too much on it. I also think in some respects it serves as a social program. It is a place for legions and legions of kids coming out of high school with no better options to land. That in and of itself is not a bad thing. But there is some social engineering going on there. I think a thorough review of graft and waste in what is the massive military budge should be thoroughly reviewed. Of course, it's a sacred cow to politicians, because who wants to make that promise during campaign time? It serves neither party's political platform.
    YellowSnowDoog_de_Jour
  • YellowSnowYellowSnow Posts: 14,025
    Swaye's Wigwam 10000 Comments 250 Answers 500 Awesomes

    Let's just say that, after sending that check off to the Service, my mood darkened.

    The point you make is fair ... and compelling. The question that goes along with it is too: on what are we spending it, and is that ok? I've been on record for entitlement reform, and I stand by that. The other source of big sucking sounds from the fed on tax revenue is the military. It is here where my views diverge a bit from many conservatives.

    I think we spend too much on it. I also think in some respects it serves as a social program. It is a place for legions and legions of kids coming out of high school with no better options to land. That in and of itself is not a bad thing. But there is some social engineering going on there. I think a thorough review of graft and waste in what is the massive military budge should be thoroughly reviewed. Of course, it's a sacred cow to politicians, because who wants to make that promise during campaign time? It serves neither party's political platform.


    creepycoug
  • Pitchfork51Pitchfork51 Posts: 13,808
    Standard Supporter 10000 Comments 250 Answers 500 Up Votes
    Just filed that sweet sweet extension
    GrundleStiltzkin
  • 2001400ex2001400ex Posts: 24,828
    Swaye's Wigwam 10000 Comments 250 Answers Fifth Anniversary

    HHusky said:

    Thanks Mike.

    If a supplemental wage payment, together with other supplemental wage payments made to the employee during the calendar year, exceeds $1 million, the excess is subject to withholding at 37% (or the highest rate of income tax for the year). Withhold using the 37% rate without regard to the employee's Form W-4.

    And with social security, 401k deposits, employee portion of benefits, etc, the net cash to the employee from the bonus is about 50 pct. Much lower than a salary payment where your deductions apply. All of which substantiates the $40-$45k or so average monthly income on a gross $1 million income number (depending on the salary / bonus split and before you settle up with the IRS every April).
    SS is capped at $128k in wages and 401k is capped at $18k in contributions. So....I disagree on 50% when talking a million in compensation.
  • SFGbobSFGbob Posts: 8,615
    Standard Supporter 5000 Comments 250 Answers 500 Awesomes
    I think we spend too much on it. I also think in some respects it serves as a social program. It is a place for legions and legions of kids coming out of high school with no better options to land. This speaks more about you then you'll ever realize.
  • SFGbobSFGbob Posts: 8,615
    Standard Supporter 5000 Comments 250 Answers 500 Awesomes
    edited April 15
    And to the extent that the Military has turned into a "Social Program" you can blame the Rats. It's not Conservatives pushing women in combat and Trannie rights in the Military.
  • CirrhosisDawgCirrhosisDawg Posts: 4,603
    Sixth Anniversary 2500 Comments 250 Answers 500 Awesomes
    2001400ex said:

    HHusky said:

    Thanks Mike.

    If a supplemental wage payment, together with other supplemental wage payments made to the employee during the calendar year, exceeds $1 million, the excess is subject to withholding at 37% (or the highest rate of income tax for the year). Withhold using the 37% rate without regard to the employee's Form W-4.

    And with social security, 401k deposits, employee portion of benefits, etc, the net cash to the employee from the bonus is about 50 pct. Much lower than a salary payment where your deductions apply. All of which substantiates the $40-$45k or so average monthly income on a gross $1 million income number (depending on the salary / bonus split and before you settle up with the IRS every April).
    SS is capped at $128k in wages and 401k is capped at $18k in contributions. So....I disagree on 50% when talking a million in compensation.
    The 50 pct only concerned the income from bonus payments and the impact on net monthly cash flow. Bonuses are paid around February generally in the IB world. Before the caps are hit. As far as monthly income is concerned (and I used a $200k / $800k, salary bonus split for this example) $40k-$45k net monthly cash income, before settlement with the IRS in April, is reasonable, given the tax treatment of bonus income (especially if you live in California).
    jecornel
  • LebamDawgLebamDawg Posts: 1,892
    Butler Cabin Supporter 250 Answers 1000 Comments 500 Up Votes
    damn I had an appt with my accountant but cancelled it because of this thread - thanx guys
    GrundleStiltzkinSoutherndawgjecornel
  • creepycougcreepycoug Posts: 11,322
    10000 Comments 250 Answers Fifth Anniversary 500 Awesomes
    SFGbob said:

    I think we spend too much on it. I also think in some respects it serves as a social program. It is a place for legions and legions of kids coming out of high school with no better options to land. This speaks more about you then you'll ever realize.

    Please amplify. I think you underestimate how much I'm able to realize.
  • creepycougcreepycoug Posts: 11,322
    10000 Comments 250 Answers Fifth Anniversary 500 Awesomes
    SFGbob said:

    And to the extent that the Military has turned into a "Social Program" you can blame the Rats. It's not Conservatives pushing women in combat and Trannie rights in the Military.

    Good rhetoric. It appears that I might have hit a sore spot here.

    It's not just those people who make it a social program, and I think you know that. A lot of straight men with nothing better to do, and no better prospects out of high school, look to the military as a default landing spot. It's the fucking truth dude. Like it or not. Everybody knows it.

    Do I value those people over fat, government cheese-eating baby factories sucking on the welfare dole? You betcha.

    But that doesn't change the facts. We have a massive military, and we still can't police the world with it. So why in the fuck bother? It's the isolationist in me. It is a huge chunk of the budget. If it makes you feel better to blame that, along with seemingly everything else that goes wrong in the world, on Democrats, have at it. I don't have the obsession with them you seem to, but I also don't feel too motivated to defend them either. Rat's fault? IDRGAF. Fine. It's their fault.

    The issue remains. We'd need to tax a lot less if we had military spending under more control.

    I suspect it's a social and cultural issue for most people, as 95% of things US citizens fight about tend to be.
    SarkFanSixtyNinedfleaYellowSnowDoog_de_Jour
Sign In or Register to comment.