April 15th - Tax day
Dirt bags like Hondo's "friend" who pays no income taxes and is pissed because he isn't receiving his "free" money from the government anymore have absolutely zero incentive to cut spending or to keep income taxes low, because they don't pay any income taxes.
Comments
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You're welcome.
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Yeah, where is my thanks? But instead of gratitude all we get is a demand that we pay even more.HHusky said:You're welcome.
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I'm fine with low income workers with families to support not paying income tax and even getting some wage subsidy (i.e., earned income tax credit). This is lot better way to ensure that pours have enough income for food and housing than trying to raise standard of living through counter-productive means like artificially high minimum wages. And again, everyone still pays payroll taxes, sales taxes and property taxes (though rents or ownership).
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Everyone should have some skin in the game. It doesn't have to be a lot but if you work you should face some level of income tax. Otherwise you have the situation that we have now where nearly half the population has no incentive to keep income taxes low. I'd also do away withholding and make everyone write a check to the government every quarter.YellowSnow said:I'm fine with low income workers with families to support not paying income tax and even getting some wage subsidy (i.e., earned income tax credit). This is lot better way to ensure that pours have enough income for food and housing than trying to raise standard of living through counter-productive means like artificially high minimum wages. And again, everyone still pays payroll taxes, sales taxes and property taxes (though rents or ownership).
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I fully appreciate the skin in the game logic. But I also think we need to take away disincentives towards work. Lot of pours these days who can't get anything better than a low wage jerb are choosing idle poverty (e.g., collecting disability) over working poverty (e.g., greeting people at Walmart) because at the end of the day there's not much difference in their standard of living at the end of day. Even if someone has made poor life choices (e.g., got pregnant w/o a dad around) we still should reward them for showing up and working a job and if part of the way in helping them get by is an effective negative income tax (EITC) then so be it. They have skin in the game with FICA and sales tax.SFGbob said:
Everyone should have some skin in the game. It doesn't have to be a lot but if you work you should face some level of income tax. Otherwise you have the situation that we have now where nearly half the population has no incentive to keep income taxes low. I'd also do away withholding and make everyone write a check to the government every quarter.YellowSnow said:I'm fine with low income workers with families to support not paying income tax and even getting some wage subsidy (i.e., earned income tax credit). This is lot better way to ensure that pours have enough income for food and housing than trying to raise standard of living through counter-productive means like artificially high minimum wages. And again, everyone still pays payroll taxes, sales taxes and property taxes (though rents or ownership).
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One way to make work more rewarding would be to halt the importation of millions of low skilled, low education foreigners who depress the wages of low American income workers.YellowSnow said:
I fully appreciate the skin in the game logic. But I also think we need to take away disincentives towards work. Lot of pours these days who can't get anything better than a low wage jerb are choosing idle poverty (e.g., collecting disability) over working poverty (e.g., greeting people at Walmart) because at the end of the day there's not much difference in their standard of living at the end of day. Even if someone has made poor life choices (e.g., got pregnant w/o a dad around) we still should reward them for showing up and working a job and if part of the way in helping them get by is an effective negative income tax (EITC) then so be it. They have skin in the game with FICA and sales tax.SFGbob said:
Everyone should have some skin in the game. It doesn't have to be a lot but if you work you should face some level of income tax. Otherwise you have the situation that we have now where nearly half the population has no incentive to keep income taxes low. I'd also do away withholding and make everyone write a check to the government every quarter.YellowSnow said:I'm fine with low income workers with families to support not paying income tax and even getting some wage subsidy (i.e., earned income tax credit). This is lot better way to ensure that pours have enough income for food and housing than trying to raise standard of living through counter-productive means like artificially high minimum wages. And again, everyone still pays payroll taxes, sales taxes and property taxes (though rents or ownership).
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Are you getting by on your million a year? About 40k a month after taxes.HHusky said:You're welcome.
I'm concerned for your well being.
Maybe if you cut cut back on life of luxury you could figure out to turn 200k a year into a passive income stream then you could be rich! Or even better, wealthy. -
And I'm record in this space saying we probably need to take a break on high levels of low skill immigration until we get labor force participation rates back up. But in conjunction with that you've got to change policy to get people off the dole and back into the work force.SFGbob said:
One way to make work more rewarding would be to halt the importation of millions of low skilled, low education foreigners who depress the wages of low American income workers.YellowSnow said:
I fully appreciate the skin in the game logic. But I also think we need to take away disincentives towards work. Lot of pours these days who can't get anything better than a low wage jerb are choosing idle poverty (e.g., collecting disability) over working poverty (e.g., greeting people at Walmart) because at the end of the day there's not much difference in their standard of living at the end of day. Even if someone has made poor life choices (e.g., got pregnant w/o a dad around) we still should reward them for showing up and working a job and if part of the way in helping them get by is an effective negative income tax (EITC) then so be it. They have skin in the game with FICA and sales tax.SFGbob said:
Everyone should have some skin in the game. It doesn't have to be a lot but if you work you should face some level of income tax. Otherwise you have the situation that we have now where nearly half the population has no incentive to keep income taxes low. I'd also do away withholding and make everyone write a check to the government every quarter.YellowSnow said:I'm fine with low income workers with families to support not paying income tax and even getting some wage subsidy (i.e., earned income tax credit). This is lot better way to ensure that pours have enough income for food and housing than trying to raise standard of living through counter-productive means like artificially high minimum wages. And again, everyone still pays payroll taxes, sales taxes and property taxes (though rents or ownership).
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A million/year isn’t $480,000 after taxes. I think your bookkeeper may be stealing from you.jecornel said:
Are you getting by on your million a year? About 40k a month after taxes.HHusky said:You're welcome.
I'm concerned for your well being.
Maybe if you cut cut back on life of luxury you could figure out to turn 200k a year into a passive income stream then you could be rich! Or even better, wealthy. -
I said "about" 40k. What is 40x12?HHusky said:
A million/year isn’t $480,000 after taxes. I think your bookkeeper may be stealing from you.jecornel said:
Are you getting by on your million a year? About 40k a month after taxes.HHusky said:You're welcome.
I'm concerned for your well being.
Maybe if you cut cut back on life of luxury you could figure out to turn 200k a year into a passive income stream then you could be rich! Or even better, wealthy. -
“About” 480. Like I said.
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I would like to take this opportunity to thank President Trump for lowering the amount of taxes that are extorted from me annually.
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So what was the problem?HHusky said:“About” 480. Like I said.
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I'm not complaining this year......at all.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.
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The Sheriff of Nottingham just left here with a big bag of loot.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.
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My savings this year equate to about 2 additional weeks laying on a beach in Costa Rica, which I just returned from.
Count me in the happy column. -
Thanks for not spending the money in America.Blu82 said:My savings this year equate to about 2 additional weeks laying on a beach in Costa Rica, which I just returned from.
Count me in the happy column. -
Sorry to hear that you can't afford my lifestyle.HHusky said:
Thanks for not spending the money in America.Blu82 said:My savings this year equate to about 2 additional weeks laying on a beach in Costa Rica, which I just returned from.
Count me in the happy column.
Try harder. You'll get there some day, big guy. -
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.HHusky said: -
See the USA in your Chevrolet, Fidel.
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Thank you cirrohosis dawg.CirrhosisDawg said:
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.HHusky said: -
A mandatory withholding requirement that is 10% higher than the maximum tax rate? What law is that?CirrhosisDawg said:
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.HHusky said: -
Amen.jecornel said:
I'm not complaining this year......at all.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.
Passive rental activity changed, took a small hit there. But both State and Federal wage income and business revenue went down, considerably. -
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.HHusky said:
A mandatory withholding requirement that is 10% higher than the maximum tax rate? What law is that?CirrhosisDawg said:
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.HHusky said: -
I get that bonuses would have taxes withheld at the maximum tax rate. But the maximum tax rate is considerably lower than 50%.CirrhosisDawg said:
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.HHusky said:
A mandatory withholding requirement that is 10% higher than the maximum tax rate? What law is that?CirrhosisDawg said:
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.HHusky said: -
https://taxmap.irs.gov/taxmap/pubs/p15-006.htmHHusky said:
I get that bonuses would have taxes withheld at the maximum tax rate. But the maximum tax rate is considerably lower than 50%.CirrhosisDawg said:
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.HHusky said:
A mandatory withholding requirement that is 10% higher than the maximum tax rate? What law is that?CirrhosisDawg said:
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.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).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.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.
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.
