“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.
“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.
“About” 480. Like I said. So what was the problem?
“About” 480. Like I 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.
I would like to take this opportunity to thank President Trump for lowering the amount of taxes that are extorted from me annually.
“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?
“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.
“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%.
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.
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.
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).
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.
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.
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.
