Tax Rates! YIKES!!!

[Mark42]

Finished doing Fed and State taxes tonight. Bottom line is this year my effective Federal tax rate has jumped from 8.3% last year to 11.6%!!!

Yep, about a 3.3% increase over last year, and I'm still in the same "Tax Bracket".

Hmmmm. Life is getting tougher.

 

[bitterboater]

Re: Tax Rates! YIKES!!!

I don't even look at my tax rate anymore, it makes me so flippin mad. I just do the math, write the check, and have a few beers to numb the pain.

 

[TilliamWe]

Re: Tax Rates! YIKES!!!

Move to Illinois, Mark. We just had our income tax raised from 3% to 5%.

 

[DECK SWABBER 58]

Re: Tax Rates! YIKES!!!

Move to Illinois, Mark. We just had our income tax raised from 3% to 5%.

And.......our Govenor just proposed another budget that spends more than we take in and borrowing more $$$$. AGAIN. :facepalm:

 

[JB]

Re: Tax Rates! YIKES!!!

Quit whining. In the 40s the tax rates on incomes over $200,000 were over 70%.

Big bux Hollywood stars financed WWII to the tune of up to 97% of their income.

Texas has no income tax on individuals. Only a sales tax.

 

[12vMan]

Re: Tax Rates! YIKES!!!

Texas has no income tax on individuals. Only a sales tax.

Texas really knew what they had to do to turn that state around. I heard it's goin nuts there.

 

[tx1961whaler]

Re: Tax Rates! YIKES!!!

If you want to feel better, look at the tax rates for other countries. Not too many fall below ours.
Wanna see the US rate in 1963? That's a Yikes!, but there were many loopholes.

 

[tx1961whaler]

Re: Tax Rates! YIKES!!!

Texas really knew what they had to do to turn that state around. I heard it's goin nuts there.

Texas never had a state tax. They have "done" nothing, which is both good and bad. Texas did not have a housing boom or bust like the rest of the country had, partially due to regulations put in place after a 1980's bust. Most of the freaky loans were not available here.

 

[12vMan]

Re: Tax Rates! YIKES!!!

Texas never had a state tax. They have "done" nothing, which is both good and bad. Texas did not have a housing boom or bust like the rest of the country had, partially due to regulations put in place after a 1980's bust. Most of the freaky loans were not available here.

Yea, I should have said what they had to not do....not having those loans available helped get them back on track faster too for sure. Houses didn't get as inflated.

 

[ezmobee]

Re: Tax Rates! YIKES!!!

I really can't complain too much about income tax rates. Property taxes on the other hand.......:facepalm:

 

[Summer Fun]

Re: Tax Rates! YIKES!!!

If I told you guys what I paid in last year you'll pass out from shock. .

The Brunswick stock i bought threw me into the shark tax tank .

Bought them at $1.20 a share and sold at $17.60.

 

[Mark42]

Re: Tax Rates! YIKES!!!

I have to look at the past returns in detail and compare to the current return to figure out why things are so far off. For the last 4 or 5 tax returns, my total effective tax has been between 7 and 8.3%. Now it jumps a lot, even though we are not in a new tax bracket. Funny thing is there are even MORE tax deductions this year due to college tuition costs being deducted, but over all I'm still paying more tax. I try to adjust W4 forms so at tax time I have to write a small check. Would rather send $400 than have the feds have a free loan from me. But this year, instead of the $400 or so, I owe $3600 in federal tax above what is already paid in. Holy Cow! That hurts. Have to take that money right out of retirement savings to pay that tax.

I guess the promises of no tax increases to the middle class were a bunch of bull.

 

[Summer Fun]

Re: Tax Rates! YIKES!!!

I owe $3600

I'd be happy as a pig in poop to pay that amount.

Add a few more zeros to that then you'll be crying as hard as me.

 

[angus63]

Re: Tax Rates! YIKES!!!

Like everyone, I do not enjoy paying taxes. About ten years ago, I started adjusting my W4 so I would have a return of a few thousand dollars every April. This money I would earmark for our summer vacation. This way it "feels" like the gov't is paying for my vacation and I know the money will be available to get away with the family. Plus it gives us something to do in March, when we start brainstorming and planning our vacation. Otherwise, doing my taxes would be just a chore...

 

[1980Coronado]

Re: Tax Rates! YIKES!!!

Just found out that the capital gains estimate we ran in December was too high and we overpaid...getting $1,900 back from the Fed.....we won't make that mistake next year. Saw a post complaining about a jump from 8.3 to 11.6% effective rate....it could be worse...mines over 14%.

 

[Mark42]

Re: Tax Rates! YIKES!!!

i'd be happy as a pig in poop to pay that amount.

Add a few more zeros to that then you'll be crying as hard as me.

ATTENTION!!!! ATTENTION!! RICH PERSON!!!! TAX AT THE MAX!!!! :d

 

[Mark42]

Re: Tax Rates! YIKES!!!

Seriously, as a family making the "middle class" income, why am I now paying 3.3% more in federal taxes than I did over the last few years? My family did not break into the next tax bracket, so the only reason I can come up with is the tax rate table is higher for my income this year than last. I am sure it was all over the TV news that the "middle class" was not going to be hit with tax increases this year.

2006, 2007, 2008 were great tax years compared to 1010.

As a "middle class" American, I have to pay premium prices to get my kids into average colleges, but I make too much for any college funding (other than to take loans). When you take into account that 1/3 of my income is taken in federal and state tax, plus what I pay into health benefits, I get to keep and run my house hold on 2/3 of what I earn. Not to mention the exorbitant real estate taxes we pay here in NJ. Thats another $8000 out the window that I am not including in the 1/3 estimate above. When all is said and done, nearly HALF my "middle class" income goes to taxes. Add in taxes for health insurance, taxes on disability insurance, disability insurance, Social Security, Unemployment insurance and I am sunk.

So if I adjust the W4 to spread $3600 over 26 weeks (my pay periods) that comes to $138 a pay lost to tax increases about every two weeks. About $280 a month.

And you wonder why i own a boat built in 1985 that I work on myself. I would love to have a new boat. Just have to live within my means.

Thank God the price of gas, electricity and food is going down...... Right?

 

[jkust]

Re: Tax Rates! YIKES!!!

Agreed on all of the above. In addition we pay quarterly income taxes so write 8 checks a year to the federal and state government then procede to watch the money get wasted while excuses are made. It seems they have become a charity intermediary that I don't need or want. In the 12 years since college we went from poor college kids to "millionaire business owners" with zero regard for the hard work it took to get here. My wife started and owns the business while I work as an executive for another private company but it seems even a modicum of success is highly penalized. They don't care for those not on the dole. I can never seem to get an answer when I ask how much of my income is enough for them to take? It seems people are finally waking up to what has been going on under their noses forever. Had everyone paid quarterly taxes, this wouldn't have taken so long.

 

[ezmobee]

Re: Tax Rates! YIKES!!!

Sorry guys.