View Single Post
Old 06-17-2008, 10:53 AM   #122
Schneed10
A Dude
 
Schneed10's Avatar
 
Join Date: Feb 2005
Location: Newtown Square, PA
Age: 46
Posts: 12,458
Re: Taxing the rich - what is the cutoff?

Quote:
Originally Posted by firstdown View Post
Also how many people making around 250,000 will decide that it does pay to make the 250,000 and instaed make 245,000 and still bring home more money then if they make $250,000. Heres the math. If a person makes 250,000 their additional tax is $7,000 which drops their pay to 243,000 and if they made $245,000 they do not have this additional tax. For people who have their own business they would just change how they pay themself. For the person who said they only work 2 months to pay taxes here is the math. Their tax bracket is around 33% and 33% of 12 months is 3.96 months or around $82,500 if making 250,000. If we jump that an additional 3% now they are working 4.32 months to pay taxes. I just feel thats not fair.
Bad math, but I suspect just about everyone in this thread is making the same mistake.

They would tax an additional 3% only on the amounts beyond $250K.

So if you make exactly $250K, your tax is not affected. If you make $251K, they take 3% of the money BEYOND $250K. So it would be 3% of $1000. Or $30 extra.

That's the biggest reason why those making $250K wouldn't feel it at all. If you make $500K, you're going to feel an appreciable difference in your tax bill, but you make so darn much it wouldn't be a problem.
__________________
God made certain people to play football. He was one of them.
Schneed10 is offline   Reply With Quote

Advertisements
 
Page generated in 0.70394 seconds with 10 queries