Comments on: Who pays the highest tax? http://www.rocketfinance.net/2008/08/17/who-pays-the-highest-tax/ Finance is not rocket science, unless it is government finance. Sat, 05 Jun 2010 22:48:26 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: rocketchttp://www.rocketfinance.net/2008/08/17/who-pays-the-highest-tax/#comment-18531 rocketc Wed, 28 Jan 2009 18:33:49 +0000 http://www.rocketfinance.net/?p=415#comment-18531 It's been a while . .. Jim, I think your numbers are more accurate than mine. Living, that is a good idea, but it might be a wash - I have two thoughts: Almost no family of four could afford to live in NJ or Conn on $50K. The high property and state taxes in WI almost make it comparable. It’s been a while . .. Jim, I think your numbers are more accurate than mine.

Living, that is a good idea, but it might be a wash – I have two thoughts:

Almost no family of four could afford to live in NJ or Conn on $50K.

The high property and state taxes in WI almost make it comparable.

]]> By: LivingAlmostLargehttp://www.rocketfinance.net/2008/08/17/who-pays-the-highest-tax/#comment-8720 LivingAlmostLarge Tue, 19 Aug 2008 15:07:17 +0000 http://www.rocketfinance.net/?p=415#comment-8720 Why not consider a higher cost of living in the US when comparing? Like NJ or Conn? Why not consider a higher cost of living in the US when comparing? Like NJ or Conn?

]]> By: Jimhttp://www.rocketfinance.net/2008/08/17/who-pays-the-highest-tax/#comment-8666 Jim Mon, 18 Aug 2008 23:27:12 +0000 http://www.rocketfinance.net/?p=415#comment-8666 Your fed income tax rate looks high to me. How did you get that figure?? With $50k in income a family of 4 would have a standard deduction of $10,700 and exemptions of 4x $3400 each for $24300 in deductions. That would make taxable income $25,700. Tax on that is $3,076. Then minus $2000 in child credits would give a federal bill of $1,076. Jim Your fed income tax rate looks high to me. How did you get that figure??

With $50k in income a family of 4 would have a standard deduction of $10,700 and exemptions of 4x $3400 each for $24300 in deductions. That would make taxable income $25,700. Tax on that is $3,076. Then minus $2000 in child credits would give a federal bill of $1,076.

Jim

]]> By: rocketchttp://www.rocketfinance.net/2008/08/17/who-pays-the-highest-tax/#comment-8647 rocketc Mon, 18 Aug 2008 18:07:06 +0000 http://www.rocketfinance.net/?p=415#comment-8647 home businesses are pretty easy . . . if you do anything to generate income from you home, you can report it and use the deductions. blogging, babysitting, and more are all examples of easy home businesses. home businesses are pretty easy . . . if you do anything to generate income from you home, you can report it and use the deductions. blogging, babysitting, and more are all examples of easy home businesses.

]]> By: deepalihttp://www.rocketfinance.net/2008/08/17/who-pays-the-highest-tax/#comment-8642 deepali Mon, 18 Aug 2008 16:44:57 +0000 http://www.rocketfinance.net/?p=415#comment-8642 Another tax issue would be dividends/interest/capital gains tax... And how easy is it to start a home business? I am skeptical. :) Can I suggest a followup? It would be interesting to also see what people spend money on in the US vs the UK. IE, how much is a mortgage payment, what is spent on healthcare, etc... since cost of living is coming up as an issue... Another tax issue would be dividends/interest/capital gains tax…

And how easy is it to start a home business? I am skeptical. :)

Can I suggest a followup? It would be interesting to also see what people spend money on in the US vs the UK. IE, how much is a mortgage payment, what is spent on healthcare, etc… since cost of living is coming up as an issue…

]]> By: rocketchttp://www.rocketfinance.net/2008/08/17/who-pays-the-highest-tax/#comment-8634 rocketc Mon, 18 Aug 2008 13:46:02 +0000 http://www.rocketfinance.net/?p=415#comment-8634 and which country's tax rates are the most "progressive" meaning the rate increases as income levels increase. I know that WI taxes are some of the most progressive in the nation. Not sure how progressive the UK's rates are. and which country’s tax rates are the most “progressive” meaning the rate increases as income levels increase. I know that WI taxes are some of the most progressive in the nation.

Not sure how progressive the UK’s rates are.

]]> By: Deamiterhttp://www.rocketfinance.net/2008/08/17/who-pays-the-highest-tax/#comment-8630 Deamiter Mon, 18 Aug 2008 12:41:04 +0000 http://www.rocketfinance.net/?p=415#comment-8630 As plonkee noted, the cost of living is higher in the UK so the comparison might not be entirely valid (even if you did think of everything...) I'd be very interested to see the tax rates for both country's median incomes -- maybe I'll have to crunch some numbers for myself! Very interesting stuff -- thanks for the article! As plonkee noted, the cost of living is higher in the UK so the comparison might not be entirely valid (even if you did think of everything…)

I’d be very interested to see the tax rates for both country’s median incomes — maybe I’ll have to crunch some numbers for myself!

Very interesting stuff — thanks for the article!

]]> By: plonkeehttp://www.rocketfinance.net/2008/08/17/who-pays-the-highest-tax/#comment-8620 plonkee Mon, 18 Aug 2008 11:30:14 +0000 http://www.rocketfinance.net/?p=415#comment-8620 Brilliant. As with the US, here in the UK you can reduce your tax liability by contributing to a pension, but there's no mortgage interest deduction. In any case, the tax burdens are surprisingly similar but of course they cover slightly different things. And it's generally accepted that the cost of living is higher in the UK - your spending money wouldn't buy as much here. Brilliant.

As with the US, here in the UK you can reduce your tax liability by contributing to a pension, but there’s no mortgage interest deduction.

In any case, the tax burdens are surprisingly similar but of course they cover slightly different things. And it’s generally accepted that the cost of living is higher in the UK – your spending money wouldn’t buy as much here.

]]> By: rocketchttp://www.rocketfinance.net/2008/08/17/who-pays-the-highest-tax/#comment-8589 rocketc Mon, 18 Aug 2008 04:28:13 +0000 http://www.rocketfinance.net/?p=415#comment-8589 There are so many details in the US tax code. I just remembered that I did not allow for the deductions of mortgage interest . . . I don't think it would take much to make this person's federal tax liability "0". There are so many details in the US tax code. I just remembered that I did not allow for the deductions of mortgage interest . . . I don’t think it would take much to make this person’s federal tax liability “0″.

]]> By: bluntmoneyhttp://www.rocketfinance.net/2008/08/17/who-pays-the-highest-tax/#comment-8582 bluntmoney Mon, 18 Aug 2008 02:56:05 +0000 http://www.rocketfinance.net/?p=415#comment-8582 Fun post! I enjoyed the comparison between your fictional Wisconsin family and Plonkee's fictional British family. As you noted though, I think it's pretty hard to compare since so much changes based on where you live in the U.S., especially with regard to sales taxes and property taxes. Fun post! I enjoyed the comparison between your fictional Wisconsin family and Plonkee’s fictional British family. As you noted though, I think it’s pretty hard to compare since so much changes based on where you live in the U.S., especially with regard to sales taxes and property taxes.

]]>