I get what they're saying, but we've had a tax code that punishes you for making more for as long as I've earned. That's going to be why no one really cares about this even though they should.
We don't have a tax code hitting levels of earning at 100 % or more, this is entirely different. Also, as someone who went from a household income of 20k to 200k in less than a decade, I wouldn't describe that climb as punishing. Higher rates for higher income brackets, but the cost of living was flat (relative to place/time) so the amount of savings and disposable income grew a LOT more than the tax rate differences on brackets. But I concede I may feel differently after a number of years at a relatively stable income level.
There's about to be a lot of bleed over on inflation too that can't be masked anymore. You're already seeing it in housing/property, cars, education, and raw goods. Shipping cost are at highs that we haven't seen since the 70's and will pushed on goods as soon as they can be by businesses. Food prices are about to go up as well which will hit the poorest the hardest.
Did you read the link? I wasn't complaining about graduated income tax levels. Oh, and congratulations on becoming rich.
That link doesn't work for me, but I am referring to the set of circumstances for households around 150k that will be taxed at about 100% of some earnings. I am unaware of that circumstance existing prior to this, so I guess I misinterpreted what you meant by punishing someone for making more for as long as you have earned? What did you mean by that? It's been interesting to go from getting shit for being broke to getting shit for not being broke. The only common denominator is me, so [uck fay] me I guess.
I think it's a great thing your wife was willing to bring her 180k to your 20k. Love, man. Beautiful.
Here you go. It's a quirk in the bill. Just an interesting one that I don't think anyone intended yet happened - https://www.forbes.com/sites/anthon...-tax-rates-for-some-families/?sh=8c39593279e0
When a big benefit (maybe as much as 7,000 for a family of 5) phases out over a 10,000 income range, it has to happen amd isn’t that surprising.
Ya, that's what I read. Hopefully they fix it, there are probably a lot of families that could fall into that spot and get screwed. Surely a mistake.
It is. The guy that wrote this was probably the first guy to put it all together and realize it. He's friggin' brilliant AND funny as heck.
Hence the catch - they shortened the phase out to appease the moderate democrats who said the levels were too high.
Well that was how the bill was written originally but it was a concession Biden agreed to when the bill went to the Senate.
an abstract value judgement, somebody should have checked the math of what was proposed as a fix before it went forward. need more detail oriented bill crafting.
Woukd it be possible to defer income to take advantage of such an odd occurrence (for example if you are close such as this 160k example).
Not really for the average person that's going to be in that range. You could defer some cap gain sales and the like, but that would be about it.
