NE Mo | HuskerJ - 3/16/2024 23:22
No, it's more like prepaying some seed or fertilizer to minimize your tax bill.
HuskerJ
Posted 3/15/2024 14:06 (#10666201 - in reply to #10666155)
Subject: RE: Are high wage earners paying enough taxes? Quote Reply Alert
East of Broken Bow They already kind of do that.
Most years, I sit on the threshold of both the next tax bracket as well as the next Obamacare price bracket.
They say they are making it a bit more progressive, and less of a sharp cut-off as far as the Obamacare out of pocket costs, but anyway, to the jist of what I am getting at.
Last year, had I made 20K more 'income' I would have paid more than 18K of that in the form of taxes and extra Obamacare costs. Without divulging my income, I will say that most years I get a good chunk of my wife's withholdings back as a refund, and occasionally with 2 kids and Earned Income Credit, I get a little more, so I am far from a high wage earner. The problem is, there is little to no incentive for me to increase my income unless they change something. Why would I take the risk and do the work renting the 80 down the road, when pretty much any extra income from it will disappear.
Now, if I make 50K more income, I get to keep around 15K of it, and if I make 100K more income, I get to keep over 40K. The income tax is not the problem, it is the Obamacare costs. If we want the low income people to rise to the middle, that needs to be less of a problem. (All these numbers were from last year's tax planning as best I can remember them).
Sounds more like only working hard enough to make sure you can "let" other tax payers pick up your health insurance. And in my quick research I have a hard time finding where in the scale your scenario plays. I am honestly interested in the math if you could expound. https://www.kff.org/affordable-care-act/issue-brief/explaining-health-care-reform-questions-about-health-insurance-subsidies/ |
Explain to me
