Dude I pay 25.7% of what I make to the government

[dullard]

Originally posted by: Demon-Xanth
dullard: That's why filing taxes at the end of the year is important, it irons all those kinks out.

Yes, but picture what happened to me a few years back.
1) Poor college student on stipend.
2) University goofs and forgets to pay me a paycheck.
3) Pay is only once a month, so missing one is bad enough.
4) Next month, they double the paycheck.
5) Double paycheck throws me from ~0% tax bracket well into the 25% bracket for that check.
6) So, when I finally get my check, there are hundreds of dollars in taxes withheld. Hundreds of dollars that I won't get for nearly a year until I file taxes.

Yes, it is ironed out in the end. But being without that money in the interim time can be difficult. It shouldn't be that way.

 

[EagleKeeper]

Originally posted by: 49erinnc

Originally posted by: A5

Originally posted by: 49erinnc
Can someone explain exactly how claims works? I'm single with no kids. Not even sure what I'm claiming now but I know that I always get a really big tax return each spring. Is there a happy median where I could collect more on each paycheck but still at least get a decent return? I don't want to pay taxes and I don't really want to break even. But I feel I'm having too much taken out, even though that big return each year is nice.

http://www.irs.gov/individuals/page/0,,id=14806,00.html

You want your tax refund to be as small of a positive number as possible - it's just an interest free loan to the government that you could have been making money on all year.

After you do that, you need to ask your employer to change your W4 to reflect the number of allowances listed on the last page.

Thanks! Will be reading that in a bit and making necessary adjustments. If my employer changes it, will it be effective for the upcoming pay period?

If you want to try to break even at the end of the year; take the amount of refund and divide by 2500.

Now increase your W4 exemptions by that number.

 

[waggy]

Originally posted by: Bateluer
We're just talking about federal income tax brackets here, right? In my home town, you have to pay Federal, state, city, and township taxes. In some cases, it could be a lot higher than 33%. But MI is so fvcked up right now because of their incompetent politicians.

There's also property taxes, sales tax, capital gains tax, etc, etc, etc, etc. The govt loves to invent new taxes, fees, and surcharges.

yeah if people really added up what they paid in tax's they would be amazed.

 

[TallBill]

Originally posted by: dmcowen674

Originally posted by: enwar3
Wow.. my first paycheck I paid 16%, and I was like oh well, but this last paycheck I missed out on 26%!!! Why does it change like that? And why me!!! I'm just 18....... =(

Start organizing young man.

Blah blah blah, I'm going to keep posting untill everyone knows that I'm a complete nutjob!

Fixed.

 

[Mxylplyx]

I'm sure all the unemployed welfare recipients and the politically connected millionaires appreciate your contributions.

 

[CPA]

Originally posted by: 49erinnc
Can someone explain exactly how claims works? I'm single with no kids. Not even sure what I'm claiming now but I know that I always get a really big tax return each spring. Is there a happy median where I could collect more on each paycheck but still at least get a decent return? I don't want to pay taxes and I don't really want to break even. But I feel I'm having too much taken out, even though that big return each year is nice.

You should ALWAYS want to break even or even play taxes.

 

[clickynext]

Don't move to Canada or you will face anguish and defeat.

 

[pyonir]

Originally posted by: TallBill

Originally posted by: dmcowen674

Originally posted by: enwar3
Wow.. my first paycheck I paid 16%, and I was like oh well, but this last paycheck I missed out on 26%!!! Why does it change like that? And why me!!! I'm just 18....... =(

Start organizing young man.

Blah blah blah, I'm going to keep posting untill everyone knows that I'm a complete nutjob!

Fixed.

Everyone already knows that...yet he hasn't stopped.

 

[azazyel]

Originally posted by: enwar3
Wow.. my first paycheck I paid 16%, and I was like oh well, but this last paycheck I missed out on 26%!!! Why does it change like that? And why me!!! I'm just 18....... =(

They didn't take 26%, they let you keep 74% of what you earned.

 

[RadiclDreamer]

Originally posted by: Pacfanweb

Originally posted by: LoKe
Just wait until they take nearly 50%.

Highest tax bracket is 35 percent, isn't it?

I think you'd find that each dollar you make is realistically taxed near 70 percent, by the time you figure up all the other taxes you pay besides income.

You are correct!

I also pay gas tax, cigarette tax, food tax, income tax, luxery tax, vehicle tax, personal property tax.

I am waiting for the day when my taxes are taxed

 

[Rubycon]

Originally posted by: CPA


You should ALWAYS want to break even or even play taxes.

Slick move.

 

[MrWizzard]

Originally posted by: Skyclad1uhm1

Originally posted by: jagec

Originally posted by: mooglemania85
looks like the government popped another cherry

LOL.

Remember, hundreds of people on welfare depend on you...

Not to mention that he has to help fund Bush' war against tourism. And in theory that he also helps pay for bridge maintenance :roll:

US taxes are extremely low compared to the Netherlands.

That was a rather poorly made point... Remember when you plant a tree it makes oxygen that terrorists might breath......

 

[NuroMancer]

Originally posted by: waggy

Originally posted by: Bateluer
We're just talking about federal income tax brackets here, right? In my home town, you have to pay Federal, state, city, and township taxes. In some cases, it could be a lot higher than 33%. But MI is so fvcked up right now because of their incompetent politicians.

There's also property taxes, sales tax, capital gains tax, etc, etc, etc, etc. The govt loves to invent new taxes, fees, and surcharges.

yeah if people really added up what they paid in tax's they would be amazed.

Yup, makes one want to cry.

 

[SpanishFry]

Originally posted by: azazyel

Originally posted by: enwar3
Wow.. my first paycheck I paid 16%, and I was like oh well, but this last paycheck I missed out on 26%!!! Why does it change like that? And why me!!! I'm just 18....... =(

They didn't take 26%, they let you keep 74% of what you earned.

brilliant!

 

[FoBoT]

welcome to real life

be sure to vote for people that want to take more of your money away from you and give it to other people

 

[azazyel]

Originally posted by: SpanishFry

Originally posted by: azazyel

Originally posted by: enwar3
Wow.. my first paycheck I paid 16%, and I was like oh well, but this last paycheck I missed out on 26%!!! Why does it change like that? And why me!!! I'm just 18....... =(

They didn't take 26%, they let you keep 74% of what you earned.

brilliant!

I can't really take credit for it, I got it from Ron Paul.

 

[nonameo]

The solution to the tax problem is to make as little as possible. Only earn what you really need

 

[oboeguy]

Originally posted by: Pacfanweb

Originally posted by: LoKe
Just wait until they take nearly 50%.

Highest tax bracket is 35 percent, isn't it?

I think you'd find that each dollar you make is realistically taxed near 70 percent, by the time you figure up all the other taxes you pay besides income.

Probably between 50% and 90%.

 

[rh71]

where's our free healthcare ?!

 

[heyheybooboo]

Welcome to reality, my friend!

The *cost* of living in the ol' USA ain't all that bad these days. Just wait until the bills come due!

It ain't the *welfare* that killin' yah but that $400 billion in interest the gov't pays each year on the federal debt. Only going up 30% by the time you're 21!!!

You now have the right in your adult lifetime to pay back the $9 trillion dollars in principle (plus interest!) as a result of 30 years of Reaganomics. The whinnig-a$$ Republlikins call this supply-side economics when they rob the US Treasury. It's actually Voodoo Economics and you are stuck with the bill!

Got Terror? Tax Cuts!
Got War ? Tax Cuts!
Crappy Roads? Tax Cuts!
Poor Schools? Tax Cuts!
More Guns? Tax Cuts!
Less Butter? Tax Cuts!
More Pork? Tax Cuts!

And thanks to your President and Congress nearly $3 TRILLION has been 'borrowed' from the Social Security Trust Fund to cover wars and tax cuts and what-not.

And in your lifetime you get to pay it all back - with interest! Thanks, Supply-Siders!

Have a great(ly reduced quality of) life!!

 

[Eeezee]

yeah but you'll probably get a fat paycheck from the IRS when tax season passes, since you won't owe anything

 

[SSSnail]

Originally posted by: Corporate Thug

Originally posted by: senseamp

Originally posted by: jagec

Originally posted by: mooglemania85
looks like the government popped another cherry

LOL.

Remember, hundreds of people on welfare depend on you...

I doubt that's the case if his combined tax rate is only 25%.

yup, and you need to make nearly 175k a year to get there...

BS, I paid ~31% in taxes and I'm no where near $175K a year (and that's Single and 1 exemption).

 

[ppdes]

Tax brackets really confused me at first. I thought if you moved into the 25% bracket you'd be paying 25% on everything. But it is really 25% on portion, then 15% on a portion, then 10% on a portion. Ruined some nice plans I had forming in my head to put just enough into pretax savings in order to get into a lower bracket, heh.

 

[IGBT]

..just wait till Mrs.Bill Clinton becomes pres. she'll take it all.

 

[Aikouka]

Eh, I pay about 33% of my paycheck in taxes but get a ton of money back at the end of the year . It's nice to get that and then say "damn, I can put this toward a loan or something", but you end up with a shiny new toy instead :evil:!