Your tax bracket is your marginal rate -- the rate you pay on income between the bottom end of the bracket and your last dollar. Income on the earlier brackets was taxed at the lower rates.
-
-
Show this thread
-
This math misconception causes a bunch of terrifying folk beliefs about tax minimization, most dangerously "I do not want to receive a raise because then I'd be pushed into a higher tax bracket."
Show this thread -
It is impossible in the US tax system to earn an extra dollar and have your post-tax implication of that extra dollar be negative... if you're middle class or above. (It is, regrettably, very possible to have this happen if you're receiving public benefits.)
Show this thread
End of conversation
New conversation -
-
-
Generally, if you receive non-monetary compensation from an employer, you are taxed on the fair market value of that compensation. There is, currently, an exception for tuition waivers from universities. The new tax plan removes that exception. Tuition is $$$.
-
Are tuition rates actual "fair market value"? How many people actually pay that? (Honest question, I have no idea.) Tuition "value" seems a lot like a list price. Very few people pay the list price, it's meant to make the sale price look like a good deal.
- 1 more reply
New conversation -
-
-
This doesn’t make much of a difference here, does it? They’re actually in the ballpark at 25% for everything.
-
Proposal has 25% kick in at 45k right? and 12% below that? So they're off by 45k * (25% - 12%) = $5,850
- 2 more replies
New conversation -
-
-
Leaving aside the tax bracket issue, doesn't the USA have tax credits for tuition fees? I'm assuming that if the IRS treats "waived fees" as income, it would also be treated as fees paid.
-
I think those are fairly limited and only apply to undergrad tuition, or something?
- 1 more reply
New conversation -
-
-
I think you both may be confusing lack intelligence and ignorance. I know about the marginal stuff. I’m not smart. The vs is just as possible.
Thanks. Twitter will use this to make your timeline better. UndoUndo
-
Loading seems to be taking a while.
Twitter may be over capacity or experiencing a momentary hiccup. Try again or visit Twitter Status for more information.