People who make $250,000 or more a year can afford a tax hike.

Re:People who make $250,000 or more a year can afford a tax ... by encoderer on Friday February 05, 2010 @06:28PM (#1105261)

That story about the secretary? That is completely contrary to the way a marginal income tax actually works.

There is no way, in the American progressive tax system, to get a raise, be moved into a higher tax bracket, and end up taking home less money. It's just not possible.

@ryanwaggoner - correct, ty.

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Re:People who make $250,000 or more a year can afford a tax ... by ryanwaggoner on Friday February 05, 2010 @06:32PM (#1105277)

Actually, it's contrary to the way a marginal income tax works.

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Re:People who make $250,000 or more a year can afford a tax ... by SamAtt on Sunday February 07, 2010 @11:25PM (#1108940)

It can if you combine a marginal Federal Tax with a State Flat Tax. Not all tax systems are progressive

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Re:People who make $250,000 or more a year can afford a tax ... by encoderer on Monday February 08, 2010 @03:36PM (#1110610)

Ok, I'll bite... How?

A state flat tax will tax this new raise at the same flat rate as all the existing pay.

The marginal federal tax will tax the new raise, in your scenario, at the new, higher tax bracket.

But your scenario would have the gov't taxing this new cash into the red, reducing her take home pay. That's not gonna happen. Period.

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