Re:My startup failed, then I found out I was unemployable
by whack on Tuesday April 13, 2021 @01:07PM
(#26795494)
The federal tax brackets are the same everywhere you go. If you're married and making 350k, most of your income will fall in the ~23% tax bracket. And a small portion will be taxed at 32%.
The main variable is state taxes. If you're living in California, most of your income will be taxed at ~9.3%. With a small portion taxed at 10.3%.
So your marginal tax rate will be 43%, and your overall tax rate will be closer to ~33%.
Nit: USA does not tax bonuses any differently from salary. They are both interchangeable, when computing taxes. Also, all income-percentile metrics in USA are based on pre-tax income, not post-tax.
Re:My startup failed, then I found out I was unemployable
by thebean11 on Tuesday April 13, 2021 @05:18PM
(#26799448)
I'm seeing 38% effective tax rate with 300k in CA all things considered. But anyway I agree, 50% of bonus doesn't reflect the total amount or the way things are taxed.
The main variable is state taxes. If you're living in California, most of your income will be taxed at ~9.3%. With a small portion taxed at 10.3%.
So your marginal tax rate will be 43%, and your overall tax rate will be closer to ~33%.
Nit: USA does not tax bonuses any differently from salary. They are both interchangeable, when computing taxes. Also, all income-percentile metrics in USA are based on pre-tax income, not post-tax.
https://taxfoundation.org/publications/federal-tax-rates-and...
https://www.nerdwallet.com/article/taxes/california-state-ta...