Toast
Thinks s/he gets paid by the post
Federal is 12.04%
Line 24 will include the SE tax, yes. So you could use Line 22 (edited out 23) for the numerator if you want to exclude it.This method includes SE tax, which is misleading, IMO.
I don't know the exact way TT comes up with ETR, but somewhere they remove SE tax.
Yes and no. It's all Form 1040. QBI and SE Health Insurance deductions somewhat offset it and they are for SE only too.
Without SE tax I'm about 10%.
Don't forget all the other taxes we pay. Property tax, gas tax, sales tax, fees, the list goes on. One of these days I'd like to calculate my overall gross tax rate. I imagine that would only tick me off.
Here's what I'd like to see: Itemize each of those state, federal and local taxes and fees on one document. We'd know exactly where the money is going, and who's got their hands in our pockets. Send us the bill once a year...
The day before election day.
Problem solved. You're welcome.
These kind of threads depress me when I see all these other FIRE'd folks report.
Using the Line 24 / Line 11 methodology, for 2022: 18.2%
Just finished.
18.61
No exactly sure how to figure this out. If just taxes due divided by AGI then it's 11.5%. However my AGI was just $1782. I got a big Homestead credit so my refunds divided by my AGI give me a -64% tax rate. One small benefit of being relatively poor. I would still trade with anyone on here though.
HMMmmmm. I've been "rich" and I've been "poor." Rich is better - even if I have to pay ridiculous taxes. At least I'm glad you do well on the tax game.
I made a huge entry error on a spreadsheet that I use to calculate estimated tax payments. We did three Roth conversions and in one entry I inadvertently entered the total of all three conversions. Add to that a large tax credit we’re getting because of a late summer decision to install solar on our house. We’re getting a huge refund this year.
I feel "better" now.
We did some Roth Conversions, so were 18.5% of AGI for federal income tax, but I also worked part time, so adding taxes for SS and medicare, boosts it to 22.2%.
If you look at the sum of all taxes compared to our after-tax spend (taking a SWAG at sales taxes), our total taxes were 1.4 times our after-tax spending. Apparently we need a lot of governing.