2019 Effective Federal income tax rate

[Dash man]

I was pleasantly surprised at my effective tax rate of 6.08% on my 2019 federal taxes. I had about $57k of dividends taxed at 0%. This is the lowest effective tax rate I can ever recall paying. We had enough deductions to itemize again this year, so that helped a lot.
Anyone else care to share?

 

[pb4uski]

6.82%.... but only $14k of qualified dividends and LTCG.... std deduction.

ETA: 12% marginal rate.

 

[RetireAge50]

2.3% Effective
24.5% Marginal

 

[LadyGaga]

42% eff tax rate

 

[teejayevans]

42% eff tax rate

I have bad news for you, it’s probably only going to go up after next election.

P.S. I liked your rendition of national anthem.

 

[LadyGaga]

I have bad news for you, it’s probably only going to go up after next election.

I am googling tax dodging more and more nowadays.

 

[Dash man]

42% eff tax rate

Ouch! That had to hurt! The worst case for us in our w*rking days was ~35%.

 

[target2019]

42% eff tax rate

I have bad news for you, it’s probably only going to go up after next election.

P.S. I liked your rendition of national anthem.

I am googling tax dodging more and more nowadays.

Ouch! That had to hurt! The worst case for us in our w*rking days was ~35%.

Why ruin the thread with fake news political commentary?

 

[target2019]

I was pleasantly surprised at my effective tax rate of 6.08% on my 2019 federal taxes. I had about $57k of dividends taxed at 0%. This is the lowest effective tax rate I can ever recall paying. We had enough deductions to itemize again this year, so that helped a lot.
Anyone else care to share?

These are from TurboTax Hostory Report (which may be off as I've hear recently:
2015, 9.99 (15%)
2016, 12.53 (25%)
2017, 11.33 (25%)
2018, 11.19 (22%)
2019, 8.54 (22%)

Those five years sure were interesting...in 2019 my income dropped to part-time and that had an obvious effect.

 

[FANOFJESUS]

4% Effective

 

[GalaxyBoy]

6.3% including maxing out the 12% bracket with a Roth conversion.

 

[ShokWaveRider]

7.32% Effective.

 

[jimbee]

6.8% effective federal tax rate.

 

[Alan]

8.76% Effective.

 

[CardsFan]

5.8% also maxing out the 12% bracket with Roth conversions

 

[RunningBum]

0% federal.

 

[USGrant1962]

25% state and Federal income tax - self employment tax on my part time consulting gig is a killer.

Add in property tax and sales tax and it is north of 30%. I'm sure OP means "effective INCOME tax rate" but that is hardly the whole taxation story.

 

[calmloki]

20.13% effective Federal tax rate for 2019. Somebody has to pay the bill to keep the lights burning.

 

[jkern]

2.8% effective tax rate for Federal Income Tax. Unfortunately, I have a 42% effective tax rate for Property Tax.

 

[Dash man]

25% state and Federal income tax - self employment tax on my part time consulting gig is a killer.



Add in property tax and sales tax and it is north of 30%. I'm sure OP means "effective INCOME tax rate" but that is hardly the whole taxation story.

Yes, I specified Federal tax, meaning Federal Income tax.

 

[Alan]

Yes, I specified Federal tax, meaning Federal Income tax.

I fixed the thread title for you to make it clear.

 

[aaronc879]

42% eff tax rate

I can only dream of being taxed that much. It would mean I make a crazy high income.

 

[aaronc879]

25% state and Federal income tax - self employment tax on my part time consulting gig is a killer.

Add in property tax and sales tax and it is north of 30%. I'm sure OP means "effective INCOME tax rate" but that is hardly the whole taxation story.

Self employment tax is an absolute killer. I Gross around $20K and net around $15K and have to pay over $2K on self employment tax. I can get Federal down to zero and State is only around $100 but self employment is a killer for lower income people.

 

[Dash man]

I fixed the thread title for you to make it clear.

Thank you!

 

[Sojourner]

17.5% effective federal, due to a one-off, sizable NIIT hit last year. I'm expecting a substantially lower rate for tax year 2020, probably closer to about 9%.