Poll: Your 2021 Taxes Federal Tax Rate

[tmm99]

But it includes your health insurance as well.

Here in USA , and on Medicare the cost is $6,700 for a couple, which is about 8.6% of a $78,000 income.

Yeah there is always that... So basically, there is no "free" healthcare...

 

[Gumby]

Our pension and SS income put us in a combined fed/state marginal bracket of 27.5% right out of the gate, so any money coming out of tIRA/401k is taxed at 27.5%. And that constitutes the majority of our portfolio. Our Roths are only about 11% of portfolio and after tax is about 20%. Still, I can't complain too much. The money we contributed to those tIRA/401k accounts would have been taxed at a combined rate of 33.5% minimum, and in some years at 47.6%

 

[PointBreeze]

2.90% - LBMM and aggressively managing my MAGI to keep my ACA premiums low.

 

[kcowan]

Yeah there is always that... So basically, there is no "free" healthcare...

And there are also extra taxes on liquor/wine, gasoline, home heating fuel, and tobacco to cover social services. Hard to compare state to state (province).

 

[Koolau]

But it includes your health insurance as well.

Here in USA , and on Medicare the cost is $6,700 for a couple, which is about 8.6% of a $78,000 income.

Where does the $6700 figure come from? Are you including more than the monthly premium? If I figured it correctly that would be about $4100. What am I missing?

 

[Koolau]

Yeah there is always that... So basically, there is no "free" healthcare...

Please forgive me for repeating myself - as I've said this before on the forum: There is NO free healthcare, anywhere. It's only a question of who pays and who doesn't. Returning you now...

 

[TheWizard]

Where does the $6700 figure come from? Are you including more than the monthly premium? If I figured it correctly that would be about $4100. What am I missing?

That $4100 is just for Part B.
Part D for prescription drugs is what you're missing...

 

[Koolau]

That $4100 is just for Part B.
Part D for prescription drugs is what you're missing...

Thanks for the clarification. We don't do that so I guess YMMV.

 

[tmm99]

And there are also extra taxes on liquor/wine, gasoline, home heating fuel, and tobacco to cover social services. Hard to compare state to state (province).

True, some consumer products are very expensive here. Huge import fees as well.

 

[tmm99]

Please forgive me for repeating myself - as I've said this before on the forum: There is NO free healthcare, anywhere. It's only a question of who pays and who doesn't. Returning you now...

Yep, you can say that again. (I agree!!)

 

[Sunset]

Where does the $6700 figure come from? Are you including more than the monthly premium? If I figured it correctly that would be about $4100. What am I missing?

That $4100 is just for Part B.
Part D for prescription drugs is what you're missing...

I just used our numbers: Part B and included the supplemental part G

(170×12)+(110×12) x 2 people = $6,720 I might be off a few dollars but close enough.

Adding Part D this year for both would make the total: $7,000

It's true the bare medicare number is much less, but I'm not going to take the unlimited risk of not having the 20% covered, so in my mind its all part of being on Medicare.

 

[Out of Steam]

Our later working years put us into the 39% bracket, so doing Roth conversions to the top of the 24% bracket and even into the 32% bracket works for us.

Because my wife is working more than expected, my Roth conversion will be mostly at the 22% tax rate for 2022. I'm still comfortable with it still being a good idea, mostly because of IRMAA for the survivor of either my wife or I. IRMAA would never be a thing for us as a couple under current rules.