• tate@lemmy.sdf.org
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    5 months ago

    I’m not saying you’re wrong - I completely agree with you. But I have been in the position where, if I made 10 dollars less I would have paid more than 100 dollars less in tax. That just comes from the infuriating discrete tax “tables,” instead of actually calculating the tax using a continuous formula.

    ETA: Apparently many here have never prepared their own tax return. Here is a sample of the tax table for 2023. The first two columns give a range of (adjusted) income, and the third is tax owed. Notice that someone who made $51,099 would pay $11 less in tax than someone who made just one dollar more. Admittedly that is less extreme that what I claimed above, but “back in the day” when I started paying taxes the tables went in much larger steps of income.

    • Liz@midwest.social
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      5 months ago

      I mean, I get it, but you could also just look at it like getting an exceptionally good deal right before you hit the next table row.

      • tate@lemmy.sdf.org
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        5 months ago

        Sure, but my point is that it is possible to make more money and then actually have less money because of taxes. It’s just not for the reason in OP’s post.