canyonwalker (![[personal profile]](https://www.dreamwidth.org/img/silk/identity/user.png)
canyonwalker) wrote2025-04-14 09:12 pm
canyonwalker) wrote2025-04-14 09:12 pm
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Taxes: Paid. 19%.
The deadline to file income taxes in the US is April 15. Tomorrow. I beat the rush by filing mine yesterday, April 13. 😂
No, I'm not one of those people who procrastinates on taxes until the last minute. I started working on my taxes in February and finished them in March. The only difference was I waited until now to submit the forms— and the payments.
One thing I look at each year is what my effective tax rate is. It's interesting because if you ask people who are middle class or upper middle class, you'll hear a lot of off the cuff answers like, "My tax rate is 33%" or "40%", or higher. The fact is most people way overestimate how much they're taxed. And it's not like it's hard to find the actual figure. Look at your AGI and your total tax owed. Both numbers are right there on your Form 1040. All that's left is to divide one by the other. My overall federal tax rate for last year was just under 19%.
"19%?" you might ask, "What are you, poor? Or a tax cheat?" Neither. It's a legit figure. And no, I haven't found some crazy tax loophole that lets me cut my taxes in half. My 19% overall rate is likely higher than what most Americans pay.
People talking about tax rates of 33%, 40%, etc. aren't sharing actual results, they're just repeating figures they've heard from others— numbers they don't really understood and come primarily from political arguments. It's popular to complain taxes are too high. I mean, who wants to say, "Please tax me MORE"? Okay, billionaire Warren Buffett kind of does; but he's the exception that proves the rule. 😅
No, I'm not one of those people who procrastinates on taxes until the last minute. I started working on my taxes in February and finished them in March. The only difference was I waited until now to submit the forms— and the payments.
One thing I look at each year is what my effective tax rate is. It's interesting because if you ask people who are middle class or upper middle class, you'll hear a lot of off the cuff answers like, "My tax rate is 33%" or "40%", or higher. The fact is most people way overestimate how much they're taxed. And it's not like it's hard to find the actual figure. Look at your AGI and your total tax owed. Both numbers are right there on your Form 1040. All that's left is to divide one by the other. My overall federal tax rate for last year was just under 19%.
"19%?" you might ask, "What are you, poor? Or a tax cheat?" Neither. It's a legit figure. And no, I haven't found some crazy tax loophole that lets me cut my taxes in half. My 19% overall rate is likely higher than what most Americans pay.
People talking about tax rates of 33%, 40%, etc. aren't sharing actual results, they're just repeating figures they've heard from others— numbers they don't really understood and come primarily from political arguments. It's popular to complain taxes are too high. I mean, who wants to say, "Please tax me MORE"? Okay, billionaire Warren Buffett kind of does; but he's the exception that proves the rule. 😅