Democrats and Raising Taxes

[Shad]

And I am stating the fact I am not taxed as high as I was in Indiana. It is no error or mistake.

Which could be due to rebates, deductions or lower income which could be a problem with your accountant. The tax rates in Cali are still higher.

 

[Shadow Wolf]

The tax rates in Cali are still higher.

As I've been saying, not for everyone. As I've been saying, I am paying less in taxes here. Keep going on about it being higher all you want, but the hard facts are I will have to make more money here than I could have in Indiana before I'm taxed again at the rate Indiana taxed me, a rate that did not change whether or not I was working in a gas station, warehouse, or white collar professional (the pay rates were very different, though).

 

[Shad]

As I've been saying, not for everyone. As I've been saying, I am paying less in taxes here. Keep going on about it being higher all you want, but the hard facts are I will have to make more money here than I could have in Indiana before I'm taxed again at the rate Indiana taxed me, a rate that did not change whether or not I was working in a gas station, warehouse, or white collar professional (the pay rates were very different, though).

Tax brackets indicate otherwise. Do not confuse rates with deductions and returns.

 

[Shadow Wolf]

Tax brackets indicate otherwise. Do not confuse rates with deductions and returns.

Fine, I forgot, you who know nothing of my finances or income and who did not review my taxes and know nothing of my tax burdens and has not even seen one of my pay stubs from either state know better than I, the one who keeps track of these things.

 

[SoyLeche]

Tax brackets indicate otherwise. Do not confuse rates with deductions and returns.

2019 State Income Tax Rates | Credit Karma Tax®

Looking at these, I’d guess that under about 50,000 filing individually or 90,000 filing jointly, California would be less in taxes using just the standard deduction.

I’d have to pull out excel to check for sure.

 

[Shadow Wolf]

2019 State Income Tax Rates | Credit Karma Tax®

Looking at these, I’d guess that under about 50,000 filing individually or 90,000 filing jointly, California would be less in taxes using just the standard deduction.

I’d have to pull out excel to check for sure.

Thank you. It's not often people accept what I have to say and don't try to challenge it and deny what is a fact in my bank accounts.

 

[SoyLeche]

Thank you. It's not often people accept what I have to say and don't try to challenge it and deny what is a fact in my bank accounts.

Of course, that’s just income tax, which seemed to be what was being discussed. I have no idea how sales tax, property tax, gas tax, etc would impact the numbers.

 

[SoyLeche]

Ok, fine.

sales tax: about the same - Cali 0.25% higher

Property tax: rate is higher in Indiana

Gas tax: Cali 15 cents higher with a 2.25% sales tax on top of that, but Indiana has a 7% sales tax on top of theirs, so Cali probably is higher overall, but it’s not entirely clear to me.

 

[Shadow Wolf]

Of course, that’s just income tax, which seemed to be what was being discussed. I have no idea how sales tax, property tax, gas tax, etc would impact the numbers.

Gas tax is pretty high (Not too far ahead of Pennsylvania and Illinois), sales tax is 1% higher than Indiana, and property tax here is weird in that it's locked in at the rate of the value when the property was sold, changing only when the property is sold again. In theory, this makes the taxes much lower for older house owners while making it higher for new house owners. As for income, it is noticeably lower for me. So much less that I basically come out on top as I still have money left over after paying other taxes (with gas being the only real noticeable one - though not too terribly much as gas here is only about 50 cents/gallon more here than it is in Indiana). Add on top of that how much more money I make here than I did in Indiana (even after all my expenses, something else I often have to argue with people who have zero access to my bank accounts), and as far as the money in my purse and "spending account" are concerned, here I come out way ahead. So many people do not want to hear that though, will not accept it, and have to keep arguing it even after I've corrected them and assured them my numbers are accurate, carefully checked and considered, reviewed and reviewed again, and carefully kept and organized, and I have taken this and that into consideration. People keep telling me I'm going to hate the state at tax time, but I've been through tax time twice here and both times got worked up for nothing. (Truth be told, Uncle Sam is a bigger tax burden on me than California, especially before deductions)

 

[Shad]

Fine, I forgot, you who know nothing of my finances or income and who did not review my taxes and know nothing of my tax burdens and has not even seen one of my pay stubs from either state know better than I, the one who keeps track of these things.

Are you in the poverty range? That would be the only bracket which is lower than Indy's flat rate

 

[Shad]

2019 State Income Tax Rates | Credit Karma Tax®

Looking at these, I’d guess that under about 50,000 filing individually or 90,000 filing jointly, California would be less in taxes using just the standard deduction.

I’d have to pull out excel to check for sure.

A deduction is not a tax rate.

 

[SoyLeche]

A deduction is not a tax rate.

I’m not sure you understand how to calculate taxes.

 

[Shad]

I’m not sure you understand how to calculate taxes.

The deduction has no effect unless you qualify. Indiana has tax deductions too.

 

[SoyLeche]

The deduction has no effect unless you qualify. Indiana has tax deductions too.

Yeah, you don’t understand.

I can write up a longer post about it and use excel to figure out the exact crossover points if you like.

 

[SoyLeche]

2019 State Income Tax Rates | Credit Karma Tax®

Looking at these, I’d guess that under about 50,000 filing individually or 90,000 filing jointly, California would be less in taxes using just the standard deduction.

I’d have to pull out excel to check for sure.

I haven't done the full-on Excel analysis yet, but a few quick calculations show me that my estimates were pretty good. It's closer to 45K for filing individually, but 90K looks about right for filing jointly.

 

[SkepticThinker]

Yeah, Trump used some for the wall, because the stiff-necked liberals wouldn't fund it. They prefer illegal aliens and criminal sanctuary cities instead of protecting Americans.

Wait a minute here, so are they"tax and spend" liberals or "stiff-necked" liberals??
Make up your mind.

 

[Shadow Wolf]

Are you in the poverty range?

Not anymore.

 

[SoyLeche]

A deduction is not a tax rate.

OK, for fun.

Here's the basic way to calculate taxes using the standard deduction.

Let's say you make $50,000. The standard deduction is $5,000. That makes your taxable income $50,000 - $5,000 = $45,000.

Let's make up some tax brackets:

$0-$10,000: 1%
$10,001-$25,000: 2%
$25,001-$50,000: 3%

To figure out the tax owed, you compare your taxable income to the brackets.

45,000 > 10,000, so the first 10,000 is taxed at 1% = $100
45,000 > 25,000, so the amount BETWEEN 10,000 and 25,000 is taxed at 2%, so $15,000 x 0.02 = $300
45,000 < 50,000, so the amount above 25,000 is taxed at 3%: 45,000 - 25,000 = 20,000. $20,000 x 0.03 = $600

So, the total amount paid in taxes = $100 + $300 + $600 = $1,000

That's how it's done in California (although with different, less pretty, numbers).

Indiana is simpler. No standard deduction, and a flat rate of 3.23%.

Now that you know how to do it, you can apply the process to the actual numbers and find the following:

For a gross income of $45,000:
Indiana: $1,453.50
California (filing individually): $1,436.55
California (filing jointly): $608.37

For a gross income of $90,000:
Indiana: $2,907.00
California (filing individually): $5,735.45
California (filing jointly): $2,873.17

Feel free to check my math.

 

[Shadow Wolf]

OK, for fun.

Here's the basic way to calculate taxes using the standard deduction.

Let's say you make $50,000. The standard deduction is $5,000. That makes your taxable income $50,000 - $5,000 = $45,000.

Let's make up some tax brackets:

$0-$10,000: 1%
$10,001-$25,000: 2%
$25,001-$50,000: 3%

To figure out the tax owed, you compare your taxable income to the brackets.

45,000 > 10,000, so the first 10,000 is taxed at 1% = $100
45,000 > 25,000, so the amount BETWEEN 10,000 and 25,000 is taxed at 2%, so $15,000 x 0.02 = $300
45,000 < 50,000, so the amount above 25,000 is taxed at 3%: 45,000 - 25,000 = 20,000. $20,000 x 0.03 = $600

So, the total amount paid in taxes = $100 + $300 + $600 = $1,000

That's how it's done in California (although with different, less pretty, numbers).

Indiana is simpler. No standard deduction, and a flat rate of 3.23%.

Now that you know how to do it, you can apply the process to the actual numbers and find the following:

For a gross income of $45,000:
Indiana: $1,453.50
California (filing individually): $1,436.55
California (filing jointly): $608.37

For a gross income of $90,000:
Indiana: $2,907.00
California (filing individually): $5,735.45
California (filing jointly): $2,873.17

Feel free to check my math.

I'm going to have to check my math again, because I had thought $30,000 would bring me back to an Indiana tax rate. But, either way (and I only did a quick look, quick numbers, and very rough estimates), 30 or 45 grand, that's doable for me here, not so much in Indiana. (Indiana wages are so abysmal and poor that in just one weekend (Fri/Sat) driving Lyft here I can make about 2/3 or more of what I made in two weeks as a mental health professional in Indiana doing case management and working with child services - this is after expenses)