State of the Union Address 2019

[BigRed]

Legalized plunder; nothing more.

 

[KLB]

I am confused. You want a return. I would go for the lets break even part. You do not get to keep my money interest free and then make me jump all these hurdles and loopholes to get my money back.

Return. Trying to remember our last one and danged if I can.

I remember the first tax bill after my wife and I got married. We were both well established in our careers and all of our children are grown. We learned about the marriage penalty first hand. Ouch.

 

[2A_Tom]

I am confused. You want a return. I would go for the lets break even part. You do not get to keep my money interest free and then make me jump all these hurdles and loopholes to get my money back.

Return. Trying to remember our last one and danged if I can.

There is an element of Society that will use their withholding as as a savings account. They do not realize or possibly not care that they are allowing the government to use their money interest free.

Now, truthfully, they are not even using it as a savings account. They are using it to accumulate money for a splurge. A true savings account would be used for long term security.

There are many that do not have the skill, self control or both to actually save. They live from paycheck to paycheck, so they plan their big purchases around their tax return. Durable goods retailers make 80 -90% of their income in the 1st quarter. They depend on these "savers".

Prior to the child tax credit, I either paid in or got a small return. I always took the maximum exemptions in order to get the maximum pay check.

The last time I got a return was when mu son was 17. I must say I do miss those big checks. The durable goods dealers do too.

 

[BugI02]

Care to expound on this?

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X#
this

 

[2A_Tom]

Like #metoo. Please, #metoo!

 

[Doug]

X#
this

 

[DoggyDaddy]

Are you using actual mathematics learned in 2nd grade to prove your point? This IS 2019 after all, to the re-education facility with you!

I know, I missed out on the core math stuff. The size or lack of a refund doesn't necessarily have anything to do with how much you actually paid. Now I understand it's a bit more complicated if you don't get a W2, pay estimated taxes quarterly, etc., but the concept is the same.

 

[churchmouse]

I am curious. What is the one half social security deduction you speak of ?

????

 

[DoggyDaddy]

????

For self-employed people, since employers typically pay half and the employee pays half. If you're self employed you're paying the full amount so they let you deduct half. Somebody else explained it up thread (blue falcon I think?)

 

[jamil]

I know, I missed out on the core math stuff. The size or lack of a refund doesn't necessarily have anything to do with how much you actually paid. Now I understand it's a bit more complicated if you don't get a W2, pay estimated taxes quarterly, etc., but the concept is the same.

Uh, oo one has claimed otherwise, at least not in any posts I've read or have written. You're arguing against points not made. Here's some simple math. $2700-1200=$1500 less taxes paid. Not $2700 less.

So when Trupers got their first paychecks after the new withholding took effect, they be like, "Whoohoo!. Holy **** and praise lord Trump for in the face of our enemies the Democrats, he hath delivered our hard earned dollars into our hands, yet in non-peanut form, as the she-devil hath falsely fore-warned." But lo, tax time cometh, and the people found their taxes contributions falleth short of the goal. Behold the larger checks they write, because the IRS appears to have failed to calibrate the withholdings to the new tax schedules. So the savvy and honest people, having properly deduced reality, be like, "Ah, crap. Instead of my tax burden from the year being $2700 less, like I projected from my first paychecks, and believed my tax break wasn't peanuts, it's only $1500 less, which is $1200 closer to peanuts than I thought." (of course that's only using your numbers. I haven't done my taxes yet so I don't know mine. But it's fun so..

Joking aside, I don't really blame people back then for their initial exuberance. It's reasonable to think that the the withholding would be scaled to the new tax schedules, and that the new withholding rate should represent the actual tax reduction a lot more closely. I looked at my withholding after the tax law went into effect. It did not look like I needed to update my W4. But with all the complaints I'm seeing about people having a much lower net than they're used to getting, I'm concerned that I'll be writing a much bigger check than I usually do, and so I'll wait until mid-April to do my taxes.

 

[DoggyDaddy]

Uh, oo one has claimed otherwise, at least not in any posts I've read or have written. You're arguing against points not made. Here's some simple math. $2700-1200=$1500 less taxes paid. Not $2700 less.

So when Trupers got their first paychecks after the new withholding took effect, they be like, "Whoohoo!. Holy **** and praise lord Trump for in the face of our enemies the Democrats, he hath delivered our hard earned dollars into our hands, yet in non-peanut form, as the she-devil hath falsely fore-warned." But lo, tax time cometh, and the people found their taxes contributions falleth short of the goal. Behold the larger checks they write, because the IRS appears to have failed to calibrate the withholdings to the new tax schedules. So the savvy and honest people, having properly deduced reality, be like, "Ah, crap. Instead of my tax burden from the year being $2700 less, like I projected from my first paychecks, and believed my tax break wasn't peanuts, it's only $1500 less, which is $1200 closer to peanuts than I thought." (of course that's only using your numbers. I haven't done my taxes yet so I don't know mine. But it's fun so..

Joking aside, I don't really blame people back then for their initial exuberance. It's reasonable to think that the the withholding would be scaled to the new tax schedules, and that the new withholding rate should represent the actual tax reduction a lot more closely. I looked at my withholding after the tax law went into effect. It did not look like I needed to update my W4. But with all the complaints I'm seeing about people having a much lower net than they're used to getting, I'm concerned that I'll be writing a much bigger check than I usually do, and so I'll wait until mid-April to do my taxes.

Right. That's the point I was trying (badly, obviously) to make. There isn't a direct correlation between the difference in refund size (or size of check written) and actual withholdings. And I'm probably still not saying what I mean to be saying but hope you understand what I'm trying to say.

 

[mmpsteve]

Uh, oo one has claimed otherwise, at least not in any posts I've read or have written. You're arguing against points not made. Here's some simple math. $2700-1200=$1500 less taxes paid. Not $2700 less.

So when Trupers got their first paychecks after the new withholding took effect, they be like, "Whoohoo!. Holy **** and praise lord Trump for in the face of our enemies the Democrats, he hath delivered our hard earned dollars into our hands, yet in non-peanut form, as the she-devil hath falsely fore-warned." But lo, tax time cometh, and the people found their taxes contributions falleth short of the goal. Behold the larger checks they write, because the IRS appears to have failed to calibrate the withholdings to the new tax schedules. So the savvy and honest people, having properly deduced reality, be like, "Ah, crap. Instead of my tax burden from the year being $2700 less, like I projected from my first paychecks, and believed my tax break wasn't peanuts, it's only $1500 less, which is $1200 closer to peanuts than I thought." (of course that's only using your numbers. I haven't done my taxes yet so I don't know mine. But it's fun so..

Joking aside, I don't really blame people back then for their initial exuberance. It's reasonable to think that the the withholding would be scaled to the new tax schedules, and that the new withholding rate should represent the actual tax reduction a lot more closely. I looked at my withholding after the tax law went into effect. It did not look like I needed to update my W4. But with all the complaints I'm seeing about people having a much lower net than they're used to getting, I'm concerned that I'll be writing a much bigger check than I usually do, and so I'll wait until mid-April to do my taxes.

The personal tax cuts are the small game, and some are going to pay more; I believe I'm in that catagory. The bigger picture is the corporate tax rate, and will produce positive results, over time. The key words being "over time". Give it a chance to work.

.

 

[jamil]

The personal tax cuts are the small game, and some are going to pay more; I believe I'm in that catagory. The bigger picture is the corporate tax rate, and will produce positive results, over time. The key words being "over time". Give it a chance to work.

.

Maybe you’re misunderstanding or I’m misunderstanding. Because what you’re saying doesn’t really have anything to do with what I’m saying.

 

[BugI02]

Welcome to INGO, you must be new here