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Old 02-08-2019, 02:47 PM
 
4,668 posts, read 1,152,696 times
Reputation: 3616

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Quote:
Originally Posted by gizmo980 View Post
OP does have a right to keep you/us on topic, though... I responded to a slightly off-topic tangent above, but at least it's still related to "this year's tax filing." The conversation about Trump's returns is WAY off topic, and belongs on the P&OC forums.

In other words, they're right; the mods will lock or clean up this thread if it doesn't stop. And I say this as a former moderator who's been on CD for almost 13 years, so pretty sure I am familiar with the "customs" and guidelines here.
Thank you.
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Old 02-08-2019, 02:53 PM
 
2,656 posts, read 1,704,799 times
Reputation: 5750
Quote:
Originally Posted by BD1978 View Post
Cassy it's a huge deal to people like me - middle class to bordering upper middle class families in high COL areas. Our $21,000 property tax bill used to be offset by around $5,000 to $6,000 that we would get back due to the deduction, and now we get none of it back. To a family in a high COL area that makes in the low $200k range, that's a very, very big deal.
Oh yes, low 200k’s is middle class.




I love these forums.
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Old 02-08-2019, 02:59 PM
 
61 posts, read 16,930 times
Reputation: 91
I went off topic with college planning because it's on my mind a lot lately and I was relating to also facing college bills like other posters here. I may post a thread asking for some help on it in the future, but I am still doing my own research first. My daughter is only a freshman, so I have time to figure it all out. But thank you to all who offered advice. I appreciate the information.

Back to the taxes, my point was basically I am not in the same boat as other posters here. I'm impacted and my taxes went up, but I am not impacted because of the SALT change. I am not upper income earner who used to have a high SALT deduction. But I am a pretty solidly middle class person who doesn't reach the SALT limit but who is also paying more in federal taxes. I am not paying anywhere near as much as other posters here. Still, for me a few hundred more is significant.

And like other posters here, I don't understand why some delight in the fact I am paying more. I don't like it when anyone has to pay more and I am happy for those who get to pay less. But why the hate on fellow middle class Americans and delight that they are paying more?

In my case, everything about 2018 is close to the same as 2017 was. The only changes for me were the new laws. I still itemize. My income for 2017 and 2018 is pretty much the same. I got a raise, but I put all of it in my 401k, so there was no change in AGI. On my itemized deductions, some things went down, but others went up and there is only a couple hundred dollars difference there. Certainly nothing to make a $700 increase in taxes. With the same income and roughly the same deductions in 2018 as 2017 and my total tax bill for 2018 was $5,450. My 2017 tax was $4,750. Again, this is how much I paid for the total year, I am not talking about a refund or amount I underpaid.

Something else changed too aside from SALT. I am ashamed to say that I don't have the luxury of staying on top of politics and tax changes, so I didn't notice until I filed. I haven't finished filing yet since I am waiting to see what Virginia is doing with our tax laws before I do. Once I pay the tax software I'm using, I will be able to print out the forms and compare them to the print outs from 2017 to see what changed and where. But no matter what it is, I am not happy with being taxed more.
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Old 02-08-2019, 03:07 PM
 
Location: Minnesota
994 posts, read 881,240 times
Reputation: 1501
Quote:
Originally Posted by BD1978 View Post
I can't tell if you're agreeing or disagreeing with me. We chose a home with a $21,000 property tax bill because of the excellent school district which our daughter is enjoying. We love our town and municipal services and no one forced us to live here. (And believe it or not, in my town a $21,000 bill is reflective of the fact that my house is modest, as we considered, but ended up passing on homes with $30,000 property taxes).


What I'm angry about is that in 2014 we purchased the home with the understanding that the $21,000 would be tax deductible, which would effectively return $5,000 to $6,000 to us in tax savings. That is no longer the case thanks to this damn tax reform, and we don't make nearly enough income for the lower tax rates to make up the difference. So no, I'm not going to be happy with what I have.
You should not be happy. Taxes can change very quickly and nothing is guaranteed. Sorry man.
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Old 02-08-2019, 03:16 PM
 
5,023 posts, read 2,197,168 times
Reputation: 3899
Quote:
Originally Posted by WalkingLiberty1919D View Post
I went off topic with college planning because it's on my mind a lot lately and I was relating to also facing college bills like other posters here. I may post a thread asking for some help on it in the future, but I am still doing my own research first. My daughter is only a freshman, so I have time to figure it all out. But thank you to all who offered advice. I appreciate the information.

Back to the taxes, my point was basically I am not in the same boat as other posters here. I'm impacted and my taxes went up, but I am not impacted because of the SALT change. I am not upper income earner who used to have a high SALT deduction. But I am a pretty solidly middle class person who doesn't reach the SALT limit but who is also paying more in federal taxes. I am not paying anywhere near as much as other posters here. Still, for me a few hundred more is significant.

And like other posters here, I don't understand why some delight in the fact I am paying more. I don't like it when anyone has to pay more and I am happy for those who get to pay less. But why the hate on fellow middle class Americans and delight that they are paying more?

In my case, everything about 2018 is close to the same as 2017 was. The only changes for me were the new laws. I still itemize. My income for 2017 and 2018 is pretty much the same. I got a raise, but I put all of it in my 401k, so there was no change in AGI. On my itemized deductions, some things went down, but others went up and there is only a couple hundred dollars difference there. Certainly nothing to make a $700 increase in taxes. With the same income and roughly the same deductions in 2018 as 2017 and my total tax bill for 2018 was $5,450. My 2017 tax was $4,750. Again, this is how much I paid for the total year, I am not talking about a refund or amount I underpaid.

Something else changed too aside from SALT. I am ashamed to say that I don't have the luxury of staying on top of politics and tax changes, so I didn't notice until I filed. I haven't finished filing yet since I am waiting to see what Virginia is doing with our tax laws before I do. Once I pay the tax software I'm using, I will be able to print out the forms and compare them to the print outs from 2017 to see what changed and where. But no matter what it is, I am not happy with being taxed more.
You know there was a change in the withholding amounts in your paycheck if that is how you receive your income.
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Old 02-08-2019, 03:32 PM
 
61 posts, read 16,930 times
Reputation: 91
Quote:
Originally Posted by jeffdoorgunner View Post
You know there was a change in the withholding amounts in your paycheck if that is how you receive your income.
Oh I know. They withheld less. That actually worked better for me as I rather owe a little at tax time. Im talking about my total federal tax bill that went up. What was withheld in 2017 minus the refund I got vs. what was withheld in 2018 plus what I owe this time around.
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Old 02-08-2019, 03:38 PM
 
1,640 posts, read 539,924 times
Reputation: 813
Quote:
Originally Posted by Thatsright19 View Post
Oh yes, low 200ks is middle class.




I love these forums.
You're being short sighted-obviously. And that's the problem. I sold a 2 1/2 bedroom ranch on a busy road 30 minutes outside Boston (Framingham) for 400K. It would probably go for 85K or less in some mid-western red state. The actual numbers do not matter, but how far a dollar can actually go, which is not far in high COL areas. Why is this so difficult to understand for people?
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Old 02-08-2019, 03:52 PM
 
7,343 posts, read 4,180,222 times
Reputation: 5004
Quote:
Originally Posted by BD1978 View Post
Cassy it's a huge deal to people like me - middle class to bordering upper middle class families in high COL areas. Our $21,000 property tax bill used to be offset by around $5,000 to $6,000 that we would get back due to the deduction, and now we get none of it back. To a family in a high COL area that makes in the low $200k range, that's a very, very big deal.
I lost about $3k on a $50k income. That sucked
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Old 02-08-2019, 04:41 PM
 
2,656 posts, read 1,704,799 times
Reputation: 5750
Quote:
Originally Posted by Cassy Fae View Post
You're being short sighted-obviously. And that's the problem. I sold a 2 1/2 bedroom ranch on a busy road 30 minutes outside Boston (Framingham) for 400K. It would probably go for 85K or less in some mid-western red state. The actual numbers do not matter, but how far a dollar can actually go, which is not far in high COL areas. Why is this so difficult to understand for people?
Yes, I understand col factors.

Low 200ks isnt middle class.
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Old 02-08-2019, 05:00 PM
 
Location: Bay Area, CA
29,041 posts, read 44,900,475 times
Reputation: 20406
Quote:
Originally Posted by Thatsright19 View Post
Yes, I understand col factors.

Low 200k’s isn’t middle class.
Do you, though? That might be stretching it slightly, but here in the Bay Area (and possibly cities like Boston & NYC) that is BARELY above middle-class for a family/household income. The limit for low-income housing in some of our counties is $117,400 for a family of four.

https://www.mercurynews.com/2018/06/...creases-again/
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