Thanksgiving with a very liberal niece - real life economics..... (taxable, property taxes)
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Could you please explain your govt pension calculation for me? Maybe include your current tax burden too
Taxes:
-Federal Income 22% bracket
-State Income 5%
-Property taxes 10% of gross income (which have increased 10-15% every year despite fighting with the assessor every year and a stagnant real estate market as a result of the high property taxes)
-Sales taxes 8.5% (I moved out of Cook Co which was 10.5) of purchases
-gas taxes increased,
-vehicle registration increased
-parking taxes increased plus Chicago sold off street parking to a private company to fleece people
-tolls
-This doesn't include all the extra costs business taxes add to goods and services which drive up their costs
I think once people take a good look at what their actual total taxes are they would be shocked. The only relief in my tax burden is maxing out my 401k and RothIRA and the only tax decrease I got from Republicans. I am paying more in state and local taxes than federal and Illinois doesn't have an armed forces to support just a army of union parasites. the state has a pension liability of ~$200E9 (I've heard 150-250 depending on if you include retiree healthcare and other benefits).
Last edited by MSchemist80; 12-13-2019 at 12:03 PM..
So, you and your wife were paying tens of thousands of dollars towards your niece's college and law school expenses and she didn't know that????? Where did she think all that money was coming from??? A unicorn pooping out one hundred dollar bills and gold coins???
Why in the world didn't anyone tell her where the money was coming from while she was receiving it???
This is an anecdote about a girl starting a successful career only after receiving tuition gifted by somebody else subsequent to her parents squandering their money. The real question is, why does it end up with everyone involved concluding that "personal responsibility" is the correct political ethos?
Taxes:
-Federal Income 22% bracket
-State Income 5%
I’m not really concerned with your tax brackets as that’s a false look. For instance as a 330k gross income hh maxing 2 401ks and taking the standard deduction my effective federal rate is under 16% vs my bracket if 24%
Quote:
-Property taxes 10% of gross income (which have increased 10-15% every year despite fighting with the assessor every year and a stagnant real estate market as a result of the high property taxes)
10% of gross income? Well that’s not how property taxes are calculated but my 2% of appraised value comes out to 3% of gross. How much is your house worth in relation to your income?
Quote:
-Sales taxes 8.5% (I moved out of Cook Co which was 10.5) of purchases
We have a high sales tax but unprepared food is excluded. The burden is deminimis
Quote:
-gas taxes increased,
-vehicle registration increased
-parking taxes increased plus Chicago sold off street parking to a private company to fleece people
-tolls
-This doesn't include all the extra costs business taxes add to goods and services which drive up their costs
I think once people take a good look at what their actual total taxes are they would be shocked. The only relief in my tax burden is maxing out my 401k and RothIRA and the only tax decrease I got from Republicans. I am paying more in state and local taxes than federal and Illinois doesn't have an armed forces to support just a army of union parasites. the state has a pension liability of ~$200E9 (I've heard 150-250 depending on if you include retiree healthcare and other benefits).
Your Roth IRA doesn’t help your current tax liability does it? How are you calculated your current state/local burden? Even a rack rate of 10% + 5% + 8.5% would seem exaggerated. Are you sure you know your tax burden?
I’m not really concerned with your tax brackets as that’s a false look. For instance as a 330k gross income hh maxing 2 401ks and taking the standard deduction my effective federal rate is under 16% vs my bracket if 24%
Illinois has a flat income tax. They are trying to go to a progressive one based on their contention (Ha ha I really believe them) that it will only increase for the rich.
Quote:
Originally Posted by Lowexpectations
10% of gross income? Well that’s not how property taxes are calculated but my 2% of appraised value comes out to 3% of gross. How much is your house worth in relation to your income?
I own a 1400Ft^2 1960 split level that is about 3x my gross income. [/quote]
Quote:
Originally Posted by Lowexpectations
We have a high sales tax but unprepared food is excluded. The burden is deminimis
food is taxed in Illinois but at a lower rate the state doesn't tax it but they let local govts do so so it is about 2-3%.
Quote:
Originally Posted by Lowexpectations
Your Roth IRA doesn’t help your current tax liability does it? How are you calculated your current state/local burden? Even a rack rate of 10% + 5% + 8.5% would seem exaggerated. Are you sure you know your tax burden?
Yes it does or I'd have to pay taxes on the dividends every year. I know I pay 15% of my gross alone in state income and property taxes alone adding in the others easily gets me to 20%.
CHICAGO — Illinoisans are on the hook for nearly $250 billion in unfunded public pension liabilities — more than $18,000 per resident — according to a credit rating agency.
Illinois has a flat income tax. They are trying to go to a progressive one based on their contention (Ha ha I really believe them) that it will only increase for the rich.
But you also quoted federal and there’s relatively little chance your effective rate is anywhere close to 22%
Quote:
I own a 1400Ft^2 1960 split level that is about 3x my gross income.
Well 3x gross is certainly the mechanism that gets your property taxes up to 10% of gross. In this light Republicans we’re responsible for the SALT change which certainly had the possibility of increasing your taxes
Quote:
food is taxed in Illinois but at a lower rate the state doesn't tax it but they let local govts do so so it is about 2-3%.
The internet suggest its 1% for groceries
Quote:
Yes it does or I'd have to pay taxes on the dividends every year. I know I pay 15% of my gross alone in state income and property taxes alone adding in the others easily gets me to 20%.
You don’t get a tax break for your Roth contributions. How i read it is that you were talking about current contributions. It looks like largely your tax burden issue is largely property tax related which is something you have some control over. The internet suggest the effective property tax rate is a little over 2% in cook county is that accurate?
I don't know why everyone things Republicans are anti social issues. They think certain things are good for society like marriage before having kids since single parenthood is the single biggest predictor of poverty. Can you give me an example of where Republicans are anti social issues?
HAHAHHHAHAHAHa
Let's just count up how many Republican politicians have been caught dipping their rod in the non-marital waters (or even the same sex waters). Or having a mistress and then paying for her abortion, but voting against a woman's right to choose. It's a darn near epidemic here in Tennessee.
FTR - I am a pro choice, pro same-sex marriage (get the h#ll out of people's bedrooms), fiscally moderate to conservative registered Republican.
MS, you are going down a different path. IL is a cesspool with serious pension reform issues and longstanding public service employees that are able to keep politicians elected. It's a mess. The only real option is to leave the state which many have into NW Indiana.
Low lives in TX with no state income tax and relatively little government oversight. Heck his city doesn't even have a zoning plan lol.
There is a reason so many people and employers are flocking to the southern states. It's not just the weather.
I would disagree with that. The topic of this thread is how gaining real-life experience changes the views of naive young people. Left versus right isn't the issue; there are naive young people on both sides, all too smugly confident that they have the answers to all of society's intractable problems. Real life has a way of teaching them otherwise.
Nope not at all. The only real life experience was suddenly making more money.
The average career pensioner – retired after Jan. 1, 2013, with 30 years of service or more – receives $66,800 in annual pension benefits and will collect over $2 million in total benefits over the course of retirement.
The average career pensioner will get back his or her employee contributions after just two years in retirement. In all, pensioners’ direct employee contributions will only equal 6 percent of what they will receive in benefits over the course of their retirements.
I live in Illinois because my family has lived here for over 100 years and it took me 3 years to find a good job with benefits in my profession. Most jobs for Chemists totally suck even with a graduate degree. No benefits contract crap for $20 an hour.
I live in Illinois because my family has lived here for over 100 years and it took me 3 years to find a good job with benefits in my profession. Most jobs for Chemists totally suck even with a graduate degree. No benefits contract crap for $20 an hour.
The link say roughly half would receive 1mm or more with an average of 25 years or more worth of a draw. 1mm over 25 years is 40k a year. I really thought you were going to put something outrageous in front of me even on the high end you quoted it would be 80k.
Either you choose to live there or you don’t. You don’t have to live there
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