3 ms·
While most of what you said is spot on, people often misunderstand what constitutes the super rich group with big tax breaks. It's way less than one percent, be
by tbihl 10y ago
While most of what you said is spot on, people often misunderstand what constitutes the super rich group with big tax breaks. It's way less than one percent, because it's the big investment money that's getting out of so much taxation. People who earn high salaries are actually paying quite substantial taxes.
For some perspective, "the 1%" starts at about $350k annual salary (think middle-of-the-pack surgeon.) At that level, you're paying a lot of taxes.
There's an excellent recent Econtalk on taxation in the US.
- deelowe 10y agoSmart money finds ways to reduce that income as much as possible and lives instead off capital gains. I find that there's a lot of smart money once you get above 350 or so annual.
- hwillis 10y agoFor these purposes, income includes everything, down to and including appreciation of assets. Capital gains make up the majority of income only for people making 2 million+ annually.