3 ms·
If you include payroll tax and employer payroll tax (as this example does), then the US has been quite close to a 70% rate in recent years. When the top margina
by skywhopper 8y ago
If you include payroll tax and employer payroll tax (as this example does), then the US has been quite close to a 70% rate in recent years. When the top marginal income tax rate was 39.6, once you add the FICA and Medicare on both sides of about 15%, you are within reach.
Meanwhile, actually rich people are not paying FICA, or Medicare, or even income tax. Capital gains and dividends are taxed at far far lower rates.
- scarface74 8y agoYou only pay FICA up to $127K currently....
- votepaunchy 8y agoMedicare is uncapped and adds 0.9% above 200K.
- gibybo 8y agoIf you were in the 39.6 tax bracket, you wouldn't be paying 15% in FICA because you'd be well over the contribution limit for Social Security (which is most of FICA).