Monday, October 16, 2017
The New York City’s proposal for a Millionaire’s Tax-2
So let me breakdown how much does the so called Millionaire if as mentioned earlier starting at 500k annually actually get to take home. Please note that all figures are approximate and rounded to make it easier to come to a round figure. Federal tax comes out to the maximum 39.5 percent in addition to the New York state tax of 6.85 and New York City tax of around 3.5 percent. Rounding all this comes to around 50 percent but if you put the total amount of tax including the Medicare and unemployment tax the amount comes you are paying is around 295k, which leaves you around 200kj to take home and play around. And the taxes don’t even stop here since everything is taxed a certain sales tax rate of 8.875 percent on clothes, shoes, food from restaurants and anything that the city can get their hands on the hard working rich people of new York city. Since these so called rich people make so much money, they would like to have at least on vacation per year and also have some entertainment time to themselves, plus maintaining the house where you have to pay utilities and mortgages and you end up with around maybe 150k or even less than that. My point here is not to garner any sympathy for the so called rich class, but to give you an idea that 500k is not much of a salary in a very expensive city and before everybody jumps into the bandwagon of taxing the rich, first you need to understand what and who should be considered rich in new York city.