Where Is Your Paycheck Going?
While many of the nation’s high net-worth individuals make much of their income through capital gains, those who still collect a paycheck are doling out of cash to the IRS every time they get paid. The same is true for all taxpayers no matter what income level they fall in. In fact, according to a recent report, American taxpayers will spend more on taxes in 2016 than some of the most basic monthly expenditures combined.
The Tax Foundation recently reported that the nation’s taxpayers would pay $3.3 trillion in federal taxes and an additional $1.6 trillion in state and local taxes this year. That is almost $5 trillion in total taxes paid, which represents 31 percent of the country’s income. To put that into perspective, Americans will pay more in taxes this year than they will for housing, clothing and food combined.
So, next time you wonder where your paycheck is going just look to the federal government, because they own about a third of it. The percentage is even higher for high net-worth individuals. Meantime, the Tax Foundation also reported that Tax Freedom Day fell on April 24 this year, one day earlier than last year. Tax Freedom Day represents how long the country, as a whole, has to work to pay off its tax debt for the entire year. So in a sense, up until this point in the year, the nation’s entire workforce has been working for free.
Communication Between Managers and their Employees
By Emily Topham Communication Between Managers and Their Employees Managers have a daunting task—finding the right level of communication between them and their employees. It can be difficult for new managers to transition into the level of communication that is required by a leadership position. But discovering how to communicate well can make or…
Which States Are Good, and Bad, for Taxes?
How attached are you to the state you live in? Although most people would rather not relocate, where a person lives can actually make a huge difference in his or her tax bill. That’s because Kiplinger recently released its list of the most and least “tax-friendly” states when it comes to taxes. The business publisher…
How Are Some Big U.S. Companies Shrinking Their Tax Bill?
Every company wants to save on its tax bill. Although tax inversions have been making a lot of news lately, there are many other methods that corporations use to cut back on their taxes. In fact, seven companies in the S&P 500 index, including some big names that everyone is familiar with, have been able…
Democrats Take Dead Aim at Tax Inversions
The democrat lead U.S. Senate has been making a lot of noise lately regarding tax inversions, the practice of U.S. companies moving their corporate headquarters overseas in order to avoid the high price of overbearing U.S. corporate taxes. Those senators have apparently made good on a recent promise that they would look to put a…