Originally posted by qver74
U.S. Typical family of 4, income $75,000 (including benefits)
Direct taxes:
Social Security tax -- $4650
Local and state income tax - $6884 – (year 2005)
Federal income tax - $8850 Source:
online.wsj.com...
Property tax - $4000
Sales tax - $2000
Motor vehicle taxes (driver license,excise, tags, title) - $200
Tobacco taxes - $300
Alcohol taxes - $50
Toll tag fees - $100
Capital gains tax - $1000
Inheritance tax - $0
Professional License fee - $1000
Fuel tax - $300 (est 750 gallons/year)
Hotel tax - $50
Retirement early withdrawal tax - $0
State Park - $0
Subtotal: $24734 – 32.9%
Indirect taxes (Raise cost of goods or services):
Employer portion of social security - $4650
Inflation loss on savings - $10,000 (based on $100,000 savings in U.S. Dollars). Source:
www.shadowstats.com...
Cost health insurance - $10,000/year (paid by taxes in other industrialized countries)
College - $10,000/year (paid by taxes in some other industrialized countries)
Transportation (included due to lack of subsidized mass transit in U.S.) - $5000/year (includes yearly cost of maintaining car)
Subtotal $0 to $44650 = 0 to 59.5% indirect tax rate.
Total tax percentage (when tax benefits are compared to other industrialized countries): 32.9 to 92.4% effective rate.
When other household expenses are added, this “typical” family is actually going in debt at a rapid rate.
Income:75,000
Direct taxes: $24,734
Indirect taxes: $20,000 (estimated)
Food: $9000
Housing (not including taxes): $ 15,000
Clothing: $5000
Miscellaneous: $15000
Total expenses: $88734
The above information puts a new perspective on “low” U.S. Tax rates as compared to other countries:
en.wikipedia.org...
I'm sure I forgot to list a lot of different taxes in the above scenario. Maybe somebody can complete the list (or refute the items listed).
I don't know about the highest tax rate in the world, but if you consider that the dollar is one of the top currencies, I'd agree that in the US, a lot of "wealth" is taken from people incomes and purchases, compared to other countries.
But a lot of those taxes don't affect a lot of people. Cigarette tax? Does the median household smoke that much? I'd have to look at the numbers, but $4,000 for property tax? That seems a bit off, especially with the housing downturn. Everyone I know has reevaluated their taxes, and are paying a lot lower. I did mine and they got cut in half.
edit on 22-1-2012 by satron because: (no reason given)
