Quote:
Originally Posted by Blademaker
Agree with the New Mex woodman.......ditto.
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little pro tip: different kinds of income are taxed differently. you can complain, or you can arrange your affairs to take advantage of this.
examples: capital gains are taxed at a rate of 0% if you are in the 10% or 15% income brackets (married filing joint, up to about 73k), and no FICA taxes are due either.
tax free bonds: duh, no fed or state taxes due if from your state of residence, and again, no FICA (15.3% for self employed).
qualified dividends: similar to cap gains.
regular dividends: 10-15% rate, no FICA.
if you make your money with your labor, you are taxed out the wazoo.
and money saved today and spent down the road is also tax free. penny saved is a penny earned.
oh, that's right - i'm not an 'expert', so what the hell do i know?
