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Reply to "When making more actually is a real tax disadvantage?"
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[quote=Anonymous][quote=Anonymous]The thing that's dumb is that you're presenting this argument in terms of your refunds for the respective years rather than your actual tax liabilities.[/quote] This!!! However, if one spouse is a high earner, yes the other spouse is often working for almost nothing. I was largely a SAHP. When kids were all in ES+, I took a job working 10-15 hours/week teaching fun classes. Was a contractor. Loved the job and was paid $35+/hour, but after paying my FICA myself and the 48% in fed plus state taxes, I was making very little. Then add in all the "prep work to get ready for the course the first few years I was learning. Add in the times I had to hire a sitter if spouse was traveling, and I'm fairly certain I might have been paying to work, or damn near close to it. But that holds for anyone who is 2nd income in a high income family. There's no way around it, your extra income will be taxed at 37%+ federal and 10% (or max that your state tax is). Earning an extra $5K means you get $2.5K or less. [/quote]
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