DYSPEPSIA GENERATION

We have seen the future, and it sucks.

The Great American Tax Migration.

9th September 2022

Read it.

Rumor has it that taxation in the U.S. is soft: this is not the case with income tax, the main source of government levies. The top federal marginal rate of 37%, above $523,000 of income, is misleading. In New York, you have to add the state tax (10.9% maximum), the city tax (3.876% marginal rate), and the tax to fund Social Security, the pay-as-you-go pension plan, at 6.2% (up to $147,000 of income).

In total, the marginal tax rate exceeds 53% in New York.

In short, leaving New York, where the cost of living is exorbitant, means getting back about two months of the net salary.

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