Announcement

Collapse
No announcement yet.

Is there a maximum marginal rate beyond which would curtail working as a doc?

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • ENT Doc
    replied










    I really wish we would get to a point as a forum where we spent as much time worrying about actual, current financial policy as we do about early primary proposals. I’m not holding my breath on this.
    Click to expand…


    I don’t think that’s fair.  It doesn’t make sense to discuss the merits of ideas only after the fact.  The whole concept of planning is to anticipate and account for future events.  No reason policy proposals should be off limits in terms of discussion – particularly when they are unpalatable and significantly affect all of our future income.
    Click to expand…


    I don’t think they should be off limits at all, I wish the mods let us talk more about controversial topics.

    I think the amount of worry I see about things that are still very far-fetched is very overblown, especially compared to the fact that there are actual concerning things happening right now that get minimal to no discussion.
    Click to expand...


    Fair enough.  Agreed on all points.

    Leave a comment:


  • Antares
    replied




    I don’t really think taxes are a political issue. One can think of it as governance, how a society controls its behaviors. Taxes are one way, fines are another. Singapore is an example. Self control or the government will control your behavior. Wonderful city with lots of freedoms. But rules are rules. Fines and fees are tremendous sources of revenue. All society needs is more regulations, that’s the path in some forms of governance. For example, IRS agents could be paid on commission. What could go wrong?
    The Reality of Fines and “Strange Laws” in Singapore


    Click to expand...


    Taxes have a political dimension in the context of this thread’s topic because for the legislation under discussion to come about would imply various future political events: nominees, elections, etc. All of which posit a changed political reality from our current state of affairs, one scenario less plausible than the next, but all evocative of an alternate history novel.

    Leave a comment:


  • Antares
    replied
    .

    Leave a comment:


  • Tangler
    replied







    The US doesn’t have a revenue problem, it has a spending problem. Getting a higher limit on your credit card (raising taxes) isn’t the answer to a spending problem.
    Click to expand…


    Well put.

    Unfortunately cutting spending makes you unpopular and tends to get you voted out of office.
    Click to expand...


    Yes! Spending is the issue.

    As for the original Q: Yes, will decrease work in next few years and increased taxes should they occur will incentivize acceleration of the process. Wife went part time last year, i will do fewer calls/weekends and will lower number of days over next few years. Work is less painful when it is on your terms. Time = Freedom = spending time as you wish= most precious item money can purchase.

    Leave a comment:


  • Lordosis
    replied




    I think if I was going to work everyday and people were immensely grateful for just seeing me and I had no paperwork or other annoying issues to deal with and it was just “hello, thank you so much for your just showing up Dr. X”, then I could deal with an 70% marginal rate of tax.

    NB. Would need to screen out any people with real problems
    Click to expand...


    Now you are really dreaming!

    Leave a comment:


  • Molar Mechanic
    replied
    My wife doesn't work since her ~$50k in income is instantly taxed at 48% (35% fed, 5.5 state, + 7.5% ss/medicare).  The utility of her being a full time caretaker of our kids is worth far far more than $26k per year.

    For me, I'll continue to bust my but working until I have achieved "FI", then I'll achieve a better balance of personal reward and financial reward vs flexibility and availability of time.  I do like the idea of working less and keeping a bigger portion of my income as my income decreases.

    Leave a comment:


  • MPMD
    replied







    I really wish we would get to a point as a forum where we spent as much time worrying about actual, current financial policy as we do about early primary proposals. I’m not holding my breath on this.
    Click to expand…


    I don’t think that’s fair.  It doesn’t make sense to discuss the merits of ideas only after the fact.  The whole concept of planning is to anticipate and account for future events.  No reason policy proposals should be off limits in terms of discussion – particularly when they are unpalatable and significantly affect all of our future income.
    Click to expand...


    I don't think they should be off limits at all, I wish the mods let us talk more about controversial topics.

    I think the amount of worry I see about things that are still very far-fetched is very overblown, especially compared to the fact that there are actual concerning things happening right now that get minimal to no discussion.

    Leave a comment:


  • Dont_know_mind
    replied
    I think if I was going to work everyday and people were immensely grateful for just seeing me and I had no paperwork or other annoying issues to deal with and it was just "hello, thank you so much for your just showing up Dr. X", then I could deal with an 70% marginal rate of tax.

    NB. Would need to screen out any people with real problems

    Leave a comment:


  • Tim
    replied
    I don’t really think taxes are a political issue. One can think of it as governance, how a society controls its behaviors. Taxes are one way, fines are another. Singapore is an example. Self control or the government will control your behavior. Wonderful city with lots of freedoms. But rules are rules. Fines and fees are tremendous sources of revenue. All society needs is more regulations, that’s the path in some forms of governance. For example, IRS agents could be paid on commission. What could go wrong?

    https://www.vagabondjourney.com/fines-strange-laws-singapore/

    Leave a comment:


  • Lordosis
    replied


    The US doesn’t have a revenue problem, it has a spending problem. Getting a higher limit on your credit card (raising taxes) isn’t the answer to a spending problem.
    Click to expand...


    Well put.

    Unfortunately cutting spending makes you unpopular and tends to get you voted out of office.

    Leave a comment:


  • loeffy
    replied
    Not sure about cutting back on one salary, but it would further make me reconsider the 2nd salary.  We've already had discussions about this in our household.  Fortunately for doctors, per hour of work is paid pretty well compared to most other jobs where I think the threshold for quitting due to taxes would be much lower for me.

    Leave a comment:


  • CordMcNally
    replied




    I find it funny that everyone is so concerned with potential tax increases in years to come, but no one seems worried about the tax cuts we currently have that we can’t afford.  Our current, low taxes, are being financed by debt.  I don’t know about you, but I don’t exactly feel rosy about the path we’re on.  If a new administration is wanting to raise taxes to balance our finances and stop the madness, I’m all for it.  Unfortunately, that doesn’t’ seem to be either side’s priority anymore.  And something has to be done about healthcare.  All of this will likely mean higher taxes in the future.  I just don’t see how we can avoid that.

    SO, like it or not, I have to work, I have to save, and I have to do it for as long as possible while trying to enjoy my life at the same time.  Unfortunately, I don’t have enough invested to call it quits or cut back any further right now, regardless of what I’m paying in taxes.  So, I keep working.  And I’m thankful I have the ability to make what I make.  Most of the people I grew up with make pennies compared to me.
    Click to expand...


    The US doesn't have a revenue problem, it has a spending problem. Getting a higher limit on your credit card (raising taxes) isn't the answer to a spending problem.

    Leave a comment:


  • hightower
    replied
    I find it funny that everyone is so concerned with potential tax increases in years to come, but no one seems worried about the tax cuts we currently have that we can't afford.  Our current, low taxes, are being financed by debt.  I don't know about you, but I don't exactly feel rosy about the path we're on.  If a new administration is wanting to raise taxes to balance our finances and stop the madness, I'm all for it.  Unfortunately, that doesn't' seem to be either side's priority anymore.  And something has to be done about healthcare.  All of this will likely mean higher taxes in the future.  I just don't see how we can avoid that.

    SO, like it or not, I have to work, I have to save, and I have to do it for as long as possible while trying to enjoy my life at the same time.  Unfortunately, I don't have enough invested to call it quits or cut back any further right now, regardless of what I'm paying in taxes.  So, I keep working.  And I'm thankful I have the ability to make what I make.  Most of the people I grew up with make pennies compared to me.

    Leave a comment:


  • ENT Doc
    replied




    I really wish we would get to a point as a forum where we spent as much time worrying about actual, current financial policy as we do about early primary proposals. I’m not holding my breath on this.
    Click to expand...


    I don't think that's fair.  It doesn't make sense to discuss the merits of ideas only after the fact.  The whole concept of planning is to anticipate and account for future events.  No reason policy proposals should be off limits in terms of discussion - particularly when they are unpalatable and significantly affect all of our future income.

    Leave a comment:


  • skidoc
    replied
    If marginal rates (including payroll and other taxes) went up by id say 15-20% I would probably cut back. Currently working about 2FTE Hospitalist (part staffing shortage, part ok with saving extra early in career). Planning anyway on decreasing work a little in the next year or two but if taxes went up significantly I most certainly would consider either significant reduction of work at current job or perhaps doing something like academics/VA. All of the nights/weekends won't be worth it if paying over 50% in taxes id go best lifestyle as possible even if taking a paycut.

    Leave a comment:

Working...
X