No announcement yet.

Taxes Filed. What is your effective tax rate?

  • Time
  • Show
Clear All
new posts

  • Taxes Filed. What is your effective tax rate?

    Google tells me that the average effective tax rate for all US households was 18.1% in 2010.


    Are you around average or much more?


    I have to commend WCI again for alerting me to the tax-advantaged spaces that are available.

    [poll id="72"]

    [poll id="73"]

  • #2
    I'll be well over average this year but have been below average as an attending a number of times. Can't complain too much, it's a first world problem. I think I was 23-24% last year but expect to hit 30% this year.
    Helping those who wear the white coat get a fair shake on Wall Street since 2011


    • #3
      I am provisionally finished. Anything I add will be for record purposes and not change much now (like student loan interest). Looks like 29% this year. Depending on how this year goes I may open up a pension plan to make it a little better in the tax deferred space. Was 23ish I think last year.


      • #4
        Just wrapped up, TurboTax says -2.74%. Probably the last year my family will have a negative tax rate. That's from the first six months of internship, plus paper losses from a rental house and our relocation expenses. Next year the rental should generate a positive taxable income, and our taxable income will double now that I'm back to part time work.


        • #5
          You should be able to depreciate any taxable gain on the property so its a net zero or better.


          • #6
            Stupid question:  when you calculate the effective tax rate, are you including or excluding the money that you put away pre-tax for retirement?


            Anyway, the past couple of years, after passing a certain income threshold, I am above the 30% mark.  But can't complain about it.  Still plenty left and it's better than 40%+ that some of my friends are paying with high earning W2 jobs only.


            • #7
              I use gross, and assume this is what turbo tax does as well (quick head calc agrees). On turbotax the first page or the summary will give you your effective rate.


              • #8
                I haven't filed this year, but last year it was around 32% with a high state income tax.

                I look forward to paying 0% when I decide to hang it up.  Don't worry, I will have paid "my fair share".


                • #9
                  35% as a high earning w2

                  Nice problem to have I guess but it still hurts to see that kind of money flying out the door


                  • #10
                    We're right around 12% of gross. But then, we're still 'low income' compared to an attending.


                    • #11
                      18.2% here. marginal 28%, filing jointly.



                      • #12

                        I am provisionally finished. Anything I add will be for record purposes and not change much now (like student loan interest). Looks like 29% this year.
                        Click to expand...

                        Regarding the above statement: do we NEED to enter in all the student loan interest we pay, even if you are certain it doesn't give a deduction?  It was my small protest to not bother entering the 6 different forms b/c I know they don't save me a penny!


                        • #13
                          I dont think so, theres no penalty for not claiming deductions and if it made a difference the government would thank you. This year I just want to see the grand total for morbid curiosity.


                          • #14
                            Sadly I hover at about 28% effective tax rate despite maximizing my and spouse's 401k/PSP, HSA, and even some into defined benefit plan.

                            I'm hopping this improves with tax reform under a GOP administration.  Most plans would help us tremendously, as well as helping out with corporate taxes for those in private practice.  I just read Rubio's tax plan though and shockingly his simplified 15/35% plan may actually hurt many of us.


                            • #15
                              I hadn't looked at the Rubio plan, but here it is.  He actually did quite a bit better than expected in Iowa.

                              The 35% doesn't hit until $300,000 for joint filers, and interest, capital gains, and dividends aren't taxed.  I could live with this plan.

                              Of course, all that tax loss harvesting would have been for naught.