Taxes and stuff - Care to share? - Page 2
Close
Login to Your Account
Page 2 of 2 FirstFirst 12
Results 21 to 27 of 27
  1. #21
    Join Date
    Jan 2003
    Location
    Canada
    Posts
    11,203
    Post Thanks / Like
    Likes (Given)
    5272
    Likes (Received)
    3355

    Default

    Doesn't Washington have no income tax? so wouldn't it all be mostly Federal?

    In Canada if you gross $100K personal, you end up paying around 30-36%(say $35k) between provincial and federal(including CPP) depending on province, list of other taxes extra.
    So what's the % you're actually sending to taxes?

  2. #22
    Join Date
    Mar 2005
    Location
    Kansas
    Posts
    7,427
    Post Thanks / Like
    Likes (Given)
    426
    Likes (Received)
    3400

    Default

    Once you become a business owner, the success of your business depends on your ability as a business owner much more than your abilities as a machinist. Knowing where the money goes, and why, is incumbent in your duties. Ask questions of both your bookkeeper and your accountant. If you don't get answers you can understand, find new help. You wouldn't employ a machinist that tried to baffle you or couldn't explain what he was doing, would you?

    A basic understanding of business taxation isn't difficult, but it does require a different mindset. Don't get hung up on whats fair and whats not, there is nothing you can do about it. Its just how the game is played. You just have to figure out how you can minimize the expense.

    Ries had good ideas about how to pay yourself an owners draw without paying social security taxes on it.

  3. Likes 4 FN 27, Zahnrad Kopf liked this post
  4. #23
    Join Date
    Jan 2003
    Location
    Canada
    Posts
    11,203
    Post Thanks / Like
    Likes (Given)
    5272
    Likes (Received)
    3355

    Default

    According to a few online US tax calculator on 70K personal gross, about 20% of it would go to income taxes(fed) and FICA included.
    I'd expect less with business deductions and such.
    From the numbers we saw so far it sounds like you're paying closer to 50% so that can't be right.

    Washington Income Tax Calculator | SmartAsset.com


    I find it funny that 6-7% is considered a really high sales tax down there... its 15% here and we're lucky it isn't more yet(but that's coming).

  5. #24
    Join Date
    Jul 2012
    Country
    UNITED STATES
    State/Province
    Washington
    Posts
    2,793
    Post Thanks / Like
    Likes (Given)
    1067
    Likes (Received)
    1114

    Default

    Quote Originally Posted by SND View Post
    According to a few online US tax calculator on 70K personal gross, about 20% of it would go to income taxes(fed) and FICA included.
    I'd expect less with business deductions and such.
    From the numbers we saw so far it sounds like you're paying closer to 50% so that can't be right.

    Washington Income Tax Calculator | SmartAsset.com


    I find it funny that 6-7% is considered a really high sales tax down there... its 15% here and we're lucky it isn't more yet(but that's coming).
    Well, how much is your health insurance? How big is your deductible? Mine is $6k. And how much do you trust that when you need it they will payout?

    Washington does not have an income tax. We have a sales tax, 7% plus local add-ons, our machines, equipment, and repairs to them that last more than a year are exempt, and personal property tax. There are some other minor taxes but they barely apply if you ship most of your product out of state. For a small business, our taxes are not bad. I only speak of the state, if you are in some of the bigger cities then you may need some Vaseline.

  6. #25
    Join Date
    Jan 2007
    Location
    Flushing/Flint, Michigan
    Posts
    7,677
    Post Thanks / Like
    Likes (Given)
    381
    Likes (Received)
    6410

    Default

    One thing that shows up is that this is messy.
    I meet with my CPA and Lawyer at my shop every year.
    One is famous for saying, "Well ,they have passed another new accounting and legal help employment act for this year".
    He is speaking to rule changes but at least he was honest about it and how he made a living.
    Bob

  7. #26
    Join Date
    May 2010
    Country
    DENMARK
    Posts
    3,232
    Post Thanks / Like
    Likes (Given)
    4013
    Likes (Received)
    12693

    Default

    Quote Originally Posted by DavidScott View Post
    Well, how much is your health insurance? How big is your deductible? Mine is $6k. And how much do you trust that when you need it they will payout?
    No doubt about it, healthcare costs rise around the world. I wish one day someone would give me a logical explanation as to why the USA is so opposed to tax financed healthcare compared to health insurance?

    Countries with tax financed healthcare (partially or fully) also have many that take out insurance but mostly for the same reason as some have expensive cars and houses and some don't. They can afford it to pay for "extra". Why wait in a queue for non life threatening treatment if you have the money?

    Of course I have insurance for many things all of which I pay to just to make sure if the worst comes to the worst I don't go broke or similar. Healthcare is in a whole other league.

    List of countries by total health expenditure per capita - Wikipedia

  8. #27
    Join Date
    May 2009
    Country
    UNITED STATES
    State/Province
    Wyoming
    Posts
    3,225
    Post Thanks / Like
    Likes (Given)
    7808
    Likes (Received)
    5189

    Default

    Quote Originally Posted by Gordon B. Clarke View Post
    No doubt about it, healthcare costs rise around the world. I wish one day someone would give me a logical explanation as to why the USA is so opposed to tax financed healthcare compared to health insurance?
    We do have tax financed healthcare; it's called Medicare. It's mandatory after age 66. Just about anything is covered. My $500 prescription is about $10. We also have secondary private insurance to cover anything Medicare doesn't. The problem is that the older demographic's healthcare is paid for via taxes on the earnings of a much younger and smaller demographic, which means (like Social Security) it's not sustainable until enough codgers like me die off and some population balance ensues.

    Extending Medicare benefits to the entire population—including illegals, as Fauxcahontas/Lieawatha advocates, would require taxation levels guaranteed to crush small business. More to the point here on PM, that would of course include small machine shops, which is to say, most of the machine shops in this country. Not much chance it will happen, but if it ever does, the sole avenue for survival would be outright tax evasion and an underground economy. Or whatever machine shops do in Venezuela these days.

  9. Likes SND liked this post

Tags for this Thread

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •