scaredyclassic wrote:my dad

[joec]

[quote=scaredyclassic]my dad was always happy to pay taxes. he said it meant he was making money.[/quote]

Your dad is a smart man. Since I’m dead broke, make no money and am very poor, my effective tax rate will be negative this year (according to Turbotax) I’d think…Course, I can’t find a way to avoid paying FICA so it’s actually higher.

For comparison, Warren Buffet had a 11% effective tax rate in 2010.

Mitt Romney, whose AGI in 2011 was $20.9 million and whose effective federal tax rate was 15.4%.

http://money.msn.com/tax-planning/whats-your-real-tax-rate

You probably have too much “wage” income flu taxed at extremely high rates.

One reason that it’s smart tax planning to find ways to minimize “earned income” vs. other types of income.