----- Original Message ----- 
From: "Dan Minette" <[EMAIL PROTECTED]>
To: "Killer Bs Discussion" <[email protected]>
Sent: Saturday, January 15, 2005 1:21 PM
Subject: Re: Social Security



>  If no one says that they've already calculated this in an hour or
> two, I'll go to last year's copy of TurboTax to make a calculation.

I calculated the earned income tax credit at:

http://apps.irs.gov/app/eitc/SetLanguage.do?lang=en

because TurboTax wasn't as quick as I thought.  At 20k/year it is $3250.
At $39k & 40k it is 0.  That is a 6.5% addition to dR/dE .....-6.5% change
for dB/dE.

Also, I used the wrong number in an earlier post.....

> 15.3%, but half of the tax can be deducted from one's income if one is
self
> employed.  If one is in the 25% bracket, that comes to a net rate of
about
> 13.4%.  I should know that, I'm self employed. :-)

But, the  example we were considering was a family in the 15% bracket at
the end, so it is really 14.2%.

Anyways, let me add things up.

My original guess ~ 26.2%.  We've now have included the loss of food stamps
and the earned income tax credit, which is a decrease of benefits of
16.3%...this gets us above 40% at 42.5%.  Now, we add 7.65% to both the
numerator and denominator and obtain about 46.5% as dR/dE.

That's much higher than I had before, but still below 50%.

Dan M.


Dan M.



_______________________________________________
http://www.mccmedia.com/mailman/listinfo/brin-l

Reply via email to