eevans Wrote:
Feb 14, 2013 9:38 AM
After Obama SOU speech and his throwing out that min. wage should be $9/hr which I'm sure all the min.wagers yelled "YES" at, it struck me that if would raise a full-time workers income to $18,720. That exceeds the max. amt of $17,900 which qualifies for 10% tax bracket! To stay in the 10% tax bracket a full-time worker cannot make more the 8.60/hr $9/hr would mean a 50% tax increase to the tax brack of 15%. I really don't think that Obama wasn't aware that it would increase min.wagers taxes because the 40 cents and hr more was calculated. 15% of $18,720 is $2,808 and obviously 10% of $17,900 is $1,790.....a tax increase of $1,018. The total gain for that $9/h would only be all of $820 a year... taxes on eat the rest away!