this post was submitted on 17 Nov 2024
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Isn't this possible? Tax brackets for 2024 I thought for single filer is 24% below 191k and 32% over 191k, isn't it?
The higher rate gets charged only on the portion above the threshold. So with those rates someone earning 192k pays ($191k * .24) + ($1k * .32) = $46,100 not ($192k * .32) = $61,400.
Where you can be worse off earning more is if it puts you over a threshold for some social services (food stamps for example) with a hard cutoff rather than progressively lower benefits.
In places with marginal tax brackets, no. The numbers are different where I live, but the principle (hah) is the same:
If you earn 291k a year, the first 191k is taxed at 24%. The money left over (100k) gets taxed at 32%. So if you get a raise or bonus, the “tax problem” is only that your extra money is immediately taxed at 32%.