Paycheck Taxes

[DavidWarner]

Tax is something I was never comfortable with. This is a good read though. Thanks.

[backtaxpro]

It amazes me as a professional why the IRS makes the code complex. Yes I probably wouldn't have a job, but some much money would be saved that other jobs would be available.

[LoanAmortization]

It looks like starting in 2013, the US will consolidate the bottom 2 tax brackets. According to wiki it will be 15%.

[LoanAmortization]

It looks like starting in 2013, the US will consolidate the bottom 2 tax brackets. According to wiki it will be 15%. The 0% break for capital gains will also become taxable.

[BlackTraumaRap]

This is an old thread but I've got a silly question.

My paystub shows year-to-date gross earnings of $60,877, $9356 federal tax, and $4633 to social security. These taxes seem high to me but I've set probably 5 allowances on my W-4. It looks like social security withheld is 7.6% of earnings? I'd appreciate it if somebody could explain this to me.