I wanted to fight you one this. I went out and found how much a couple in the SV making a million a year would take home every month.
It's about $33k. My only friends that make that much money work in tech. $33k is a comfy yearly salary in Montana.
It's about $33k. My only friends that make that much money work in tech. $33k is a comfy yearly salary in Montana.
High W2 income earners are heavily taxed in the US.
45-50% is a better total estimate for a total tax rate.
The last dollar made is taxed at 53% (40% federal, 13% CA), so that's why the 60% number didn't sound horribly off. This is also ignoring FICA and SS taxes, which it's far too late to do the math on :)
Someone earning £1,000,000 in the UK would pay 46% tax.