tax question - GoFuckYourself.com

Fucksakes · 05-26-2005, 01:23 PM

who pays more in taxes, someone who works for someone.. or someone who is self employed..

having an arguement with someone.

After Shock Media · 05-26-2005, 01:25 PM

To much of a blanket question with to many non listed variables.

Terenzo · 05-26-2005, 01:26 PM

i think it depends - not least on the country, but i think if you are self employed you can play dirty tricks legally

Fucksakes · 05-26-2005, 01:30 PM

Quote:

Originally Posted by Terenzo

i think it depends - not least on the country, but i think if you are self employed you can play dirty tricks legally

I am very happy with what I paid in taxes this year. as self employed

Terenzo · 05-26-2005, 01:32 PM

Quote:

Originally Posted by Fucksakes

I am very happy with what I paid in taxes this year. as self employed

the first time when i paid taxes so high that i could have bought a house in california i freaked out - but now i am proud to be able to support my community. i am deadly serious.

AcidMax · 05-26-2005, 01:32 PM

When you think about it someone self employed pays more taxes, however you can also write more off

If you are just comparing paycheck to paycheck then the self employed pay more.

The reason is because as en employee your employer pays a certain percentage of taxes. I want to say its like 13%, then you pay the rest.

When you are self employed you pay your share + the employer 13% so you pay 13% more than someone not self-employed.

Hope that makes sense, and this is based in the U.S., not sure how it is in other countries.

Andy

Terenzo · 05-26-2005, 01:33 PM

... swiss taxes are not the highest around.

Sosa · 05-26-2005, 01:34 PM

matters how much you make I think. Self employment tax sucks ass if you make good money. That is why I set up a corporation, I keep most of the money int he corp that isn't taxed as high. Then pay myself a monthly salary out of the corporation.

ModelPerfect · 05-26-2005, 01:37 PM

Depends. Without deductions, the self-employed does, because there's still the pain in the ass self-employment tax which is taxed before your standard deduction. But if you keep good records and use all your deductions, then a self-employed individual can pay considerably less.

AcidMax · 05-26-2005, 01:40 PM

Another thing to add....

For those with a corporation (i know it will work with S-Corps not sure about C-Corps), is take advantage of the dividends

Instead of paying 26+% in taxes by paying yourself a paycheck, give yourself a bonus every quarter or so with a dividend check. Dividends you only pay 15% in taxes as opposed to the higher payroll taxes.

Of course be careful if you only pay yourself $1000 a month and take a $20,000 dividend check every quarter they are going to investigate it.

Dividends are nice though to supplement your income and maybe put you into a lower tax bracket.

Just another advantage besides the others, just because you have a corporation.

Fucksakes · 05-26-2005, 01:48 PM

Quote:

Originally Posted by Terenzo

the first time when i paid taxes so high that i could have bought a house in california i freaked out - but now i am proud to be able to support my community. i am deadly serious.

damn!

that explains your sig. ill sell my sig for 1/5 of that in a heartbeat.

05-26-2005, 01:23 PM	#1
Fucksakes Shit... Fuck! What the Hell? Industry Role: Join Date: Dec 2003 Posts: 7,567	tax question who pays more in taxes, someone who works for someone.. or someone who is self employed.. having an arguement with someone.

05-26-2005, 01:25 PM	#2
After Shock Media It's coming look busy Join Date: Mar 2001 Location: "Ph'nglui mglw'nafh Cthulhu R'lyeh wgah'nagl fhtagn". Posts: 35,299	To much of a blanket question with to many non listed variables. __________________ [email protected] ICQ:135982156 AIM: Aftershockmed1a MSN: [email protected]

05-26-2005, 01:26 PM	#3
Terenzo Confirmed User Join Date: Jan 2002 Posts: 971	i think it depends - not least on the country, but i think if you are self employed you can play dirty tricks legally __________________ Signature Spot - USD 5000 / month

05-26-2005, 01:32 PM	#6
AcidMax Confirmed User Join Date: May 2002 Location: MI Posts: 1,827	When you think about it someone self employed pays more taxes, however you can also write more off If you are just comparing paycheck to paycheck then the self employed pay more. The reason is because as en employee your employer pays a certain percentage of taxes. I want to say its like 13%, then you pay the rest. When you are self employed you pay your share + the employer 13% so you pay 13% more than someone not self-employed. Hope that makes sense, and this is based in the U.S., not sure how it is in other countries. Andy __________________ Latest MMA news. http://www.mmawrapup.com

05-26-2005, 01:33 PM	#7
Terenzo Confirmed User Join Date: Jan 2002 Posts: 971	... swiss taxes are not the highest around. __________________ Signature Spot - USD 5000 / month

05-26-2005, 01:34 PM	#8
Sosa In Tushy Land Join Date: Oct 2002 Location: Nebraska Posts: 40,149	matters how much you make I think. Self employment tax sucks ass if you make good money. That is why I set up a corporation, I keep most of the money int he corp that isn't taxed as high. Then pay myself a monthly salary out of the corporation.

05-26-2005, 01:37 PM	#9
ModelPerfect Confirmed User Join Date: Nov 2003 Location: USA Posts: 2,862	Depends. Without deductions, the self-employed does, because there's still the pain in the ass self-employment tax which is taxed before your standard deduction. But if you keep good records and use all your deductions, then a self-employed individual can pay considerably less. __________________ Logan modelperfect [at] gmail.com http://www.modelperfect.com (Proudly hosted at www.webair.com )

05-26-2005, 01:40 PM	#10
AcidMax Confirmed User Join Date: May 2002 Location: MI Posts: 1,827	Another thing to add.... For those with a corporation (i know it will work with S-Corps not sure about C-Corps), is take advantage of the dividends Instead of paying 26+% in taxes by paying yourself a paycheck, give yourself a bonus every quarter or so with a dividend check. Dividends you only pay 15% in taxes as opposed to the higher payroll taxes. Of course be careful if you only pay yourself $1000 a month and take a $20,000 dividend check every quarter they are going to investigate it. Dividends are nice though to supplement your income and maybe put you into a lower tax bracket. Just another advantage besides the others, just because you have a corporation. __________________ Latest MMA news. http://www.mmawrapup.com