Apropos Slacktivist's Post-apocalyptic anarchy day and the Tax Foundation's Tax Freedom Day, I got to wondering. When is my Tax Freedom day? I can't just assume it's April 13, like the TF folks publicize. I can't even really use the slightly more specific one they quote for Tennessee (April 5).
So, since it's income tax preparation season, I figured I'd figure out mine. All numbers somewhat approximated due to it being nobody's business in general, although someone could potentially look up my gross salary as a state employee. That bugs me a bit, but I can live with it as part of transparency in government.
So, the numbers:
- Gross household income: substantially higher than the median for Tennessee, but not ridiculous. We're effectively single-income, but I don't make anywhere near the median income for engineers working in industry.
- Deductions: two semesters of Carolyn's undergraduate education at TTU. Property tax. Standard deduction.
- Income taxes withheld: about four weeks gross income.
- Social security taxes withheld: about three weeks gross income.
- Medicare taxes withheld: under one week gross income.
So far, I'm up to a bit over than two months of gross income combining all my federal and property taxes, and my property taxes make for a federal income tax deduction. With the remaining ten months of gross income, let's assume I spent everything else and paid Tennessee's crazy high 9.75% sales tax on it all, that's not quite another month of my gross income going toward taxes.
No, I'm not including license plates for the truck and other such. And realistically, we do manage to save a bit at the end of each month. So as a worst case, our day is mid to late March. Realistically, a bit earlier.