Cool Tool for Estimating Your Taxes Under Obama’s New Tax Plan

by Darwin on July 29, 2010

It’s unclear at the moment whether Congress will act to extend the Bush Tax Cuts, let them expire, or enact a new hybrid plan that the administration is proposing whereby only families making over $250K would see an increase.  So, given the proposed plan, this tax calculator by the Tax Foundation has a nice simple interface and spits out your total tax liability.  Based on this back of the napkin estimator, you can at least directionally tell if you’ll make out better or worse and by how much under each scenario (well, nobody makes out if the cuts expire altogether).

Here’s a screenshot of a hypothetical family with 3 kids making 100K and some other assumptions:

When I went and entered our family’s actual information, as it turns out, based on this calculator, I’d actually come out ahead under Obama’s new plan.  It doesn’t mean I agree with it, but that’s how it’s shaping up.

How’d Your’s Come Out?

{ 7 comments… read them below or add one }

Investor Junkie July 29, 2010 at 8:36 am

You bastard. I’ll owe $3k more.


Darwin July 29, 2010 at 8:46 am

Ha! You gotta start crankin’ out the kids and get a huge mortgage! (or make less)…


Investor Junkie July 29, 2010 at 8:49 am

I already have 3 like you! No more children!

Next year I’m controlling my income. I’m gonna take in more this year. Don’t think other businesses aren’t doing this because they are!


Darwin July 29, 2010 at 8:53 am

True, if I had the ability to pull income up to this year I certainly would. And 3 kids! Damn, another busy guy!


Investor Junkie July 29, 2010 at 8:59 am

Don’t forget the deduction for each child is being lowered from $1k to $500 if they let this expire. So you children are worth less to you now 😉

Believe me the third was not planned.


Financial Samurai July 30, 2010 at 11:44 pm

IT would be great under scenario #1! We can get $2,400 MORE in taxes from a family making 100K if all tax cuts expire!

How on Earth is this family getting $1,000 more under Obama’s plan???


Darwin July 31, 2010 at 12:06 am

Yes, that would be so great! The government would have that much more money to piss away and raise taxes down the road again. The government debt Ponzi scheme is quite sad. And no, that’s not just for effect. It is a Ponzi Scheme. We’re funding current expenditures with no ability to pay future obligrations later.


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