I looked and the 40% federal rate kicks in at $500k, I thought it was lower. So you're more correct than I am.
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 :)
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 :)