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Retirement tax questions
Yeah, usually "Effective" does not use "Taxable Income" as the divisor...but instead uses AGI (i.e. total income). (plus/minus a few special credits/deductions)
Then it gets way out of whack for those with Self-Employment income who have to pay SE taxes of ~15% before adding in the regular tax.
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____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
March 31, 2025
12:56 PM