How much money do you make? Many Americans know what their wages and salary are. But they might be surprised to know that, on average, wages account for less than half the income of a U.S. household. Others might pull Adjusted Gross Income off their income tax return. That adds sources such as
The Tax Policy Center has changed the way it calculates income . The new definition, which TPC calls “expanded cash income” or ECI, will raise measured income for most taxpayers. ECI includes sources of income TPC previously excluded such as employer contributions to retirement plans and health
Investment manager James Ross last week told New York Times columnist James Stewart that his combined federal, state, and local tax rate was 102 percent. No doubt, Ross did pay a lot of tax to the feds and the two New Yorks, city and state. But did he really pay more than all of his income in tax?