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There have already been plenty of posts discussing income taxes and US general tax structure on WSO, but here is a chart I wanted to share for anyone interested.

Source: WSJ

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Comments (8)

  • Ultima-RDK's picture

    Interesting video, thanks for the share, JS.

    Sometimes lies are more dependable than the truth.

  • SECfinance's picture

    The 1% is $1.4M+?

    BUT OWS SAID IT WAS ANYONE MAKING $250K+!

  • In reply to SECfinance
    Ultima-RDK's picture

    SECfinance:
    The 1% is $1.4M+?

    BUT OWS SAID IT WAS ANYONE MAKING $250K+!

    I think the difference here is it says "Average income" -- anyone over $250K might be in the top 1%, but the average income of all of those in that bracket is obviously going to be higher than that.

    Sometimes lies are more dependable than the truth.

  • In reply to Ultima-RDK
    TechBanking's picture

    Ultima-RDK:
    SECfinance:
    The 1% is $1.4M+?

    BUT OWS SAID IT WAS ANYONE MAKING $250K+!

    I think the difference here is it says "Average income" -- anyone over $250K might be in the top 1%, but the average income of all of those in that bracket is obviously going to be higher than that.

    Unlikely given that the average for the "Next 4%" is $254k.

  • In reply to TechBanking
    Ultima-RDK's picture

    TechBanking:
    Ultima-RDK:
    SECfinance:
    The 1% is $1.4M+?

    BUT OWS SAID IT WAS ANYONE MAKING $250K+!

    I think the difference here is it says "Average income" -- anyone over $250K might be in the top 1%, but the average income of all of those in that bracket is obviously going to be higher than that.

    Unlikely given that the average for the "Next 4%" is $254k.

    TB, what are you claiming is unlikely here, that the top 1% of earners have an average income of $1.4M? The number definitely threw me off when I first saw it, too.

    I don't know whether the graphic WSJ made is pulling household incomes or individual incomes...But, let's say there are 114,235,996 households in the U.S. (Census Bureau).

    According to the IRS, there were 127,997 tax returns filed in 2009 with AGI > $1.5 mill.

    Sometimes lies are more dependable than the truth.

  • TNA's picture

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  • In reply to Ultima-RDK
    TechBanking's picture