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What would the taxes be for 5000 a week for life?

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What would the taxes be for 5000 a week for life?

Postby macario » Wed May 30, 2012 6:52 am

if i was to hit the pch 5000 a week for life, how much am I looking at in tax per week?
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What would the taxes be for 5000 a week for life?

Postby deven » Wed May 30, 2012 6:56 am

if i was to hit the pch 5000 a week for life, how much am I looking at in tax per week?
The annual income from 5000 a week would be 260,000, which would be taxed at the highest federal tax rate of 35% (currently), which would be 91,000/year. Of course this would vary depending on your deductions and other income. The state and local taxes would depend on the state and local government tax laws.
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What would the taxes be for 5000 a week for life?

Postby tormey48 » Wed May 30, 2012 7:09 am

Just stay hopeful at this time and for the current tax year rates the FIT maximum marginal tax rate is 35% plus your state income tax rates for the 2012 tax year.
So you would need to have at least 43% ($2159) each week for the FIT and also the state income tax as estimated taxes that you should plan on having them withhold as your advance estimated tax payments for the 2012 tax year that you would get to use as a credit on your 2012 income tax return when you would correctly complete it during the 2013 tax filing season and then may be if the amount that is withheld would be MORE than your FIT and your state income liabilities are then you might be able to qualify for a REFUND of some of the withheld estimated tax amount as a REFUND when you sign your return and send it to the IRS for processing during the 2013 tax filing season.
And then each future tax year the amount of income tax could be subject to changes as the tax laws do change each year for this purpose.
Hope that you find the above enclosed information useful. 05/21/2012
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What would the taxes be for 5000 a week for life?

Postby sargent » Wed May 30, 2012 7:12 am

Far too many variables to say. Your marital status, filing status, number of dependents and their ages and relationship to you, deductions, other income, etc. all come in to play.

For example, using the 2011 tax tables, if you were single, had no dependents, claimed the standard deduction, and had no other income, the total federal income tax would be $67,562 or 25.98% of the total. If you were married, your spouse didn't work, you had 3 children all under age 17, took the standard deduction, and had no other income, the federal income tax would be $56,154 or 21.59% of the total.

State income taxes are all over the radar screen and could vary from 0% to as much as 8% or so on top of the federal income taxes.
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What would the taxes be for 5000 a week for life?

Postby fyfe » Wed May 30, 2012 7:20 am

hard to tell, tax rates will vary depending on the mood of Congress
currently probably at least $1300 a week for the $5000
and life may only be until next week, also another indeterminate fact
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