The need for tax money must be at an all time high these days.
Today I received my retroactive back pay cheque. People were dancing in the streets, Maren is already scoping out her new Macbook, and I am depositing the cheque in the bank.
Unfortunately the cheque was 55% less than the gross amount! That seems to be a little extreme, don’t you think? I mean…who is in a tax bracket that high?
2 replies on “Extreme Tax Taking”
2 things…..the back pay is added to your regular pay hence putting you in a higher tax bracket, ie multiply your pay stub by how often you get paid… 26 X —- = and you will see why you were taxed at 55%….add in your regular pay for that period if you got a separate cheque for the backpay…
and 2 I told you a new business for self would give you many more tax havens to use ( video business )
Yes, retropay and OT are the killers when it comes to tax time. If you have some room in the RRSP slam it in there and watch the return that you get!