The Motley Fool Discussion Boards
Retirement Discussions / Retire Early CampFIRE
|Subject: Re: Ten Mental Exercises Leading To Freedom||Date: 9/26/2000 6:32 PM|
|Author: jackslade||Number: 19436 of 784856|
Some very good points. However, in reference to your first article "Mental Exercise One: Add Back in the Income and Payroll Tax".
I live in California and our state sales tax rate is 8.25%. This is added to the price of the shoes.
When you add in the Social Security tax of about 6% and Federal income tax (28% for most), that comes out of the $25, you are left with earnings of $14.25.
As a result the shoes with the $125.00 price tag now cost $135.32. After dividing the $135 by $14.25 it appears you have to work 9.4 hours, or one day, plus 1.4 hours the following day, to get one stinking pair of shoes, which by the way, could be replaced with shoes that are just as functionally effective for half that amount.
|Copyright 1996-2015 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us|