Symfony Profiler

App\Message\ActivityPub\Inbox\ActivityMessage {#353
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Lets say you live in a country with two income tax brackets. First bracket is 30% and the second bracket is 35% and applies to earnings over 20k and you get 1000 tax break. Compare someone who earns 30k and 10k in overtime with someone who earns 40k outright</p>\n<table>\n<thead>\n<tr>\n<th>Earnings Person A</th>\n<th>Tax</th>\n<th></th>\n<th></th>\n<th>Earnings Person B</th>\n<th>Tax</th>\n<th></th>\n<th></th>\n<th></th>\n<th></th>\n</tr>\n</thead>\n<tbody>\n<tr>\n<td>30k</td>\n<td></td>\n<td></td>\n<td></td>\n<td>40k</td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n</tr>\n<tr>\n<td>(20k * 30% + 10k* 35% )</td>\n<td>10.5k</td>\n<td></td>\n<td></td>\n<td>(20k * 30% + 20k* 35% )</td>\n<td>13k</td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n</tr>\n<tr>\n<td>tax break</td>\n<td>1k</td>\n<td>average tax rate</td>\n<td></td>\n<td>tax break</td>\n<td>1k</td>\n<td>average tax rate</td>\n<td></td>\n<td></td>\n<td></td>\n</tr>\n<tr>\n<td>tax</td>\n<td>8.5k</td>\n<td>28.3%</td>\n<td></td>\n<td>tax</td>\n<td>12k</td>\n<td>30%</td>\n<td></td>\n<td></td>\n<td></td>\n</tr>\n<tr>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n</tr>\n<tr>\n<td>Overtime Earnings</td>\n<td>Tax</td>\n<td></td>\n<td></td>\n<td>Overtime Earnings</td>\n<td>Tax</td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n</tr>\n<tr>\n<td>10k</td>\n<td></td>\n<td>average tax rate</td>\n<td></td>\n<td>0k</td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n</tr>\n<tr>\n<td>(10k * 35% )  (all these earnings fall in the second bracket)</td>\n<td>3.5k</td>\n<td>35%</td>\n<td></td>\n<td></td>\n<td>0k</td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n</tr>\n<tr>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n<td></td>\n</tr>\n<tr>\n<td></td>\n<td></td>\n<td>average tax rate</td>\n<td></td>\n<td></td>\n<td></td>\n<td>average tax rate</td>\n<td></td>\n<td></td>\n<td></td>\n</tr>\n<tr>\n<td>Total Tax</td>\n<td>12k</td>\n<td>30%</td>\n<td></td>\n<td>Total tax</td>\n<td>12k</td>\n<td>30%</td>\n<td></td>\n<td></td>\n<td></td>\n</tr>\n</tbody>\n</table>\n<p>You see they pay the same amount, so no special tax for overtime it’s just taxed in the higher bracket because it’s earnings above 20k same as the non overtime earnings above 20k. The 1st bracket has been fully utilized before the tax for overtime is calculated. The brackets are like buckets you can only fill them up once. Once one is full the next amount of income is added to the next one doesn’t matter where it comes from.</p>\n<p>And in this example someone who would earn 15k and 5k in overtime would pay 30% on their overtime earnings. Since it still falls in the first bracket, the total earnings is all in the first bracket thus no higher tax on overtime. Of course with the tax break their total average tax rate would be lower.</p>\n<table>\n<thead>\n<tr>\n<th>Earnings</th>\n<th>Tax</th>\n<th></th>\n</tr>\n</thead>\n<tbody>\n<tr>\n<td>15k</td>\n<td></td>\n<td></td>\n</tr>\n<tr>\n<td>(15k * 30%)</td>\n<td>4.5k</td>\n<td></td>\n</tr>\n<tr>\n<td>tax break</td>\n<td>1k</td>\n<td>average tax rate</td>\n</tr>\n<tr>\n<td>tax</td>\n<td>3.5k</td>\n<td>23.33%</td>\n</tr>\n<tr>\n<td></td>\n<td></td>\n<td></td>\n</tr>\n<tr>\n<td>Overtime Earnings</td>\n<td>Tax</td>\n<td></td>\n</tr>\n<tr>\n<td>5k</td>\n<td></td>\n<td>average tax rate</td>\n</tr>\n<tr>\n<td>(5k * 30% ) (still in the first bracket since total is 20k)</td>\n<td>1.5k</td>\n<td>30%</td>\n</tr>\n<tr>\n<td></td>\n<td></td>\n<td></td>\n</tr>\n<tr>\n<td></td>\n<td></td>\n<td>average tax rate</td>\n</tr>\n<tr>\n<td>Total Tax</td>\n<td>5k</td>\n<td>25%</td>\n</tr>\n</tbody>\n</table>\n","inReplyTo":"https://lemmy.world/comment/19797876","mediaType":"text/html","source":{"content":"It has nothing to do with overtime, it’s just that you earn more. Someone who earns the same amount in 40 hours as someone who earns that in 80 hours pays the same amount of tax. \n\nIt doesn’t make sense to tax people who do overtime more than someone who doesn’t do overtime yet earns the same amount. \n\nedit: here is an example. Lets say you live in a country with two income tax brackets. First bracket is 30% and the second bracket is 35% and applies to earnings over 20k and you get 1000 tax break. Compare someone who earns 30k and 10k in overtime with someone who earns 40k outright\n\n| Earnings Person A        |  Tax    |                   |   | Earnings Person B        | Tax  |                   |   |   |   |\n|--------------------------|---------|-------------------|---|--------------------------|------|-------------------|---|---|---|\n| 30k                      |         |                   |   |  40k                     |      |                   |   |   |   |\n| (20k * 30% + 10k* 35% )  |  10.5k  |                   |   |  (20k * 30% + 20k* 35% ) | 13k  |                   |   |   |   |\n| tax break                | 1k      |  average tax rate |   |  tax break               | 1k   |  average tax rate |   |   |   |\n| tax                      | 8.5k    | 28.3%             |   | tax                      | 12k  |  30%              |   |   |   |\n|                          |         |                   |   |                          |      |                   |   |   |   |\n| Overtime Earnings        | Tax     |                   |   | Overtime Earnings        | Tax  |                   |   |   |   |\n| 10k                      |         |  average tax rate |   | 0k                       |      |                   |   |   |   |\n|  (10k * 35% )  (all these earnings fall in the second bracket)        | 3.5k    | 35%               |   |                          | 0k   |                   |   |   |   |\n|                          |         |                   |   |                          |      |                   |   |   |   |\n|                          |         |  average tax rate |   |                          |      |  average tax rate |   |   |   |\n| Total Tax                | 12k     | 30%               |   | Total tax                | 12k  | 30%               |   |   |   |\n\nYou see they pay the same amount, so no special tax for overtime it's just taxed in the higher bracket because it's earnings above 20k same as the non overtime earnings above 20k. The 1st bracket has been fully utilized before the tax for overtime is calculated. The brackets are like buckets you can only fill them up once. Once one is full the next amount of income is added to the next one doesn't matter where it comes from.\n\nAnd in this example someone who would earn 15k and 5k in overtime would pay 30% on their overtime earnings. Since it still falls in the first bracket, the total earnings is all in the first bracket thus no higher tax on overtime. Of course with the tax break their total average tax rate would be lower. \n\n| Earnings       |  Tax    |                   | \n|--------------------------|---------|-------------------|\n| 15k                      |         |                   |\n| (15k * 30%)  |  4.5k  |                   |\n| tax break                | 1k      |  average tax rate |\n| tax                      | 3.5k    | 23.33%             |\n|                          |         |                   |\n| Overtime Earnings        | Tax     |                   |\n| 5k                      |         |  average tax rate |\n|  (5k * 30% ) (still in the first bracket since total is 20k)  | 1.5k    | 30%               |  \n|                          |         |                   | \n|                          |         |  average tax rate | \n| Total Tax                | 5k     | 25%               | ","mediaType":"text/markdown"},"published":"2025-10-07T06:24:06.852598Z","updated":"2025-10-07T10:01:28.266640Z","tag":[{"href":"https://lemmy.world/u/CrowAirbrush","name":"@CrowAirbrush@lemmy.world","type":"Mention"}],"distinguished":false,"audience":"https://lemmy.world/c/memes","attachment":[]},"cc":["https://lemmy.world/c/memes","https://lemmy.world/u/CrowAirbrush"],"tag":[{"href":"https://lemmy.world/u/CrowAirbrush","name":"@CrowAirbrush@lemmy.world","type":"Mention"}],"type":"Update","audience":"https://lemmy.world/c/memes"},"cc":["https://lemmy.world/c/memes/followers"],"type":"Announce","id":"https://lemmy.world/activities/announce/update/c8985854-8d09-4221-a54d-88df8c811d52"}"
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Symfony\Component\Messenger\Stamp\BusNameStamp {#343
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}

Symfony\Component\Messenger\Stamp\SentStamp {#268
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}

Symfony\Component\Messenger\Stamp\TransportMessageIdStamp {#227
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}