this post was submitted on 23 Jan 2025
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Political Memes

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[–] tootoughtoremember@lemmy.world 4 points 7 hours ago (1 children)

To be honest, if you're able to make a million a year (even hundreds of thousands a year), you can afford an accountant who will tell you not to take compensation as employment income.

If you're a business owner you'll be taking a significant share as dividends, or if you're an executive you'll be taking stock options or other share based compensation. If done correctly, you can not only take advantage of lower tax rates but also defer taxes to future years.

[–] anarchrist@lemmy.dbzer0.com 3 points 3 hours ago (1 children)

If you say so....I'm more of a turbotax on April 14 kinda guy

[–] AliasAKA@lemmy.world 1 points 2 hours ago* (last edited 2 hours ago)

They are alluding to capital gains. If you don’t need money now, you take 50 million dollars in stock, hold it for at least a year, and now you’re paying 15% or less instead of whatever the top tax bracket would be (like 37% or something) if you were to take it as employment income.