4.10.2013

Life - taxes are death

So I finally mustered the energies last night to finalize my taxes.

Months go, I converted all of the IRS 2012 tax forms into excel, including the formulas. If you needed to put 50% of one cell into another cell, excel did it for me! I'm crazy, I know.

One month ago, I input all my numbers, income, business expenses (I'm self-employed), and deductibles. All in all, I was very proud of myself. I came out 1k+ under what I thought I'd owe. Sweet!

Last night, as I said, finally mustered the energy to fill out the forms with my previously arrived at data, write checks, and seal them to be mailed.

Well, when I looked back over them, I was suddenly struck by how low my taxes were. Tip: never rethink your taxes, especially the week before they are due. I looked through all the numbers when I realized that I never listed my actual tax, the kind you pay on your actual income. I put in my self-employment tax, my deductibles, and such, but I forgot the tax. Now it probably doesn't seem like that much money, but as a percentage of my income it is insane! The amount that I owe in addition to what I had originally thought and saved for is more than I make in one month!

After thinking about it, really thinking about it, 12% isn't bad. But that isn't even the full amount I have to pay. That's the astounding part.

Don't even get me started on what my taxes don't provide me with. Universal healthcare, anyone?

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