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Tax Foundation
The Tax Foundation has a fascinating new post looking at the latest IRS data on "millionaires," by which it means taxpayers who report more than $1 million in annual income.
The number of million-dollar earners fell 40 percent in the financial industry meltdown and Great Recession of 2007-2009 before making a comeback in 2010, the most recent year available.
In 2010 about 268,000 taxpayers reported adjusted gross income of $1 million or more, up from 237,000 in 2009, which was a six-year low.
Of course millionaires represent just a tiny fraction of the nation's 143 million taxpayers -- just a small sliver of the top 1 percent. (It's about the top 0.2 percent.)
And while millionaires are making a comeback, the picture has been less promising for the vast millions of the middle class. A census report last fall showed that the nation's median income was $49,445 in 2010, a decline of 2.3 percent from 2009 when adjusted for inflation.
The Tax Foundation report shows that the nation's wealthiest earners typically share a few traits: They are older, well educated and tend to have more than one income in the household.
For example 86 percent of "millionaire" tax returns were filed by married couples, compared with only 40 percent of all tax returns. (The vast majority of tax returns are filed as single individuals or heads of household.)
Nearly half of all millionaire filers were 55 and older.
The Tax Foundation also points out that millionaire status can be fleeting. Of the 675,000 taxpayers who earned over $1 million for at least one year in the past decade, only 6 percent maintained that status for all nine years. Half broke the $1 million barrier in just one tax year, and another 15 percent broke the barrier twice.
Folks at the Tax Foundation, who are also behind the annual "Tax Freedom Day," figure that the average effective tax rate on million-dollar earners has remained "fairly high throughout the period." The effective federal tax rate on these high earners fell from 29 percent in 2003 to 23 percent in 2007 before rising again to 25 percent as of 2010.
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Sick people not being able to go to the @!$%#ing doctor has nothing to do with wanting rich people's @!$%#. The country is in big @!$%#ing trouble morons.
... their tax rate remained fairly high ... it is rising again to 25%.
If that is fairly high then what is the middle class tax rate, 33% should be in the stratosphere, that's why it never comes down to earth. Read the book -
In your face IRS: zero taxes, Amazon ASIN: B00885OTUG
Middleclass needs to structure their income.
If a middle class household income in between $50,000-75,000, then according to IRS data for 2009, their average tax rate was around 7% for individual federal income tax.
This is very good news!
Now the "trickle down" effect, so precious to the Republicans, will begin and we will be making more money than we can count! I know it because it worked so well under Reagan, who left the country at the edge of the abyss.
But, what else is new? Millionaires making more money now? What a shock!!
The repubs blocked parts of the stimulus, the same stimulus which keep the USA from going over completely. The business only mentality gave the best and most tax breaks to the super rich and large corporations, while taxing the middle class and ignoring small businesses. That’s why they generally NEVER vote for anything pro-consumer, even though it was consumers, who were barely able to keep the economy going. The Income Gap between the super rich (still getting richer as usual) and the rest of America (still lower or stagnant) is Class Warfare. Remember, it was the business, financial sector that brought down the U.S. economy and now the repubs want a narrow, business-minded Romney, who as a corporate raider sees a opportunity to gut a larger company ( the U.S), get rid of her assets, fire all the employees and enrich a chosen few. We need to protect CONSUMERS. The economy is consumer based with consumers representing about 70% of the economy, we need to concentrate on them and protect them with Stronger consumer laws, they are job creators too.
Rising and falling stock markets will always raise or lower the numbers especially when 401ks and investments are a huge part of savings.
This data can be misleading without knowing the background behind the data. This data only shows what one's income was for a particular year, which may or may not equate to wealth. For the uber rich, most of their income is from dividends or capital gains, which fell dramatically in 2008 and 2009. Since the stock market has rebounded somewhat, expect to see the number of those with incomes over $1 million to increase. What is most troubling is that fact that the median wage as decreased during this time.
Good for them.
More millionaires, while the 99% Americans starve to death! Make sure you VOTE for their continued control by their corrupt Republican corporate "HAND-PICKED" political puppets like exlax ETCH-A-SKETCH & John Bonehead! They have destroyed our American way of life!
Vote 100% STRAIGHT DEMOCRATIC and let's rid ourselves of their so-called "FREE ENTERPRISE" which is so far from FREE and nothing but CAPITALISTIC GREED with ZERO GOVERNMENTAL CONTROL over it because of their corrupt "HAND-PICKED" political puppets!
Of course the chart only lists claimed income. Real dollars could be much higher. People who claim that kind of income know how to work the numbers in their favor. These people usually do not work for one employer receiving a W-2. They have accountants who figure it all. Not too many doing their own taxes at the kitchen table with the latest version of Turbo Tax.
Interesting how the numbers of rich people continue to rise. At least one cable infotainment station claims as long as Obama is president, this can't happen.
wireman, ten to one that cable infotainment is faux noise, right? Everything they have to say is pure political manure, all for the GOP. It's only fair and balanced for the GOP.
Even with the stock markets going up more than down, it's because of the policies Reagan put in place, don't cha new? Yep, sure like to see how McCain/Pailin would have handle this economic mess.
Oh wait, we wouldn't have to worry about the economy, we would be in WW3, Russia, China, Iran and assorted Muslim's against the US and it's allies. Can just see it now, and the GOP would still be blaming Clinton. Weeeeeeeeeeeeeeee
Proof again, the Middle class IS MOVING UP and successful.
Damn rich people. We should start a movement or something. Maybe we could go hang out in public places and whine. I know, we could call ourselves the occupy movement.
People crack me up! I always amazes me how some people cannot stand the fact that others make more more money. Heck, I think we should all make millions, but in order to do that you need to bring a little more to the table han the average union whiner, who coincidentally is the reason a lot of jobs went overseas.
P.S. as a side note to all the un/underemployed peole, learn how to weld so I can get my product quicker, sell more product and hire more people to sell more product.
Martin Wolk, The Author...good job...create another hit piece to give the whining OWS crowd and the like a forum to bitch about what they don't have and don't want to work for.
Good for these millionaires...I'm working my Ass off and will be there some day.
The chart show 2005-2008 as the high point of earnings. That is when I made the most money in my career as well. I guess Bush did SOMETHING right. Of course with the new health care "tax" and the expiration of the "Bush Tax Cuts" these new numbers will plummet.