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Update to Ask HN: What to do if I’m about to lose my job to mental health issues

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Re: Update to Ask HN: What to do if I’m about to lose my job to mental health issues

#91
post #78

I'm not presently going through exactly what you went through - but I can relate on many levels. I've been on and off anti-depressants since I was sixteen, and I'm 33 now. My self-confidence has been basically destroyed, and I've kind of been just a shell of a human being ever since middle school. I've never figured myself out, and I've never felt like I've had time to, or the space and energy. I've been in and out o…

Best of luck to you as you make these changes. Your journey is yours alone to make, so don’t take this advice but rather an anecdote. When I was able to better understand what I valued in life (which is also constantly changing) I was able to find a lot more peace in my day to day life. I do what I value. I avoid what I do not. Much of what I value comes with challenges, pain, and difficulty, but because I value it t…

Thank you!

I really do value that feedback. I have also stopped using almost all forms of social media. I can't drop twitter - but that is because I value a lot of the content I read there (mostly related to game development).

I've also learned that I need to focus on what is important to my health, and less, on what is important to others.

These are hard lessons for some individuals to learn. It's amusing - because very much of my behavior is self-centered.

I think the key lesson I've learned throughout my continual growing process, is that thoughtless compassion and service to others, grants you the ability to also be compassionate towards yourself.

Living in your problems, hating life, focusing on negatives all the time, wraps your head around your own negativity and dissatisfaction with life.

It's a fine balance that needs to be maintained, and it's easy to slip up in that regard, but I think it's also critical in healing and recovery.

And even then - living this and thinking it, are two totally different things.

Re: Update to Ask HN: What to do if I’m about to lose my job to mental health issues

#92

Earlier quoted context omitted.

You've excluded employers national insurance contributions here, which is 13.8% of total pay. That makes the true "main" marginal rate c.44% (20% tax + 12% employee national insurance + 13.8% employers NI / 113.8%). Most higher earners in e.g. tech or professions will be in the 40% band at least, where the true marginal rate is c.49% (40%+2%+13.8% / 113.8%). The "top" marginal rate is c.53% (45% tax+2% employee NI+13…

Adding the employers contribution to calculate marginal rates for employees is not how its calculated. Do you think any employer in the uk would magically give you the 13.8 if employers ni went away. And most STEM jobs including tech don't get into the higher band at 46,350 I think you ignored the tax free band.

Yes I do think it would be likely to end up in employees pockets for many actually, over time (but probably only for a few overnight). This is what has largely happened with employer pension contributions which were capped first via the lifetime allowance and then the taper down from 40k to 10k for income over 150k. Most employers now offer a cash (ie salary increase) alternative at neutral cost to the employer.

Re: Update to Ask HN: What to do if I’m about to lose my job to mental health issues

#93
post #55

Earlier quoted context omitted.

Wow, that's actually a great deal. The top marginal tax rate in the state of California this year is roughly 65% (and that's excluding employer contributions). 13.3% of all income (State) + 39.6% of all income (Federal) + 5.3% of all income (Federal double tax on State Tax - thanks, Donny) + 6.2% of all income (Social Security - Individual) ===== 64.4% Then of course your employer pays another 6.2% of gross earnings…

You're double counting the "Federal double tax." Also, the marginal Social Security tax is $0, since it phases out long before you hit those marginal rates. That being said, the reason France can offer robust services while California cannot, even though tech worker taxes are similar between the two countries, is because France taxes everyone that way. In France, the 41% tax bracket (just a little lower than the top…

Yep, you're absolutely right, I did double-count the double-tax. Your comment had me re-run the numbers, and this is what I came up with. You are correct that Social Security goes down to $0.

Medicare contributions have no cap, and are 1.45% by both the employer and employee and the 0.9% Obamacare surcharges on the employee only portion (until 2035) kicks in over $250,000 also. Therefore, social insurance contributes a marginal 3.79%

So, the numbers to the best of my knowledge should have been:

13.3% of all income (State) +

39.6% of all income (Federal, including the Donny double-tax) +

2.34% of all income (Medicare, Obamacare - Employee Contributions) +

1.45% of all income (Medicare - Employer Contributions)

=====

56.69%

Then you still have to deal with the fixed portions, the $19,616 [1] in healthcare premiums, the $7,347 you'd have paid in social security tax and the $7,347 your employer would have paid in social security tax. [2]

[1] https://www.kff.org/health-costs/report/2018-employer-health...

[2] https://www.bizfilings.com/toolkit/research-topics/managing-...

Re: Update to Ask HN: What to do if I’m about to lose my job to mental health issues

#94
post #55

Earlier quoted context omitted.

You're double counting the "Federal double tax." Also, the marginal Social Security tax is $0, since it phases out long before you hit those marginal rates. That being said, the reason France can offer robust services while California cannot, even though tech worker taxes are similar between the two countries, is because France taxes everyone that way. In France, the 41% tax bracket (just a little lower than the top…

Yep, you're absolutely right, I did double-count the double-tax. Your comment had me re-run the numbers, and this is what I came up with. You are correct that Social Security goes down to $0. Medicare contributions have no cap, and are 1.45% by both the employer and employee and the 0.9% Obamacare surcharges on the employee only portion (until 2035) kicks in over $250,000 also. Therefore, social insurance contributes…

None of that is on all income; base Medicare is only on labor income, the Medicare surtax is on either (specifically, the lesser of) labor income or net investment income above certain thresholds, and the rest is on “normally taxed” income (but not, e.g., long-term capital gains, or gifts and inheritances—which, even when beyond the enormous exempt quantities, aren't taxed as normal income for the recipient, but to the giver or estate, and in California at a lower combined maximum state and federal rate than normal income tax, 40% federal and no state.)

Re: Update to Ask HN: What to do if I’m about to lose my job to mental health issues

#95

Earlier quoted context omitted.

Yep, you're absolutely right, I did double-count the double-tax. Your comment had me re-run the numbers, and this is what I came up with. You are correct that Social Security goes down to $0. Medicare contributions have no cap, and are 1.45% by both the employer and employee and the 0.9% Obamacare surcharges on the employee only portion (until 2035) kicks in over $250,000 also. Therefore, social insurance contributes…

None of that is on all income; base Medicare is only on labor income, the Medicare surtax is on either (specifically, the lesser of) labor income or net investment income above certain thresholds, and the rest is on “normally taxed” income (but not, e.g., long-term capital gains, or gifts and inheritances—which, even when beyond the enormous exempt quantities, aren't taxed as normal income for the recipient, but to t…

And NSO stock options, which is likely very relevant to this audience.
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