Wednesday, September 12, 2012

Iowa Surgeon Goes Galt


I love stories like this:
As a solo general surgeon in private practice, in 2004, with a gross business income before taxes of roughly $500K, I figured that the 39.6% Federal + 9.98% Iowa state top income tax rates + 6% [state] sales + Medicare which no longer peaked out, + property taxes, medical license fees, malpractice fees which were already at $100K for me and headed higher, and no scholarship help for the 4 out of 10 kids in college at the time, my marginal rate was somewhere north of 70%. Once I 'retired' from surgery and became a biology professor, making around $50K, my gross income was one tenth as much, but now one of my kids got a full-ride scholarship at [University], another got a half-ride scholarship, and another got a couple thousand that would not have been given under my earlier circumstances. By my 'going Galt', I figure that the .gov took at least a $200K hit (I remember previously paying $161K in fed. income taxes alone), whereas my disposable income was only about half of what it had been before.
Read the rest here
Future of Capitalism 

Judy Morris,
Blogger, THL
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