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  1. #1
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    * Lame :( California Increases Income Tax Witholding By 10%

    This does not affect me (I do not live or work in California), but the story surprised me. :-/

    Check out the excerpt:

    Some call it California's cash advance.

    Effective today, the amount of state income taxes withheld from California workers' paychecks will increase 10 percent.

    That might sound like a tax increase, but state officials insist that's not the case.
    Full story: State's tax withholding bump-up starts today

    Yikes...

    -mike
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  2. #2
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    Wow, that's mind boggling. Is there another source besides Sacbee?

    Regards
    Joe
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  3. #3
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    Quote Originally Posted by UNIXy View Post
    Wow, that's mind boggling. Is there another source besides Sacbee?

    Regards
    Joe
    The Sacramento Bee is very respected source for news in California. I'm sure you can probably find it on CNN.com also if you look.



    The 10% withholding tax is wayyyyyyyy too much, it's definitely just a cash advance for California. The whole state is bankrupt, they have creative lawmakers.
    Jacob Wall - GetCloak.com

  4. #4
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    Quote Originally Posted by UNIXy View Post
    Wow, that's mind boggling. Is there another source besides Sacbee?

    Regards
    Joe
    Sure thing, Joe. See the Google News search on this.

    You can find the recent articles on this by the Los Angeles Times and the Wall Street Journal (results #2 and #3 right now).

    -mike
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  5. #5
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    It's true.

    I live in Cali and it's all over the news here.

  6. #6
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    Quote Originally Posted by Jacob Wall View Post
    The 10% withholding tax is wayyyyyyyy too much, it's definitely just a cash advance for California. The whole state is bankrupt, they have creative lawmakers.
    It is not a 10% withholding tax. It's a 10% increase in the withholding tax -but annual tax owned does not increase - just the amount withheld.

    FTB said a single person earning $51,000 annually with no dependents and one withholding allowance will see his or her weekly withholding rate go from $40.58 to $44.64, an increase of $4.06.

  7. #7
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    Why don't they just reduce the government by 10% ?

    People should be totally pissed off and recalling - YES A RECALL - all their state assembly people right now.

    Everyone's going broke and all the bureaucrats can think of is sucking more money from the people to keep non product producing government jobs?

  8. #8
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    The mind boggles.

    Feel sorry for those working in that state, getting gouged by their elected officials. Maybe move to a low tax high growth state.
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  9. #9
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    Quote Originally Posted by Aussie Bob View Post
    Feel sorry for those working in that state, getting gouged by their elected officials. Maybe move to a low tax high growth state.
    This is nothing new. The elected officials in this State have consistently reinforced their total incompetence, especially in the last 20 years. Doesn't matter who is in office nor what party is in power - they all stink.

    If you think about it legislators are like teenagers being allowed to run around the mall with an American Express Black card. They haven't passed a budget on time in years and this year was especially bad, mainly because they had to re-arrange the deck chairs on the Titanic. They should be forced to show they can balance a checkbook BEFORE they are allowed to take office. Seriously. Let's write a law into the books on that one.

    When times are good, they spend, spend, spend. When times are bad they spend, spend, spend. There is virtually no fiscal restraint here. They point fingers at each other and blame this year's crisis on each other - the Governor says it's the legislature's fault, the legislature says it's the Governor's fault (partisan bickering) - meanwhile the Controller is cutting IOUs, most public workers are being furloughed 4-8 weeks of the year (or more), and we're all bracing for this to be even worse next year. State revenues are way down and it's not going to be getting any better any time real soon. This is yet another band-aid that will suck more money out of BOTH paychecks and unemployment checks (since, comically, you still have to pay taxes on your UI checks).

    Who knows if we have the will to vote them out. We publicly recalled a terrible Governor recently, though we replaced him with someone who is arguably even worse.

  10. #10
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    So high taxation doesn't lead to a socialist paradise? Who would have thunk it?
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  11. #11
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    It's definitely true. My wife noticed the extra money being withheld from my paycheck.. no advanced notice.. nope. It's outright theft.

    I am absolutely fed up with California. Texas, you are looking mighty appealing.
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  12. #12
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    Look at the figures though...taxes are not being increased.
    For a married person earning $145,000 annually with two dependents and no withholding allowances, the weekly increase is $16.90
    You can also increase the number of allowances to offset the change if you really wanted...
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  13. #13
    Do government officials get rate yikes while they do bad jobs? Probably.

    Why does the government not make new businesses that are government operated to make some more cash flow? That would bring more workers and raise money for the government. The government needs to find a new source of income instead of taking it from everybody.

  14. #14
    Quote Originally Posted by pphillips View Post
    I am absolutely fed up with California. Texas, you are looking mighty appealing.
    You are welcome in the Lone Star State anytime :-)

    That is pretty crazy that you had no warning!
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  15. #15
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    Quote Originally Posted by Kyle - Limestone View Post
    You are welcome in the Lone Star State anytime :-)

    That is pretty crazy that you had no warning!
    Kyle,

    Did you know there's an exponential growth here in Dallas, they think that Dallas is going to grow by 33% in the next coming years. :O

    Can you imagine all the traffic? *shrugs*


    @pphillips,
    Stay in California, even with the terrible tax rates, etc, it's 10x better than here.
    Jacob Wall - GetCloak.com

  16. #16
    Quote Originally Posted by Jacob Wall View Post
    Kyle,

    Did you know there's an exponential growth here in Dallas, they think that Dallas is going to grow by 33% in the next coming years. :O

    Can you imagine all the traffic? *shrugs*
    Eh, I rarely drive. Home and work are literally 2 blocks away. Traffic does not bug me too bad. The girlfriend lives in Southlake though - good thing she endures the traffic most days.
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  17. #17
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    Quote Originally Posted by Kyle - Limestone View Post
    Eh, I rarely drive. Home and work are literally 2 blocks away. Traffic does not bug me too bad. The girlfriend lives in Southlake though - good thing she endures the traffic most days.
    Ah, she lives where I live. The traffic between downtown and Southlake is terrible. It's easily 45 min each way, and it's only 30 miles. During rush hour it has taken me upwards of 2 hours sometimes. Grr...


    Your lucky you work so close.
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  18. #18
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    Quote Originally Posted by Jacob Wall View Post
    Did you know there's an exponential growth here in Dallas, they think that Dallas is going to grow by 33% in the next coming years. :O
    Makes you wonder why Texas has so much growth and such low unemployment as compared to California.

    *sets the ball up for Jim . . .
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  19. #19
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    Quote Originally Posted by pphillips View Post
    It's definitely true. My wife noticed the extra money being withheld from my paycheck.. no advanced notice.. nope. It's outright theft.

    I am absolutely fed up with California. Texas, you are looking mighty appealing.
    Texas also has considerably lower cost of living.

    Go Texas!

    -mike
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  20. #20
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    Uh oh.. I'm in California. It would be lovely if I could move to Texas...
    Last edited by VL-Adam; 11-12-2009 at 11:07 PM.

  21. #21
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    Quote Originally Posted by HL-Adam View Post
    Uh oh.. I'm in California. It would be lovely if I could move to Texas...
    What's stopping you?

    -mike
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  22. #22
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    Quote Originally Posted by Mike - Limestone View Post
    What's stopping you?

    -mike
    Not enough money

  23. #23
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    Quote Originally Posted by Mike - Limestone View Post
    Texas also has considerably lower cost of living.
    If I lived in America, I'd probably fit right in in Texas. I'd be the Aussie with all the solar panels on his roof.
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  24. #24
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    Quote Originally Posted by Aussie Bob View Post
    If I lived in America, I'd probably fit right in in Texas. I'd be the Aussie with all the solar panels on his roof.
    That sounds like a nice slingshot target range.

    (Spoken like a true Texas on my part?)

    -mike
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  25. #25
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    Jacob, what about California is way better than Texas?

    I went to Dallas in May, and am going back in February. I looked at several dozen homes in the North Dallas area (Frisco/McKinney) and loved what I saw. Homes are 3-5 times cheaper and 3-5 times better than Orange County where I live. People are nicer. The sky is clearer.

    Of course the weather isn't as nice as California, but trading a 10% state income tax for no state income tax. Moving from a state that does everything possible to smash small business to one that is pro small business.. it sounds appealing. Very appealing.

    You guys both in the Dallas area?

    Paul
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  26. #26
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    Quote Originally Posted by Mike - Limestone View Post
    That sounds like a nice slingshot target range.
    *waves fist at kids with slingshots.

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  27. #27
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    Quote Originally Posted by Techno View Post
    It is not a 10% withholding tax. It's a 10% increase in the withholding tax -but annual tax owned does not increase - just the amount withheld.

    FTB said a single person earning $51,000 annually with no dependents and one withholding allowance will see his or her weekly withholding rate go from $40.58 to $44.64, an increase of $4.06.
    If that $44.64 p/week reflects an earning of $51,00, I'm going to be paying roughly $96 week in income tax if I sub in my earnings. The money comes back to us in refunds apparently.

    Edit: I probably messed up on the math there, but it isn't so bad. I just can't claim any dependents. I'd move out of state, but I like the weather here. Texas isn't so fun in the summer, or Arizona.
    Last edited by OVNet; 11-13-2009 at 07:05 AM.

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