Tomorrow evening is the semiannual town meeting where I live, North Reading, Massachusetts.  Everyone gathers in the high school auditorium to vote on matters of local governance.

In preparation for the budget discussions, I thought I’d take a look at the local property tax rates.  The Massachusetts Department of Revenue keeps an online historical record of the rates for every municipality in the state.  It took a little massaging in Excel, but here is a list of property tax rates from 2003-2009. Continue Reading »

On July 24th the Federal minimum wage will increase from $6.55 to $7.25 per hour.  Adjusted for inflation, the minimum wage is lower now than when I was in high school.  I’ve worked minimum wage jobs at a fast-food joint, a pizza place, and as a cashier in a chain drug store, but only during high school and college.  I can’t imagine trying to support myself, let alone a family, on those wages.

The wage increase won’t affect Massachusetts residents, as our state has a minimum hourly wage of $8.00.

Everyone, even those making minimum wage, will be affected by the increase in Massachusetts sales tax from 5.00% to 6.25% as of August 1st.  Sales tax affects lower income folks disproportionately, as they spend a greater percentage of their income on necessities.  Food is exempt from the tax, but other essentials such as toothbrushes, laundry detergent, and car parts are not.  If we have to raise taxes on the general population, I’d rather see an increase in the income tax.  Of course I’m amazed that a (normally) progressive state such as Massachusetts has a flat income tax.  The guy making minimum wage is paying the same rate as the hedge fund billionaire.  Except, of course, the billionaire can afford lawyers to find tax loopholes.

I guess taxes really are just for the little people.

Doncha wish that when you finished the exhautive (exhausting?) TurboTax interview that you could just press that enticing “File Return” button, and all would be complete?

Yeah, me too.

Yet every time I think I’m finished, another issue pops up and nags at me to investigate. Continue Reading »

About a month ago, I posted on the tax deductability of the excise tax paid on cars in Massachusetts.  Over 50 folks have read this post.  Maybe everyone already knew about this deduction, but let’s say that it was new to half of them.  The average car is worth, perhaps, $10k, and at an excise tax of $25/$1k, that would be a $250 deduction.  Assume a 25% marginal tax rate, and that post might have saved the readers over $1500.

Hey, that’s some good!

Let me know if this was a new deduction for you.