No...not yet. Keep working!
Tax Freedom Day is a good five days later this year...with the date pegged at April 18th.
What exactly is Tax Freedom Day?
That's the theoretical day on which you stop working for the government...and start working for yourself. Up until that point, everything you've earned will pay your federal, state, property and excise taxes.
After that point what you earn remains yours.
The Tax Foundation hatched the concept of Tax Freedom Day years ago as a means to demonstrate to taxpayers just how much of their income is gobbled up by taxes.
The date varies from state to state as adjustments are made for state and local taxes...(Ohio April 12, Michigan April 14)...but the average date for 2013 is calculated as April 18th.
So why is it later this year? According to the Tax Foundation Website, the push is "due mainly to the fiscal cliff deal that raised federal taxes on individual income and payroll. Additionally, the Affordable Care Actâ??s investment tax and excise tax went into effect."
The are quick to add that "Despite these tax increases, the economy is expected to continue its slow recovery, boosting profits, incomes, and tax revenues."
Some interesting stats from the website include:
- It takes 32 working days to cover Federal Income Taxes
- 8 days to cover local and state income taxes
- 24 days to cover Federal Social Insurance taxes
- 2 days for Federal excise taxes
- 12 days for state and local excise taxes
- 12 days to cover property taxes
Add in a few others...and you arrive at the April 18th date.
How do you feel about "working for the government" for another couple of weeks???