The Trump Tax Cut: Even Worse Than You’ve Heard

[Jim in CT]

Originally Posted by The Dad Fisherman

I think WDMSO is saying that his pension payments are calculated on a percentage of his base pay from his last 3 years of employment. So he's correct in saying that a raise has more of an effect on his pension, over the years, than a tax break does.

butba raise if $1 has less benefit than a tax cut of $1. bevause the raise is then taxed.

but you’re probably correct in what he meant.
Posted from my iPhone/Mobile device

[The Dad Fisherman]

Originally Posted by Jim in CT

butba raise if $1 has less benefit than a tax cut of $1. bevause the raise is then taxed.

but you’re probably correct in what he meant.
Posted from my iPhone/Mobile device

I guess if the tax cut is a static percent for many years, but pay raises are an annually applied percentage, and pay increases not given for a certain year(s) end up lowering your overall pay over, say, a ten year span as they are not compounded over the years.

I'm not an accountant, but I did stay at a holiday Inn Express last night