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I thought this was really interesting. This page lets you input your salary and see what your take home pay would be in the U.S. and 33 other OECD countries. It factors in federal income tax, FICA and Medicare in the U.S. but does not include state income tax, and this is obviously before deductions such as health insurance (in the U.S.). The amount is what native earners would receive in those countries and not U.S. citizens working abroad and benefiting from a foreign income exemption.
I guess what astonished me is how small the difference is between take home in the U.S. versus countries perceived as more socialist, particularly in Europe. A person in the 28% or 33% tax bracket basically nets the same here as they do in the U.K., Sweden, and France, except tax payers in those countries have things like healthcare provided covered in the deducted amounts. For example, an average earner (in terms of exemptions only) making $160,000 in the U.S. "takes home" $2,320 per week before things like health insurance, state income tax, and other elective deductions are applied. An average earner making the same in the following countries nets: (i) France, $2,203/wk; (ii) Sweden, $2308/wk; and (iii) England, $2,336/wk. Belgium, at $1,767/wk on that scale is the harshest taxer, whereas Mexico, at $2,777/wk is the most gentle to the pocketbook. Europe definitely becomes more punitive as you scale up into the millions.
There are obviously a ton of factors, some of which are unique to each country on the list, but I was very surprised that so many middle class and upper-middle class people in the U.S. basically pocket the same amount they would in socialist Europe.
I guess what astonished me is how small the difference is between take home in the U.S. versus countries perceived as more socialist, particularly in Europe. A person in the 28% or 33% tax bracket basically nets the same here as they do in the U.K., Sweden, and France, except tax payers in those countries have things like healthcare provided covered in the deducted amounts. For example, an average earner (in terms of exemptions only) making $160,000 in the U.S. "takes home" $2,320 per week before things like health insurance, state income tax, and other elective deductions are applied. An average earner making the same in the following countries nets: (i) France, $2,203/wk; (ii) Sweden, $2308/wk; and (iii) England, $2,336/wk. Belgium, at $1,767/wk on that scale is the harshest taxer, whereas Mexico, at $2,777/wk is the most gentle to the pocketbook. Europe definitely becomes more punitive as you scale up into the millions.
There are obviously a ton of factors, some of which are unique to each country on the list, but I was very surprised that so many middle class and upper-middle class people in the U.S. basically pocket the same amount they would in socialist Europe.
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