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Show HN: Tax plan impact calculator

114 pointsby nsedletover 7 years ago

34 comments

aleyanover 7 years ago
May I recommend <a href="http:&#x2F;&#x2F;taxplancalculator.com&#x2F;" rel="nofollow">http:&#x2F;&#x2F;taxplancalculator.com&#x2F;</a> ? It takes in to account state taxes, which potentially can make a difference between a tax cut and a tax hike. It also shows you an estimate of your federal taxes under the current laws, so that you can ascertain its precision against last years returns.<p>Its author, Maxim Lott, is a journalist and has been tweaking the calculations over the past couple of weeks reflecting the latest changes in the bills. You may have seen his predictive markets analysis site [1] in the run up to 2016 US Presidential Election.<p>As a matter of disclosure, the author is a friend and I helped him debug a couple of small issues.<p>[1] <a href="https:&#x2F;&#x2F;www.electionbettingodds.com&#x2F;" rel="nofollow">https:&#x2F;&#x2F;www.electionbettingodds.com&#x2F;</a>
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tvanantwerpover 7 years ago
Doesn&#x27;t have business income or capital gains, which is pretty important to have considering the contents of the GOP plan. The pass-through rates in the bills will have a big effect on small business owners.<p>Edit: The more I play with this, the more flaws I find. I work at a tax policy think tank and I&#x27;ve been involved with more than a few tax calculators, and this one isn&#x27;t reliable. It fails basic tests, like applying the standard deduction if itemized deductions are less than that amount.<p>Second edit: Here&#x27;s a tip. It&#x27;s a lot easier to calculate marginal rates on income if you go through the brackets backward rather than forward. That way, you just check if income is &gt;= the current bracket threshold. If yes, subtract threshold from income, add that multiplied by the rate to the running total of taxes owed, and move to the next bracket. Else, just move to the next bracket. Way easier than what you&#x27;re doing.
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pianom4nover 7 years ago
This doesn&#x27;t include Pease, which makes quite a difference.<p>I don&#x27;t believe the AMT exemptions you&#x27;re using are correct (although they are widely reported). The bill updates the &quot;original&quot; AMT amounts from 2012, which need to be inflation adjusted.<p>I made these accurate graphs that include everything. They also compute your state taxes for you.<p>Senate: <a href="https:&#x2F;&#x2F;jsfiddle.net&#x2F;4ec6eLz5&#x2F;" rel="nofollow">https:&#x2F;&#x2F;jsfiddle.net&#x2F;4ec6eLz5&#x2F;</a> House: <a href="https:&#x2F;&#x2F;jsfiddle.net&#x2F;bsjryfLo&#x2F;" rel="nofollow">https:&#x2F;&#x2F;jsfiddle.net&#x2F;bsjryfLo&#x2F;</a>
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gnicholasover 7 years ago
It would be more useful if they made it clear what has been factored in here. As is mentioned elsewhere, the bills have to be reconciled, and there are significant variables remaining. The SALT deduction is still up in the air, as are the details around mortgage interest. For people in some states, these two details could swing things between saving thousands and paying thousands extra.<p>edit: should have included property tax, which is more of an issue than mortgage interest for existing homeowners.
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mbilover 7 years ago
It would be cool if the govt had to develop an open-source tax estimator whenever tax-change bills were introduced (or make modifications to some base tool). An iteration of a tax bill would be presented alongside the tax-estimator tool so that citizens and businesses could run real numbers through the hypothetical tax-changes.
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beagerover 7 years ago
All the calculations seem to happen here:<p><a href="https:&#x2F;&#x2F;github.com&#x2F;nick264&#x2F;gop-tax-plan-calculator&#x2F;blob&#x2F;master&#x2F;client&#x2F;utils&#x2F;calculator.js" rel="nofollow">https:&#x2F;&#x2F;github.com&#x2F;nick264&#x2F;gop-tax-plan-calculator&#x2F;blob&#x2F;mast...</a><p>Cannot speak to the soundness of the calculations, but there looks to be a ton of guesswork involved, and it does seem fairly simplified in light of the size of the bills being considered.
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njarboeover 7 years ago
As the tax plan has not yet been finalized, I&#x27;m not sure what the use of this calculator is. You don&#x27;t really know what your new taxes will be yet. I would wait until it is reconciled and signed to worry about that. YMMV.<p>If you want to influence the outcome of what is in the tax bill, then finding the thing in it that you don&#x27;t like the most (and preferably it is in only in one of the bills) and advocating for that to be removed or changed is probably the most useful. Academia was up in arms about losing its special tax break on tuitions (only in House bill), got a bunch of press, and it looks like that might be left out in reconciliation.
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scrootover 7 years ago
This only tells me what would happen next year. What about 5, 7, 10 years out?
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eranationover 7 years ago
Stupid question: in all of those calculators, I never know if I should include my personal income or household income (including my spouse). Is it an obvious thing that everyone knows? as it&#x27;s never in the (?) tooltip... in any calculator I found online (I&#x27;m an expat, so perhaps I just don&#x27;t get the obvious)
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DownWithTaxesover 7 years ago
This has an intuitive interface and computes quickly. With 2 competing bills in the House and Senate that haven&#x27;t yet been reconciled and formalized, a calculator like this is never going to be perfect, but at least we can begin to see the implications these proposals could have on our tax liability.
RyanShookover 7 years ago
Very nice tool. Added to PH: <a href="https:&#x2F;&#x2F;www.producthunt.com&#x2F;posts&#x2F;taxulator" rel="nofollow">https:&#x2F;&#x2F;www.producthunt.com&#x2F;posts&#x2F;taxulator</a>
brnd4nover 7 years ago
I&#x27;ll add the calculator I built: <a href="https:&#x2F;&#x2F;www.republicantaxcalculator.com" rel="nofollow">https:&#x2F;&#x2F;www.republicantaxcalculator.com</a>. It takes into account state and property tax deductions as well as some of the other major changes. Github here: <a href="https:&#x2F;&#x2F;github.com&#x2F;BrendanAndrade&#x2F;taxplan" rel="nofollow">https:&#x2F;&#x2F;github.com&#x2F;BrendanAndrade&#x2F;taxplan</a>
drstewartover 7 years ago
Maybe I&#x27;m just daft, but this tool is a bit confusing at first because I didn&#x27;t realize it wasn&#x27;t comparing the difference between itemizing now and taking the standard deduction under the new plan (and there isn&#x27;t a way to do that without manually crunching the numbers). Or better said, it doesn&#x27;t pick your best deduction under each plan like you would if you were actually filing taxes.
brockwhittakerover 7 years ago
This doesn&#x27;t account for SALT deductions it seems, which is a huge reason why instead of my bill going down by 10% or so, it goes up about 5%.
chrisp_dcover 7 years ago
I think this calculator is counting &quot;State&#x2F;Local Income Taxes&quot; as a credit instead of a deduction. Input a salary of $60,000 and a $6300 deduction into &quot;State&#x2F;Local Income Taxes&quot;.<p>$6300 was the single filer standard deduction amount from 2016. It shows different outputs when toggling between itemized and standard deduction.
intopiecesover 7 years ago
I thought SALT and Student Loan deductions were eliminated? They&#x27;re still listed here. Am I missing something?
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dwgover 7 years ago
Looking really good!<p>I recently started working on something similar: <a href="http:&#x2F;&#x2F;politisee.com" rel="nofollow">http:&#x2F;&#x2F;politisee.com</a>, with a little different goal. Rather than calculate the net result for a single person, Politisee for a single person, Politisee tries to summarize and compare plans, and shed light on how they perform broadly to society (i.e. at all income levels). However I do plan to add the personal side too. For now I&#x27;ll be linking to yours.<p>One of the challenges of the broad approach is getting everything into an apples-to-apples comparison. I&#x27;m definitely going to be taking some inspiration from your work.
rcollyerover 7 years ago
The personal exemption is incorrect. It doesn&#x27;t add the children into the total (<a href="https:&#x2F;&#x2F;www.irs.gov&#x2F;pub&#x2F;irs-pdf&#x2F;f1040.pdf" rel="nofollow">https:&#x2F;&#x2F;www.irs.gov&#x2F;pub&#x2F;irs-pdf&#x2F;f1040.pdf</a>), but you can enter it by hand. Also, Student Loan Interest is an above the line deduction (line 33 on 1040), i.e. you can deduct it regardless of whether or not you itemize.
matthjensenover 7 years ago
If this interests you, I would also recommend checking out <a href="http:&#x2F;&#x2F;open-source-economics.github.io&#x2F;Tax-Calculator&#x2F;" rel="nofollow">http:&#x2F;&#x2F;open-source-economics.github.io&#x2F;Tax-Calculator&#x2F;</a> and <a href="https:&#x2F;&#x2F;github.com&#x2F;open-source-economics&#x2F;tax-calculator" rel="nofollow">https:&#x2F;&#x2F;github.com&#x2F;open-source-economics&#x2F;tax-calculator</a>.
maerF0x0over 7 years ago
Would like it to consider IRA&#x2F;401k contributions.
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thebigspacefuckover 7 years ago
I have my 2016 tax return pulled up and filled everything out. It looks like I&#x27;ll pay a few hundred more due to the State and Local tax deductions being removed. :\<p>Every calculator on here gives a different result though.
ddebernardyover 7 years ago
Is this calculator accurate? It seems everyone no matter the income seems to benefit somehow.<p>Or is it that Trump, like Reagan, is about to grow the US debt by untold amounts?
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Havelockover 7 years ago
It is nice, could do with some better support for smaller screens. I enjoyed that the authors names shifted position when updating the page. Nice touch.
Donaldover 7 years ago
Couldn&#x27;t you determine my state income taxes from a state dropdown? Local could still be an addition for more nuanced municipalities.
mlnhdover 7 years ago
I think the Married Filing Joint standard deduction for 2018 would be $13,000 under the current Code. Your comparison shows it as $12,700.
bovermyerover 7 years ago
This is interesting, but how accurate is it?
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DoodleBuggyover 7 years ago
Interesting, but it really needs to include state taxes to be accurate or relevant.
pazimzadehover 7 years ago
There should be a checkbox for whether you are a graduate student or not.
xyzzyzover 7 years ago
It doesn&#x27;t seem to consider state tax in the calculations.
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moh853over 7 years ago
This does not account for the massive increase in taxes that graduate students would have in the house plan. In the house plan tuition waivers of graduate students will become taxable and push them further down the poverty line.
pascalxusover 7 years ago
i got different results between this calulator and the flu.io one. this one seems to appear much more favorable.
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EarthIsHomeover 7 years ago
Feature request: choose a tax year
kaosjesterover 7 years ago
This doesn&#x27;t account for the whole picture. The tax benefit is dwarfed in comparison to the losses in social security people at and below the poverty line will suffer.
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ixactoover 7 years ago
Eliminating state and local taxes was a long time coming. Why should the no-tax states subsidize the bloated bureaucracy of CA&#x2F;NY? It would be quite amazing if CA got rid of state income taxes though.
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