I don't know about you, be right now I'm in the middle class. This means that my federal tax rate is 26%, a hefty chunk comes out of my paycheck weekly. How is it that the rich pay less tax? The secret is where they put their money. If you have a large amount of income from qualified dividends, that money will have a lower tax rate 10-15%. This is just one area where you can save some money. The more income you have from your salary, the more income is directly taxed, unless you defer money into a 401K, in that case you will be taxed at a later date, hopefully at a lower rate. The middle class pay the highest taxes. The key is to find assests that will increase in value.
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The rich pay more taxes than the middle class. I think what you mean to say is that as a percentage of income, they sometimes pay a lower effective rate than the middle class (although even this statement is not always true).
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