What are your Real Estate Taxes (inspired by "What is your Income" Thread)

[dizplanner]

When we are talking about income tax, we are only talking about state income tax, not federal income tax.

For example, I live in Colorado.
we pay federal income tax - this varies from based on income - I figure I end up paying in the 18-20% range
Social Security and Medicare taxes (also federal) - I can't remember the exact percentages, but it adds up to a bit less than 10% - employer pays a matching amount
Colorado state income tax ~5%
Colorado state sales tax 3%
local sales taxes ~3.75%
property taxes ~$700/100K value of house
owners tax on cars, etc.
"hidden" taxes on things like gasoline, liquior, cigarettes, phones, cable, utilities, etc.

Quite frankly, I don't think anyone really knows exactly how much they pay in taxes unless they've done a lot of work to record every purchase and to check every bill.

 

[CharlesTD]

Our taxes sales and so on are broken down on every reciept and bank statement for mortgage payments etc.

 

[rayelias]

Do many of you guys in the states or areas with high prop. taxes also have to pay high state income taxes? I know Fl. and Tx. don't. We pay about 6% in Mo., which is a little above the national norm, but locally, we luck out with the low prop. taxes. I'd hate to get stiffed with both. We don't have a city tax where we are, either.
DisFlan

In PA, our state income tax is 3.5% (I believe). Many counties (including mine) also impose an additional income tax (mine is 1%). We have a 6% sales tax. In my town, real estate taxes are approximately 1.5% of property values.

New homes in my area (4BR 2.5BA about 2500 sft) are running about $650,000, which put taxes around $10,000 a year which, believe it or not, is low for the surrounding towns. The same house in surrounding towns would have real estat taxes approximately $14,000 a year.

The schools are supposed to be pretty good (which is about half of my RE taxes), but I don't have and don't want any children, so I'm getting nothing for my money there.

 

[pklein09]

I'm in NJ with the high property taxes (see earlier post....). I just pulled out my 2004 NJ 1040 and income tax rates range from 1.4% (under $20K/year) to 8.97% (over $500K/yr). Judging from the table, most people pay between 5.5% and 6.37 % ($40K - $500K/yr).

As for NY State, I know we pay double to NY State than what we would pay to NJ for the same income. I'm just happy they did away with the commuter tax.

 

[JimC]

Chester County PA
5 bedroom colonial
3 acres
approx value $600,000
$12,000 in property taxes

We pay a 1% local earned income tax, an occupational privelege tax ($50?) in addition to the usual township, county and school district taxes. School taxes are 90% of the total bill. We are paying for several new schools and renovations to existing schools throughout the district.

Our state income tax is flat and about 3.07% for 2005.

Our state sales tax at 6% at least exempts clothing, food and medicine.

 

[bluedoggy]

Wisconsin Taxes are high... we "downsized" as it is just DH & I... moved into an 1150 sq ft ranch in a suburb just outside Milwaukee. Valued at about $240,000- We paid $3950 last year. I am a realtor and listed a home- 3300+ sq ft, and not fully assessed yet - taxes are $9400... Plus the income taxes just keep going up... (less money that we have to enjoy WDW...)

 

[kathleena]

Wow 8% income tax is nothing we pay 30% income tax here. Mind you our income tax funds our healthcare system and our other programs etc that we have here.

Which when you think about it, seems fairer over all. At my employer, they are self insured (24,000 associates) and the weekly premium is the same no matter what your income is - it only varies by whether you are single, have more than one person or smoke. So the premium is the same for the lowest paid clerk and the highest paid executive! Right now, my two person medical is almost 5% of my salary. I sure would love to see it based on income and let the biggies subsidize it more! And of course there's the deductible and the co-pay on top of the premiums.

Anyway - just so you don't think we are getting off easy - we also have Social Security (FICA) and Medicare tax. When people mention state taxes here - that doesn't include those or the federal taxes!

The suggested withholding for any stock options I exercise is 25-28% so I figure that is roughly what I pay in state, fed, FICA and medicare (not counting misc Schedule A deductions of course!).

I think we need another tea party in Boston bay!

 

[GaTech]

Northside of Atlanta
$1800/yr taxes
$320,000 home, 6 years old with 5 bedrooms

 

[DisFlan]

CharlesTD - by the time most of us pay ALL the taxes we owe, it often comes to quite a bit more than 30%. Local personal and property, State, Federal, Social Security, Medicare, city taxes and local sales tax, plus gas tax and vehicle taxes. If we buy something like an expensive boat, we may have to pay a "luxury tax." And most of us pay all or part of our medical insurance, which can be considerable.

The areas that can be widely variable are state and local taxes, depending on where we live.

We may get some of the state or federal taxes back with deductions when we do our yearly taxes, but we still have to pay it in to start with. Our legislators, bless their little black hearts, make these deductions harder to get just about every year.


DisFlan

 

[lllovell]

compared to many here, I must be slumming it!

Atlanta suburb - southside below airport
$115,000 house
$415 in R.E. taxes every year
3 bedroom/1.5 bath/1,500 sq ft
40 years old (we bought and remodeled - and YES! I remained married though it all somehow )

 

[DisFlan]

(we bought and remodeled - and YES! I remained married though it all somehow )

Do I ever remember those days! We made it through, too. But there were moments when I wasn't too sure!

DisFlan

 

[married@wdw]

Suburb of New Haven, CT
2300 Squ. Foot Raised Ranch, 3 bedrooms, 2 bathrooms
House value = $270,000
Taxes = $4300

 

[Divamomto3]

Suburb of New Haven, CT
2300 Squ. Foot Raised Ranch, 3 bedrooms, 2 bathrooms
House value = $270,000
Taxes = $4300

Howdy neighbor! My post was almost identical.

 

[CharlesTD]

We still have our CPP ( Canada Pension Plan ) deductions and our Employment insurance deductions this helps cover you if you ever get laid off or take a maternity leave as women and men as it would be can take a year off for mat/parental leave paid @ 60% of current salary. Plus our deductions for our health benefits so drug plan dental plan etc. What I do to combat this is take extra income tax off each pay and have a deduction for my RRSP this allows me a lower income bracket thus more on my tax return and more child tax credit.

 

[poohj80]

PLEASE someone tell me that Alabama property taxes are less-that's where I want to move when we retire-it's closer to WDW!

Depends on where in AL, but ours in northern Bama are only $600/yr on a 4BR/2.5 bath 2500 sq ft home. Unfortunately, our county pays for schools through property taxes so our schools suffer due to the low taxes.

Alabama's looking pretty good! Wonder if I can get a transfer?!?

As a non-native, I would highly recommend checking out the WHOLE picture before anyone decides to move to AL based on property taxes. There are definitely cities that are more of an oasis here and there, but lower taxes also has its downsides. Overcrowding and no supplies in schools, no money to maintain roads properly or state parks, etc.

Top that with 6% sales tax.

Our AL sales tax is 8%.

 

[DisFlan]

What I do to combat this is take extra income tax off each pay and have a deduction for my RRSP this allows me a lower income bracket thus more on my tax return

We do something similar to this with our 401Ks (for fed. employees it's called TSP). We can decrease income up to about 15% a year with this. That's a BIG help.

DisFlan

 

[JustineMarie]

Ok - 3br/1.5 baths appraised at $221,900
R.E. Taxes - $3100

 

[CharlesTD]

poohj80 try 15% sales tax on all items but groceries even on new cars etc.

 

[Deluzy]

Suburb of Seattle, WA
Just purchased:
2800 sf home-4br/2.5 ba/3-car garage/lot=10,000sf
Value $480,000
Taxes: $5,500 - assessed annually!
No State Income Tax
Sales Tax is 8.9%

Just sold:
1700sf home - 3br/2.5ba/2-car garage/lot=3400 sf
Value: $290,000 (purchased for 225,000 two years ago)
Taxes: $3,100 (assessed on $233,000)

 

[PVA]

Other than the weather, one positive of living in the Golden State is Proposition 13 which "freezes" your property taxes at the assessed value at time of purchase (with very modest yearly increases, .25%), so for those of us who stay put for more than five years (not too many out here in CA), you actually get very affordable taxes with the boom in real estate.

Our initial purchase in '94 (just after the last big earthquake in So Cal, which scared off all of the easterners) was for $220,000, same 3000 square foot house now is appraised at just shy of $900k. BUT property taxes are still based off our initial purchase price so they are only 1.25% of initial purchase price, somewhere around $2500.

I was shocked when a friend bought a place back east and told me what projected taxes were going to be. Interesting poll and info.