I saw an article on Yahoo recently where the author claimed that Uncle Sam was "taking 15 to 25 percent of the average retiree's income". I knew that wasn't the case. The author probably meant the marginal tax rates but the way they worded that it sounds like they think effective tax rates are 15-25%. Thats certainly not the case.
So what are the effective tax rates for seniors? What about other age groups?
Well I had to figure the numbers based on # of filers and their total incomes and total taxes paid per age group.
TaxFoundation has a page which gives all the data for 2009, they just got it off the IRS site.
Effective Income tax Rate per age group for 2009 :
|18 under 26||5%|
|26 under 35||9%|
|35 under 45||12%|
|45 under 55||14%|
|55 under 65||15%|
|65 and over||13%|
This includes all filers in each age group. Some people didn't have to file and its looking at the Adjusted Gross Income.