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 :
| All returns | 12% |
| Under 18 | 8% |
| 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.
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