thesealocust wrote:Anonymous User wrote:imchuckbass58 wrote:Anonymous User wrote:
Didn't save much money on rent because I got a very nice apartment, but the same apartment would have been way more in Manhattan. Even as an SA saved a fair amount on taxes, and for a first-year associate not paying NYC income taxes is worth about $6k a year, which is at least 2-3 months' rent just for living in NJ. Hard to beat that. Nightlife is not at all awful, especially in Hoboken, though I'm not much for nightlife anyway so maybe not the best to testify.
I think your general point still stands, but just to quibble slightly with your numbers, it's closer to $4k savings (about $4250) since NYC taxes are deductible on your federal returns (if you itemize, which you undoubtedly should, since state + local taxes will exceed the standard deduction unless you have dependents).
Only until you hit the AMT, which will happen pretty quickly (not as a first-year unless you're married, but by fourth year at market + bonus).
It's indexed for inflation now though at least, and in the crosshairs of tax reform (if Congress ever gets around do doing anything ever again)
Can both of you elaborate a little bit more on this? So bc of the AMT, taxpayer won't be able to take the city/state tax as an itemized deduction so those savings become larger? And what is Congress trying to do exactly? lol sry 4 stpidty!