It's rather hard to imagine how progressive taxes should be put in without taking social securities for me, as the first and second of our brackets consist of 94% and 74% payments towards social security, respectively. Brackets from there on out are just taxes without any social security payments. It's a system I quite like.

$0 to $8,950: 3% (+24% Social security)
$8,950 to $36,250: 15% (+22% Social security)
$36,250 to $87,850: 35% (+7% Social security)
$87,850 to $183,250: 47% (+3% Social security)
$183,250 to $398,350: 53%
$398,350 and up: 58%

I feel like your lowest bracket is a tad bit low, though. I'd up that to something closer to €15,000.-. Maybe up the 4th bracket to €275,000.- and pull out the fifth bracket all together.

I know that 27% and 37% on the first two brackets seem pretty hefty, but that's more of a redistribution in the form of subsidies and support than making it hard on people with a low income. On the contrary, they'd be better off.

Originally Posted by: Rockmolder 

Under $14,500 [= full time at minimum wage for 2000 hrs/year]: 0%.

Anything over $14,500, 10% of all income over $14,500, less any contributions to not-for-profit churches or charities.

No deductions for anything else.

Originally Posted by: Wade 

I guess the idea of taxing the very low income earners so much for social security doesn't sit right with me precisely since the very lowest bracket doesn't HAVE disposable income. If you're making $36k a year, you'd be taking home $22,680. If you're making $8000, you're taking home $5,840. For extremely low-end housing in most areas, you'd be paying $4,800 a year ($400/mo) for rent alone. Everyone making $0 to around $25,000 is going to have a very hard time being self-sufficient - the more you tax them for social security (and I get why you would do that), the less income they have for the bare necessities and thus the more likely they will need other forms of public assistance like food stamps, and the more likely they will get into debt which will KEEP them poor.

Originally Posted by: Porforis 

Under $14,500 [= full time at minimum wage for 2000 hrs/year]: 0%.

Anything over $14,500, 10% of all income over $14,500, less any contributions to not-for-profit churches or charities.

No deductions for anything else.

Originally Posted by: Wade 

Your numbers are too low, thresholds and tax %. The idea of a graduated tax system is to help the impoverished build themselves up. A 10% tax on the wealthy is spitting in the face of people who work with their hands and backs. I don't quite understand your insistence on letting the lucky people off like freeloaders - but that's your thing.

Originally Posted by: DakotaT