Calling this "Houdini-like" (author's words) tax hacking seems like a bit of a misunderstanding of deliberate social policy!
An awful lot of families are doing this on 1/3 of that amount.
A family on the median household income would have negative net income with that level of investment.
The existence of more extreme poverty doesn’t change the fact that 150k/yr is not a ton of money to support a family of 5 in most American metro areas.
This could be anywhere between solidly upper middle class to struggling to make ends meet depending on where you're at in the US.
In 2013 150k seemed a lot IIRC as the economy was in shambles and all those paid with these sweet RSUs and ISOs weren't having it.
It's more than double the median household income.
I wish kids were deductible in the UK. We get a tax free allowance on the first £25k (combined earnings) and that's clawed back over £100k.
noone is beholden to pay more taxes than the tax code requires.
anyone who uses emotional appeal to say otherwise wont help me when i need their help anyway so they can pound sand.
Presumably a law is written with some intent. When that intent or spirit is broken because of poor construction or poor foresight in the text of a law, a lot of people call that a loophole. I think it is a fair definition.
I simply share the opinion that the people writting tbe laws should recieve the heat, not those doing what they are legally allowed to