Hacker News Reader

Uncapping income it is applied to and throwing in capital gains would totally solve the problem if you sever the link between contributions and payout (which is a form of means testing).

View on HN

And dividends

Dividends are already taxed as income.

Edit: I didn't realize dividend income was not subject to payroll taxes.

The vast majority of US dividends are qualified and subsequently taxed at much lower rates than regular income tax rates

Only if youve owned the stock for less than a year. Over a year its capital gains

Reply on news.ycombinator.com