Taxes 101 (Tax Basics 1/3)

In this video, you'll learn everything you need to know about the U.S. Tax system. We cover the ins & outs of how taxes are calculated, everything from deductibles to exemptions, as well as how our progressive tax system actually works.

[@issa299]

youtube has taught me more than school has in the past month

[@malacki6554]

Maybe you’re just not paying attention in class🤷🏾‍♂️

[@covetslit]

Malacki 655 or he/she has been watching alot of youtube

[@safwannizam2932]

Koiji same lol, the wonder of the internet

[@tortiajackson7071]

@@malacki6554 or maybe class ain't teaching anything other than college prep

[@krabbykrabby8818]

Honestly. With school learned some basic skills[sometimes helpful] And tons of random stuff that I'll forget soon bc they don't actuallynteaxh and just tell you stuff then throw a test at you. With youtube/internet I've learned howninvestig works, benifits, how you can use compound intrest, how to pay off debt stratss, how buissness can get tax deductions, learned what inflation was and how to keep up with it. The list goes on

[@dedwinx8040]

Tip for those who do not understand this!!!!!! I did not understand it at first at all so every time he brought up something that I didn't know I would open a new tab and search up that specific thing, then come back once I knew what it was. After doing this you should eventually be able to watch the whole video and understand everything that is going on. It's fairly easy once you know what all the words mean. If u don't understand this video at first put in the work to do so, it will defiantly pay off in the future.

[@Dakid015]

Good comment! How to learn on KZbin haha

[@jenniejells2883]

thank you !!!

[@DereC519]

defiantly

[@CallHerCassie]

Why don’t they teach this in high school?

[@minecraftvideo2547]

Because kids that shit duen't add up. If they realize that 15% or more was going to Federal government than another 7% or more to the state and than another 7% sales tax on the money left over. O and then there a landtax from your town. The kids would realize that there really getting fucked over good here. Now people say we need government for school and roads. I'm not sure about that as roads are one of the governments lowest experiences. And the school are incredibly inefficient. My collage cost less than what the town was paying to send kids to my high school. And somehow the Federal government has the smallest impact on our lives and we pay them the most, isn't that weird.

[@jayhaigh4080]

rich dad poor dad

[@youtubecommentsfamous4679]

It's better to know X plus Y I guess

[@monkeytoes4309]

Cassie B because the teachers doesn’t even know how to pay taxes

[@katieobrien2890]

They teach us about how taxes affected historical events, but they don’t teach us how taxes work in the present :|

[@lyllaphoenix]

Schools seriously need to teach us this... I’m 16 and I only got *2* years left until I’m 18. Anyone else doing this??

[@prioleau2012]

Enjoy it while you can because life and bills is a🤬

[@Luvs2splwwge]

I'm 14

[@jossxx9983]

How is it going now bud is only one year left

[@dmitriazucenas8127]

@@Luvs2splwwge smae

[@Deristrome]

Same rn

[@invitematerial7576]

Freshman in high school sad I gotta try to learn this through youtube.

[@faithshowers9482]

Invite Material 😭😭

[@jaytay6226]

Same

[@zealous2682]

Same

[@gamerguy425]

I'm mid 20's sitting here watching this XD

[@bdeaa]

Frl

[@Carlos-hr9kg]

Thank you so much for this. I’m 17 1/2 and getting ready for the adult world.

[@cmorris3899]

Carlos 1296 if you're 555....

[@prestoncallahan7118]

Carlos 1296 same!

[@ThatGuyDownInThe]

damn dude nice I'm just looking into this at 22

[@vicenteguerrero4461]

I'm 15

[@bredachiago7059]

im 10

[@reckless1646]

Not ready to be an adult . 🤣 Still don't get this

[@willoughbykrenzteinburg]

@@TheKing-hr7uh What part don't you get. Chances are, not everything mentioned in this video applied to you. For most people, it isn't all that hard to do on your own - or through a free/minimal fee service. If your taxes are more complicated, then chances are you can afford to have someone do it for you.

[@garcand]

Majority of adults still dont understand this. You'll be fine.

[@andyyang50]

That’s why you pay someone to do it. 😬

[@elgooges]

Neither does Washington 😏

[@valeriegrace2144]

Me eiiiither. And I'm 22, bro😭😭🙊🤣

[@lalahadams1061]

I'm a 7th grade homeschooler wanting to learn about economics and how the world works, and this helped out A LOT. Thank you!

[@kaphina_allamoana]

Lucky...

[@The.Anonymous.Entrepreneur]

I’m 16, you are doing something amazing bro. Learning this is part of a change in the world. We have a lot of things in our hands and the 1% of our generation knows what it is.

[@rnupnorthbrrrsm6123]

Good for you, I’m 56 and don’t know all this !

[@zataviacalhoun267]

I wish school taught dis cause I still don't understand this. Yes this video is helpful but using all thoes words I don't know I became confused

[@slayerdownist8884]

Zatavia Calhoun ik dude but I just said all of the really confusing words in google that really helped me out

[@slayerdownist8884]

Yes ik you wrote this a year ago but idc

[@ciacon7097]

School is not programed to teach us this.

[@varenbautista8437]

i learned something more useful in my adulthood in 4 minutes than i did in 12 years of my life.

[@RichieDevine8]

Yes bro exactly 😂 school doesn’t teach kids to be smart it teaches them to be reliable and also getting ready for college

[@Max-Blast_Media]

Cheers for the initiative to learn it for yourself, keep that up and there's nothing you can't do.

[@eavyeavy2864]

Seeing your pfp you are hopeless kid with no responsibility who blame other

[@vivalanina]

How long would it have taken to teach this in ONE lesson in math or economics class in high school. No one, including my parents taught me this.

[@isaacchahua941]

Did you know the mitochondria is the powerhouse of the cell

[@dantechills9985]

Life sucks haha smh

[@jenniejells2883]

I know right

[@The.Anonymous.Entrepreneur]

Government really doesn’t want us to find out the truth 😂

[@dfamous45]

I’m even more confused

[@Irrelevance_]

same

[@F4ITHOVRFE4R]

Same here

[@speedracerxxl6269]

Same

[@french2572]

Me too.

[@Bibi-bk9ry]

Try breaking each portion of the video down into smaller parts, writting it down so you can understand, and search up terms you don't understand. Hope this helps

[@shadowskill7122]

The more I learn about taxes the more it sounds like an elaborate racket to extort money

[@shrekthecommunist4018]

Always has been

[@joesguitargear7742]

Taxation is essentially theft. Your goal is and always should be to pay as little in taxes as possible.

[@ShacolateClown]

even if you paid taxes all your life. ( even tax money for the heritage ) the moment you die they steal some of your shit you saved for your children/family. because fuck us as replaceable peasants

[@justarandomweebyay5372]

Thanks a lot school, appreciate your 0% contribution to my money management knowledge. Can't thank you enough

[@inix2057]

I was able to file for my tax refund through my financial advisor and got $42,000 as refund, I encourage everyone to try filing theirs

[@riviera9383]

How so, link me to your advisor so he can help me also

[@inix2057]

Arloeric1 @

[@inix2057]

That's his gmal handle up there

[@Taliecat]

I filed mine last year and received $9k in refunds really went a long way

[@riviera9383]

Thanks for sharing this info honestly

[@PotatoeBunny93]

Oh thank you thank you! This is exactly what I was looking for. I never had anyone to teach me any of these things. I literally felt like crying because either was so lost looking at those forms I just couldn't figure it out. I still couldn't find tax basics info through a Google search but I found your video on KZbin. You're my Savior! Thank You, I hope u will keep posting videos like this. Your content is really good, I hope you're monetizing it for all it's worth, you're doing a great thing, educating those of us who don't know, understand or lack access to this kind of information. Thank you again!! ❤❤❤❤

[@moneycoachio]

We're so glad you found it helpful!!!

[@-yourandyoureare2different612]

@@moneycoachio This is pure witchcraft!

[@-yourandyoureare2different612]

@@moneycoachio This is pure witchcraft!

[@natasha9137]

Thanks for posting on the basics. I'm sharing this with my daughter, a college freshman, because this wasn't taught in high school.

[@BrubsyMusic]

KZbin has taught me more in the past 3 months than school has in the past 7 years.

[@tjh_n1446]

As a new adult, fresh out of highschool, i can tell you, youtube gives you a higher education than anywhere. Thank you KZbin and this channel🙏🏻

[@Roarrior.]

I can’t believe high school doesn’t teach you how taxes work.

[@kevinmatthews8980]

Mark Twain said "Never let your schooling interfere with your education, " This is exactly why.

[@cmarqueche]

Like another commenter, I found this invaluable. It was the right details presented in an easy to digest format. Thank you!

[@spicyshizz2850]

cmarqueche u mean valuable

[@nicholashannaman7482]

@@spicyshizz2850 no, invaluable. It means unable to put a price on something. Like a spouse, they should be considered invaluable.

[@Alessandro1983]

I am a 40 year old man & I can honestly admit that this video gave me a headache from trying to learn all this stuff. LOL. But I truly appreciate the posting. I will just need to watch it over and over until it sinks in.

[@kattobre3880]

I'm never moving to America im so confused

[@mrgoodvibes1995]

😂😂😂

[@Dakid015]

Where country are you from?

[@user-ut1rg4zw3w]

What an amazingly understandable and simplified video on the basics of taxes. Thank you so much!

[@knowiknownothing]

That was a very good simple explanation. Well done!

[@lindseylouis4229]

in less than 2 minutes of this video, I can say I now understand what taxes are about informative and brief thanks

[@freethinker3083]

Crazy how this was explained in 4mins but school doesn’t time to explain this... This should be taught at every highschool. .

[@user-zg8ij9yf4d]

I'm 13 almost 14, and I'm going to start a job in about 9 months, and when I found out money was going to be TAKEN from me, I knew i had to learn about this SOMEHOW.

[@alexandersohn569]

In Europe it's way more simple, the government collects the taxes from income every month.

[@xxxlisandroxxx98]

Yeah... Freedom comes with more responsibility.

[@13Gangland]

@@xxxlisandroxxx98 What freedom?

[@TheCondorjc]

@@13Gangland owning guns and roasting the fuck out of your political leaders

[@jakedaddio8909]

Lixuniverse at least in Europe they know they aren’t free, in America we think we are free

[@alyssachantaychampagne2773]

@@TheCondorjc That's technically true I just don't like it

[@oberin3618]

Im still 100 % lost ive never done taxes 😭😭😭😭😭😭

[@andrediego6131]

the fact that we don't learn this is school, is enough to prove how fucked up the educational system is right now

[@chicagonative1507]

I wish there was a video explaining what most of these words mean

[@CarsonsTrap]

For real

[@jaysh968]

Im glad my teacher is teaching me this stuff. These videos make much more sense

[@jahfinancialservices]

Why don’t schools teach kids about financial literacy?

[@SilvaArmour3000]

because screwing over prospective taxpayers is more lucrative. head of the education system are actual scumbags

[@melissamills4431]

The best thing anyone can do is be encouraged and encourage your students to get the book "Cracking the Code" and to read it and learn the Gods honest truth about the federal income tax. Then do your due diligence and checked every code reference and history of income tax for yourself so that you will KNOW that what the book shares is really true. Afterwards you will find that only 1 percent of us actually OWE this income tax! I am so thankful I read the book. You will be too.

[@goldn_k]

Thank you for your comment ❤

[@kailjoyce87]

SCHOOL SHOULD TEACH THIS

[@user-lb1di9hi3p]

I think u should say shall-

[@lockzy21]

Great presentation!!!

[@taliadenson]

Great video. Thanks I'm looking forward to more

[@partysuvius]

High schoolers should be taught Taxes as a maths and finances course with specialized maths classes as electives/choices. I’m 21 and I barely even know how basic employment taxes work as someone who worked ~11K a yr.

[@angelinaharshaw7679]

dang bro. hope you get a better job.

[@VivH24]

It’s so messed up to think that some of the hard work you do on the job is gonna be free because of taxes smh 🤦🏽‍♀️

[@CarlosGonzalez-kz1tu]

At least in the us taxes have a positive result I infrastructure, you should look at Mexico where you pay taxes only for a politicians huge home to be built or another monopoly of them. Although, the healthcare systems needs a buff in the US

[@3.6bviews19]

@@CarlosGonzalez-kz1tu bs, the fact that people have to pay ridiculous amounts of money to the government for “infrastructure” is just insane, if the government would stop spending all of its money on stuff we do not need (THE MILITARY) than it would be justified, even then we still shouldn’t be taxed so fricking high

[@To-mos]

This video asking me if we are done yet when it's a 3 parter on taxes, you guys got jokes.

[@blueboxy21]

I don't really get the part at 2:52, where do the numbers in the Tax Brackets come from? And how can you get those numbers with $18,700?

[@Guitarplayer-hy4yv]

That was the best n easiest way I heard someone explain taxes👍

[@luciaizzolo3920]

HA lmk what internship is gonna pay you 30k!!! PLEASE sign me up.

[@Drisman15]

most engineering internships/co-ops pay their interns around 35k a year....must be nice

[@harrydiaz8122]

Chemical engineering internship.

[@will1222]

This is probably one of the only education videos where no one will be here from school

[@Indceptions]

Everyone always remember, Schooling and Education is far different don’t let your parents, or anyone tell you otherwise.

[@rajselvaraj4173]

PLEASE NOTE: Due to the pandemic, the standard deduction has been raised to $12,400 for single-filers.

[@willoughbykrenzteinburg]

The standard deduction for 2020 was always going to be $12,400. It goes up pretty much every year due to inflation. It's built in. It will be $12,550 in 2021.

[@christian.9075]

Thank you for this video. As a 16 year old (who will be 18 next year), this will help me prep for when I have to start paying taxes once I turn 18. Unfortuately, my current & old schools do not offer courses in finance or tax, which is sad.

[@jamiealexander6864]

If only SCHOOL would teach this!😭😭😭

[@marioruiz3514]

Damn business class in hs never taught me this

[@msmoneyboss2532]

this covered the whole lot one needs to know about tax!

[@ianarellano6632]

Why is ray paying TWO tax rates?

[@user-lb1di9hi3p]

hmmm.... great question

[@danielhall6259]

I've found this video useful for showing my students how taxes work, is there a plan to update this to reflect current tax rates? Or odes anyone know another video that does?

[@yozora0121]

I never thought I would pay close attention maybe because how I miss high school

[@shebossy6169]

I watched it once took notes didnt understand so I looked up all the words I didnt understand then watched it again now taxes make sense

[@ikleelmoshref4850]

Hi I’m currently 2 years old and now understand taxes

[@bobbykane2811]

Best 4 minutes of my life ngl

[@syedirtazabukhari7713]

3:00 how does he get the calculations?

[@haileypark6470]

what are they ways to get tax credit?

[@joc.1353]

If you have a child you qualify for an Earned Income Tax Credit I believe. Look that up, E.I.T.C. or EITC or Earned Income Tax Credit on google.

[@lancearmada]

I was confused the first time around when you subtracted an exemption from the income because exemptions dont sound like something that would lose you money, but i guess after watching it a second time around everything past adjustments aren’t actually payments you are making, though the adjustment itself is a real payment. This does beg the question, what counts as an adjustment.

[@AufWiedersehen550]

Funny how I learn more on youtube than the actual school system itself.

[@thatguy7155]

Seeing how they teach middle school student nowdays This is like trying to learn abc so frickin easy yet nobody teach us

[@lancearmada]

Is the fica tax taken out prior to everything, and if so would you not use the 30000 gross income at the start of this video, but instead 30000 minus the amount taken out by the fica tax? Or does it not matter?

[@gusta4713]

Hold up.. how do you calculate how much money you earned throughout the year? Do you have to be literal and actually track how much you earned and how does the government know your not Lying about how much you earned? Also how do you earn tax credits? And do you have to repeat all this process with your state taxes? Like file your tax returns twice?

[@willoughbykrenzteinburg]

If you are running a business, yes - you need to keep track of your income and expenses. There are many pieces of software that allow you to do this. The government doesn't know if you are lying or not which is why they perform random audits on people who have filed tax returns. There are also red flags that alert the IRS to returns they should look into more that would trigger a non-random audit. If you get caught blatantly cheating on your taxes, you could go to prison, so I wouldn't lie. If you live in a state that taxes business income (most states do), then yes - you have to file a separate tax return for that state.

[@Dakid015]

If you work for someone, you would know how much you earned for the year from a form called a W-2. You get that around January after the calendar year that you earned your income. There's a number that has "wages, tips, salary earned". That's the money you earned through the year. But if you own your business like Willoughby said, you'll have track that on your own. That's where hiring an accountant or learning accounting would help. And all the other questions Willoughby answered lol

[@christophersalinas2722]

thanks school

[@andyklaric]

just a heads up to anyone watching this after 2017, tax exemptions are no longer a thing due to tax reform

[@applesauce.6011]

I'm 13 so I just want to know thanks for this video

[@diontaedaughtry974]

Thank you this was very helpful and informative 👍👍

[@technoslut]

I could be wrong but I think personal exemptions are no longer allowed to be used as a deductible for your AGI post 2018.

[@saikirll]

this needs to be put in schools starting 9th grade.

[@jasongoodman3546]

That was Awesome, Thank you.

[@JustKaylaNicole]

More helpful than the resources I've come across so far, but the jargon is still confusing. The process of using tax rates to determine what you owe is simple. But "itemize"? "Above-the-line deductions"? How do you determine if itemizing is better than the standard deduction? What does it even mean to be "below-the-line?" Again, more helpful than other sources, but there needs to be a resource that teaches about taxes from the perspective of someone who has never had a job in their life, which is where I'm coming from

[@familyfun5969]

Great Explanation

[@Brawlcat43]

I don’t know why I watched this video when I can just take my tax advice from Ludwig and just not pay

[@S1nGuLariTY_]

Even after graduation Ray has no idea how to do taxes. Educating system everyone.

[@albrown1812]

Great Video,learned a lot.

[@geraldcapo4400]

what confuses me is at 2:57 it shows the taxable income is 18,700 so from that 18700 the IRS can tax.. my question is what happen or what system or company or what ever took the other money that dropped his gross income from 30k to just little over 18.5k???

[@waz1167]

Thanks for the great video!

[@user-mr1zs1np7w]

The education system has failed so fucking bad im a sophomore and still haven't learned about percentages

[@zhilin220]

great explanations, thanks

[@hifpif7470]

Thanks for the explanation.

[@PandaHQ]

I think the AGI exemptions are no longer available after the tax year 2019.

[@Ashaction8]

Thank you for this !

[@jakeclark4201]

This helped a ton!!

[@channel-km6cn]

They are need to tech this in school. And people let's be honest the internet has taught us more things we need then school.

[@bigblackjay900]

25 years of my life nobody taught me about taxes no matter how many times i asked my dumbass just realize i got the literal internet in the palm of my hands better late than never

[@MrLisPorTu]

2:57 Q: there are two tax brackets. Does that mean there are two incomes?

[@garn1689]

bro, I have to watch this for a school project.

[@taszat]

i dont get where the 2,343 came from

[@dengod2472]

Maybe I’m slow but what exactly is the exception for its just taking more out of your agi

[@smartaccounting2767]

Thank you for your information

[@mikasa748]

Please post more KZbin videos I’ve seen you haven’t posted in 4 years I hope you guys return 🥺❤️

[@Riks718]

Great video !

[@luciaizzolo3920]

however this helped a lot thank!

[@ywjsiabvue]

Alot of terms I don't know. I don't want to do the digging right now

[@chanphakhun4351]

Had to come here cus school would teach me this

[@TyDeshaun]

2:56 Where does the number $1421.25 come from?

[@The__Gent]

Yo Ray Ray! Uncle Sam wants all your money!

[@samharner2023]

Just to let you guys know, personal exemptions are now gone. Due to the Tax Cuts and Jobs Act