Car Sales - Job Change - Advice needed

[trollface]

Are we talking car sales? How do you push deals till next year if a customer buys today?

You guys have some funky voodoo tax magic I'm not aware of?

[CivicBlues]

Originally Posted by MarkyMark

I've met so many people that believe if they make a certain amount that pushes them into the next tax bracket then all of their income is taxed at that rate and they get fucked.

I swear the reason why financial literacy and basic tax law is still not taught in high schools is so the elites can keep screwing us over by keeping us ignorant.

[trollface]

REPEAT AFTER ME.

TAXES ARE MARGINAL

[Badhobz]

Originally Posted by Gerbs

Haha, I remember counting those white / pink slips of paper that my mom trades in for 5 to 10 cents a piece. We still have a ton of leftover TNA / Lulu raw materials from the early 2000's. She also worked by east hastings / clark area.

thats crazy! our poor, poor mothers. I would say that was one of my key motivators to do better is to bring the family out of poverty and provide them with a better standard of living.

[inv4zn]

Originally Posted by trollface

REPEAT AFTER ME.

TAXES ARE MARGINAL

This doesn't help if one doesn't know what marginal means lol.

And arguably there are instances where earning more does mean less take home, but those are individual circumstances.

Like someone could get a pay raise of $6 grand a year before tax, but lose about 4 grand in subsidies for child care and other benefits, so they "earn" less net. But that has nothing to do with taxes.

[Hondaracer]

So I used to work with this old hippy landscaper who had a scenario I think where the tax bracket thing came into play. It really only hurts you if you make a lot of money but make a low wage, and you’re making that big annual income through working OT etc.

I can’t remember the exact figures but the guy was making like $25 an hour. But he worked so much (sometimes like 100 hour weeks Apperently) that he was touching 100k annually making $25 an hour. He said he finally started using an accountant and the accountant told him some of these pay cheques basically amount to making $6-7 an hour because he’s working soooo much at such a low wage, your time becomes increasingly less valuable

As opposed to someone working 40 hours a week who goes from making $35 an hour to $45 an hour, yes you will be getting taxed more, but you’re also going to be taking more money home regardless of the bracket

[Gerbs]

Originally Posted by Badhobz

thats crazy! our poor, poor mothers. I would say that was one of my key motivators to do better is to bring the family out of poverty and provide them with a better standard of living.

I did some manufacturing for work and it involved me going back there 16 years later to negotiate a production contract.

I walk in and all the Asian aunties are staring at me, the place smells like a pineapple bun, everyone gossiping while collecting the little tags

To my knowledge, we can't find talent to sew specific patterns without paying at least $19 - 26/hour to the staff at a manufacturing level locally.

Originally Posted by Hondaracer

.

I can’t remember the exact figures but the guy was making like $25 an hour. But he worked so much (sometimes like 100 hour weeks Apperently) that he was touching 100k annually making $25 an hour. He said he finally started using an accountant and the accountant told him some of these pay cheques basically amount to making $6-7 an hour because he’s working soooo much at such a low wage, your time becomes increasingly less valuable

If you're working for $25/hour as a hourly/salary dood. You don't need to pay for an accountant. My mans would've been taxed the same working 2,000 hours at $50/hour making $100,000 or 3,000 hours at $33.33 blended of OT, Stat, and Reg pay. At $100,000 per hour your real wage for the next $1 would've been taxed at like 32.79% so he'd make a real wage of $16.80 per hour at $25/hr reg. Which imo is not bad compared to $6-7, a 240% increase.

[inv4zn]

Originally Posted by Hondaracer

So I used to work with this old hippy landscaper who had a scenario I think where the tax bracket thing came into play. It really only hurts you if you make a lot of money but make a low wage, and you’re making that big annual income through working OT etc.

I can’t remember the exact figures but the guy was making like $25 an hour. But he worked so much (sometimes like 100 hour weeks Apperently) that he was touching 100k annually making $25 an hour. He said he finally started using an accountant and the accountant told him some of these pay cheques basically amount to making $6-7 an hour because he’s working soooo much at such a low wage, your time becomes increasingly less valuable

As opposed to someone working 40 hours a week who goes from making $35 an hour to $45 an hour, yes you will be getting taxed more, but you’re also going to be taking more money home regardless of the bracket

This doesn't make sense, that's not how any of it works lol.

Your time doesn't get less valuable the more you work, regardless of wage.

If the guy earned $100,000k in a year, this year, he would have paid $25k in federal and provincial taxes, including CPP/EI. Divide that by the total hours and you have your net hourly rate for the year.

The only way your "hourly" fluctuates so much in a given period is if you worked SO much that you hit the maximum marginal tax rate, which is 53.50%, once you hit $220k annual. IF he worked a 2 week period in which he earned $8500 pretax ($220k annually), which would be 200+ hours in 2 weeks, then he would have earned $11.63, but he would have had a hell of a tax return. I'm not calling you a liar, but something in that story doesn't add up, and arguably "working a lot at a low wage is disadvantageous" is false, from a fiscal year perspective.

[Hondaracer]

That’s just what the guy told me and it seemed to make sense at the time, but maybe not lol

Guy wasn’t the brightest bulb. Pretty sure caught him whispering to plants

[donk.]

Inv4sn is correct

[donk.]

Originally Posted by Hondaracer

That’s just what the guy told me and it seemed to make sense at the time, but maybe not lol

Guy wasn’t the brightest bulb. Pretty sure caught him whispering to plants

He probably also has a ruler underneath his pillow so he can measure how long he sleeps

[dark0821]

^you guys are all correct

Taxes are maginal 100%, but as someone mentioned, on the lower brackets, it is absolutely true that pushing higher in a bracket can have huge impacts to your family income as a whole.

$0 to $42,184
- Max benefits from BC GOV (ie. free community centre passes such as gym and swimming pool, free swim lessons for kids, basically free programs in that community centre catalog except for the few 3rd partie ones that are not ran under the gov directly)
- huge subsidy in preschool (I was paying the full amount at like $500 a month per child, and some other parents are paying $80? and they drive a Model X, and I was driving a Rogue, cuz even the RAV4 at the time was too expensive if you are financing, 4.99% APR is no joke, Rogue was 0.9% LOL)(thankfully one child was in preschool at a time, but I still ended up paying like 4 years worth (2 years per child) fml)
- max Canada Child Benefit (once again, its like something stupid like $500+ per kid) I don't know cuz my benefit is like >$100 per child...


$42,184.01 to $84,369
- partial benefitis from above, not as subsidized as "low income" families above, but still a decent chunk in everything listed above

$84,369.01 to $96,866
- this is where I assume most of the working population incomes fall under, like actual people who need to work (people like me LOL), you get jack shit from any benefits, because to the govt you are in the "have camp" instead of the "have not camp that needs help"
- for people with income just under @ like $83,000 with kids, you bet they can afford "a better living" than people we are making $85,000 a year. That extra $160 (before taxes mind you, so maybe you are taking home an extra $120?) that you take home every month is doing jack shit compared to the benefits you are losing

$96,866.01 to $117,623
- honestly if you are doing better than $84,000 a year (ie the last teir). You should just be doing everything to max your income.
- Tht govt isn't doing shit for you except making your life harder, because you are the wealthy and rich (HA!)
- So you aint getting shit, might as well make your own $$$$, because every extra $ you earn, it is going into your pocket after some tax deductions..

\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\

All in all, basically
- if you are making less than $84K, there are some scenarios where it is smart to stay under $84k
- if you are making more than $84K, then max your income, there will be no scenarios where making more will net you less

[JDMDreams]

Rs anti tax tax club.

[JDMDreams]

It's also the same as all the Asians see lais that must take out all their rsp by 65 or they won't get the max gis pension from the government. They should sell their house too so they gov can see they have no assets

[SSM_DC5]

^ I recently heard of this! How much RRSP does one need to reach the point this become a bad idea?

[GLOW]

Originally Posted by westopher

I'd literally rather jump off the lions gate bridge than be a GM. All the stress of a chef job as far as staffing, removes the creative aspect, and no pay bump in most cases. GM is very lateral to chef as far as pay and hierarchy. I appreciate what you mean though, it just isn't that way per say compared to the tools/office regard. You're still going to be running as a GM, unless you are an operations manager in a corporate setting.
Funny thing though, even though you're higher up the ladder, in that corporate setting you really are implementing much more than getting to make the decisions of what to implement.
Ideally this change wouldn't have been the one. I'd be teaching at VCC, but unfortunately, I didn't go to culinary school, so I'd need to at least get my red seal, which is frustrating, because people with red seals work for me and learn the things school didn't prepare them for.

Originally Posted by freakshow

My wife has been in fine dining since early 2000's. She took an instructor position at VCC when our first son was born (2017). Trust me, it's completely worth it if a red seal is the only thing you need. I'm not a chef, but I'd be happy to answer any questions since i've seen her go through everything, just PM me.

Originally Posted by dark0821

^you guys are all correct

Taxes are maginal 100%, but as someone mentioned, on the lower brackets, it is absolutely true that pushing higher in a bracket can have huge impacts to your family income as a whole.

$0 to $42,184
- Max benefits from BC GOV (ie. free community centre passes such as gym and swimming pool, free swim lessons for kids, basically free programs in that community centre catalog except for the few 3rd partie ones that are not ran under the gov directly)
- huge subsidy in preschool (I was paying the full amount at like $500 a month per child, and some other parents are paying $80? and they drive a Model X, and I was driving a Rogue, cuz even the RAV4 at the time was too expensive if you are financing, 4.99% APR is no joke, Rogue was 0.9% LOL)(thankfully one child was in preschool at a time, but I still ended up paying like 4 years worth (2 years per child) fml)
- max Canada Child Benefit (once again, its like something stupid like $500+ per kid) I don't know cuz my benefit is like >$100 per child...


$42,184.01 to $84,369
- partial benefitis from above, not as subsidized as "low income" families above, but still a decent chunk in everything listed above

$84,369.01 to $96,866
- this is where I assume most of the working population incomes fall under, like actual people who need to work (people like me LOL), you get jack shit from any benefits, because to the govt you are in the "have camp" instead of the "have not camp that needs help"
- for people with income just under @ like $83,000 with kids, you bet they can afford "a better living" than people we are making $85,000 a year. That extra $160 (before taxes mind you, so maybe you are taking home an extra $120?) that you take home every month is doing jack shit compared to the benefits you are losing

$96,866.01 to $117,623
- honestly if you are doing better than $84,000 a year (ie the last teir). You should just be doing everything to max your income.
- Tht govt isn't doing shit for you except making your life harder, because you are the wealthy and rich (HA!)
- So you aint getting shit, might as well make your own $$$$, because every extra $ you earn, it is going into your pocket after some tax deductions..

\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\

All in all, basically
- if you are making less than $84K, there are some scenarios where it is smart to stay under $84k
- if you are making more than $84K, then max your income, there will be no scenarios where making more will net you less

that's per person right? if you're in a dual income family (say one makes $90k and one makes $60k), it looks at each spouse individually, not combined right? sorry i'm not the one that does taxes in the family

[inv4zn]

Originally Posted by GLOW

that's per person right? if you're in a dual income family (say one makes $90k and one makes $60k), it looks at each spouse individually, not combined right? sorry i'm not the one that does taxes in the family

Taxes are not combined. You can claim certain things jointly/shared (ie. Donations) but as far as income goes each person is individual.

But household income is often used to assess things, so it's a bit unfair in that regard.

[Alpine]

Originally Posted by JDMDreams

It's also the same as all the Asians see lais that must take out all their rsp by 65 or they won't get the max gis pension from the government. They should sell their house too so they gov can see they have no assets

They've already distributed their assets / sources of revenue under the names of their children by the time they reach 65. You have to maximize government benefits!!!

[Dbone]

Of course if you're making enough money to get into that top tier, and you aren't some kind of exec, then it's time to incorporate.

It's not as helpful now as it was 20 years ago, but at least you can save after paying that initial corporate tax bill, earn some passive income, and pay out later in lean years.

Home office FTW!

[bcrdukes]

For those of you who work / worked at the Open Road Group - Are you allowed to cross sell cars from other dealerships? For example, if you worked for let's say Open Road Toyota, can you sell a car to a customer where another car at Open Road Hyundai is inventoried?

[Tapioca]

Originally Posted by Dbone

Of course if you're making enough money to get into that top tier, and you aren't some kind of exec, then it's time to incorporate.

It's not as helpful now as it was 20 years ago, but at least you can save after paying that initial corporate tax bill, earn some passive income, and pay out later in lean years.

Home office FTW!

Top tier is a big range... I doubt your typical middle level salaried employee who is making 120K-150K is going through the trouble to incorporate.

I have physicians in my family who earn ~$2K per shift. At that level, that's when it makes sense to incorporate.

[inv4zn]

Originally Posted by bcrdukes

For those of you who work / worked at the Open Road Group - Are you allowed to cross sell cars from other dealerships? For example, if you worked for let's say Open Road Toyota, can you sell a car to a customer where another car at Open Road Hyundai is inventoried?

I know a guy at openroad vw, and when I told him my friend was looking for a genesis, he referred my friend to a openroad genesis guy, and said they usually get a small portion of the commission.

[Funnel]

Originally Posted by bcrdukes

For those of you who work / worked at the Open Road Group - Are you allowed to cross sell cars from other dealerships? For example, if you worked for let's say Open Road Toyota, can you sell a car to a customer where another car at Open Road Hyundai is inventoried?

No

[Gerbs]

Originally Posted by SSM_DC5

^ I recently heard of this! How much RRSP does one need to reach the point this become a bad idea?

Max GIS supplement is $995.99/month or $11,954.88 a year

Current Risk-Free Rate is 4.7% 10-Year GIC at EQ Bank

$11,954.88 / 4.7% = $254,295 invested to earn the same returns.
(GIC and GIS are both included in taxable income if unsheltered the same way)

$552,500 in taxable income is roughly $254,295 taxes paid.

So $552,500 is the break-even point. But you could probably add more benefits to the $11.9K figure to make this number higher like free bus passes.

https://www.canada.ca/en/services/be...it-amount.html

https://www.wealthsimple.com/en-ca/t...itish-columbia

[dark0821]

Came here to ask about job change, now getting financial advice.

Revscene never dissapoints lol