In our class warfare world no one’s going to shed a tear for a wealthy white golfer like three-time Masters champion Phil Mickelson.
But government isn’t going to deny him his right to live where he wants, either … (at least not yet).
A resident of Rancho Santa Fe, California, Mickelson says major increases in state and federal income taxes have prompted him to consider some “drastic changes” in his geographic location. He may even retire early.
Wherever he resides in the United States, Mickelson’s federal income tax rate is going up from 36 to 39.6 percent in 2013. But staying in California means his state income tax will also increase, from 10.3 to 13.3 percent (part of a new “millionaire’s tax” imposed by Golden State leaders).
“If you add up all the federal and you look at the disability and the unemployment and the Social Security and the state, my tax rate’s 62, 63 percent,” the 42-year-old San Diego native said last weekend. “So I’ve got to make some decisions on what I’m going to do.”
In addition to demonizing wealth creation, government at all levels is aggressively targeting wealth. And while it’s easy to deride Mickelson’s dilemma as “rich people problems,” it’s also important to remember $400,000 isn’t what it used to be.
Props to Mickelson for speaking candidly about what he makes – and how government’s effort to take more of his money is influencing his behavior.