The Stacking Benjamins Show · Friday, October 30, 2026
Jesse Kramer addressed the common misconception that receiving a pay increase and moving into a higher tax bracket subjects all income to the higher rate. He explained that only marginal dollars are taxed at the higher bracket.
“A common misconception is that when you move up in a particular tax bracket, when you move into the next highest tax bracket, the misconception is that all of your money, all of your income is now subject to that higher tax rate. Whereas instead only the, only the marginal dollars are subject to the higher tax rate.”