taxes

[emm1980]

I accidently submitted this question in the wrong area a bit ago. I'm wondering what is a good tax rate for my citizens. I jump between 20-25% I don't want to anger my citizens but I want to earn money for my country. What is too high of a tax rate?

[Scorp]

Test things out. What you are looking for is the most in taxes. Since you can change taxes infinitely (in theory) many times a day, look at the Avg. Individual Income Taxes Paid Per Day $138.73 field in the game with each percent. Even try those at like 28%. Because happiness only correlates to money in this game, you don't have to worry about the bad effects of lowering happiness as long as your nation is getting the most money possible.

[Notatalldude]

Well first of all, taxes aren't meant to make your citizens happy, they're meant to give you a steady source of income, so if you are a newer or average nation, choose either 25% or 28%. And then see which one makes most money, indeed 28% taxes them more, but lowers happiness, which lowers income slightly, so check both of those rates and see what you come up with for what the tax would be.

[emm1980]

Thanks!

[Count Rupert]

Set your tax rate to 10% and note what your citizen income is. If it is between:

$10-16, then 28% is your ideal tax rate

$17-32, then 20% is your ideal tax rate

$33-50, then 23% is your ideal tax rate

$51 or higher, then 28% is your ideal tax rate

Your citizen income should have already been in the neighborhood to set the tax rate at 28% and forget it until you buy the Social Security System when you'll raise it to 30% and forget it, but you're all over with your improvements. You committed to the clinics/hospital way too early and that labor camp is hurting you more than it's helping you. The school was okay, but a bank would have been better. Early, your improvements beyond the harbor should have been the factories to reduce cost to buy infrastructure and banks/stadiums to boost income/happiness. Take a look at the Nation Building Guide pinned at the top of this forum for a good improvement schedule list.

Edited March 23, 2008 by Count Rupert

[Scorp]

I wanna know the math that is involved with the list you posted.

[emm1980]

My nation is over 250 days old so I'm actually an older nation I just never paid much attention to the tax rate. My citizens income was around $75 and my tax rate was up to 24% I just increased it to 28% and they now make 66 and I get 25 bucks per citizen and I have 8,000 citizens.

[+Zeke+]

I wanna know the math that is involved with the list you posted.

Old math around these parts. Just about every old alliance has that list Rupert shows. Probably created around 2 years ago and is now chiseled in stone on the library walls over every large or old alliance. I joined 600 days ago and it was old news then.

But for any player more than a few weeks old and not ZI'd then just set it to 28% and forget it until you buy your SSS wonder.

Edited March 25, 2008 by +Zeke+

[Janquel]

Set your tax rate to 10% and note what your citizen income is. If it is between:

$10-16, then 28% is your ideal tax rate

$17-32, then 20% is your ideal tax rate

$33-50, then 23% is your ideal tax rate

$51 or higher, then 28% is your ideal tax rate

Your citizen income should have already been in the neighborhood to set the tax rate at 28% and forget it until you buy the Social Security System when you'll raise it to 30% and forget it, but you're all over with your improvements. You committed to the clinics/hospital way too early and that labor camp is hurting you more than it's helping you. The school was okay, but a bank would have been better. Early, your improvements beyond the harbor should have been the factories to reduce cost to buy infrastructure and banks/stadiums to boost income/happiness. Take a look at the Nation Building Guide pinned at the top of this forum for a good improvement schedule list.

Hm? I thought it was 0-10, 16% then 10-32.66, 20% (and so on and so forth).

Also, as a little note, these numbers all shift upwards as you get improvements that improve population income by a fixed percentage (harbor, banks, etc). Of course, the impact won't really be felt because the improvements themselves will likely put you over any such increased thresholds, I'm just saying.

[Aeternos Astramora]

Also, as a little note, these numbers all shift upwards as you get improvements that improve population income by a fixed percentage (harbor, banks, etc). Of course, the impact won't really be felt because the improvements themselves will likely put you over any such increased thresholds, I'm just saying.

Your income would've already taken into account improvements.

[Scorp]

Old math around these parts. Just about every old alliance has that list Rupert shows. Probably created around 2 years ago and is now chiseled in stone on the library walls over every large or old alliance. I joined 600 days ago and it was old news then.

But for any player more than a few weeks old and not ZI'd then just set it to 28% and forget it until you buy your SSS wonder.

Yes, my alliance has it posted, but that doesn't mean that the math's not irrelevant. I still want to know the math.

[Janquel]

Your income would've already taken into account improvements.

Your income would already take it into account. However, the equations which derive the points at which switching tax rates becomes beneficial do not - the reason that everyone does not instantly put their tax rate to 28% is because of the lost happiness from higher tax rates. When you buy your first bank, 1 happiness is no longer $2, but rather $2.14. Therefore, you must replace the lost income in the equations from the fixed amount of $2 to $2.14. Similarly, just having a harbor would make it $2.02. It's a very small shift, and can easily be overlooked, but it's still there.

[dvmai]

how often should we be collecting taxes? everyday?

[Hime Themis]

Good Dvmai

You question is more than economics. Leaving collection of for more days than required to collect the bonus does nothing for the economics. In addition if specific events or purchases are upcoming then waiting to collect when your bonus will be better makes economic sense. The risk of waiting to collect is an unexpected loss of a trade partner, war or negative event. Politically the lack of collection appears to be inactivity making you appear a better target for a raid or war.

I personally when I do not have a specific event coming up collect every second day. as I max out the interest bonus at that time. This is also effected by your choice of Defcon and Threat level as they may only be changed every day and you may wish not to put yourself at risk as often with a lowered defcon level.

Respectfully

Page Hime Themis