[mcphage]

> But if you are going to tax me heavily for that then no, I'll probably just stick to what I am doing and not bother.

That’s fine. Since we have a free market economy, someone else who wants that money more than you will do it instead.

[scarface74]

I'm an experienced developer with a wide range of skills from web development to AWS architecture. When I looked at doing side work and thought about the rates people were willing to pay me and thought about the 49% marginal tax rate on every dollar I would have earned (Federal, state, social security, Medicare including the self employment tax - pre 2018), I thought "why bother?" My skillset isn't easily replaced.

On the other hand now that my marginal tax rate would be 33.6% (2018 Tax rates) since I'm already over the social security maximum from my primary job, it's much more attractive.

My wife would have jumped at the chance to make an extra work at $15 - $20 an hour (W2) when she was single, now at our combined tax rate, it's not even worth it. We are thinking about her working part time. The main reason she is working at all is for the health benefits that give me the opportunity to aggressively jump between contract, full time, unstable startups, and stable corporate jobs.

Taxes make a difference on how much someone is willing to work, especially if they make enough to be comfortable.

[nightski]

Free market economy does not mean everyone has the same money, connections, skills, and ability to produce the economic output.

[mcphage]

No, but that’s just a numbers of games—there are millions of developers out there, and only a few hundred high demand skills.