Phil Mickelson had a big win at the British Open, but the real winners are the tax collectors. When all is said and done he’ll pay a whopping 61% in taxes, meaning he’ll only keep 39%.
Thanks to his recent wins at both The Open Championship and the Scottish Open, Phil Mickelson pocketed more than $2.16 million in just two weeks. …
According to Forbes, Mickelson has been subjected to the United Kingdom’s 45 percent tax rate for those who make more than £150,000 a year. In addition, the magazine reports, he will be taxed on a portion of the endorsement income he earned during his time in Scotland.
While Mickelson can take a foreign tax credit to avoid being taxed again by the U.S. government, he still has to pay self-employment taxes, the new Medicare surtax, and hand over 13.3 percent of his wages to the state of California, which does not have a foreign tax credit, Forbes reported. (Read More)
Out of the $2.16 million he will pocket $842,700. There’s no word on whether he’s moving out of California, but his house is on the market, so it seems pretty likely. Who can blame him? (Oh, I’m sure plenty of people will.)