The movement of peoples' wages into higher tax brackets as a result of wage increases.
The process by which inflation drives personal incomes upward into higher tax brackets: in a progressive income tax system, this causes an increase in tax burdens.
The gradual movement into higher tax brackets when incomes increase as a result of inflation.
Wage inflation moving people's salaries into higher tax bracket.
break-even tax rate bypass trust
The effect of wage increases moving people’s wages into higher tax brackets.
With the high inflation of the Carter presidency, many people's taxes rose more rapidly than their wages and salaries because, as wages climbed in response to inflation, their incomes moved them into tax brackets with higher rates of taxation. This was called "bracket creep."