By my estimation and IRS calculator, his tax liability is probably under 20%. Probably. This assumes about 15% is being taken out for healthcare and retirement however, so yeah, the net paycheck will be approximately 30-40% lower than gross.
I’d estimate OP has $440 a month left over after all the list expenses.
No one is paying 40% total tax rate unless they are single, make $350,000+, and live in a high tax area (NYC, San Francisco). If you are married, you have to make at least $800,000 to pay 40% overall.
That’s what I used. Still some question about how much nontaxable retirement/Healthcare as well as what the state taxes would be. I estimated $5,700 in federal and $1000 in state. Based on 10% to retirement and $2400 a year for insurance, right off the top, and a 3% state tax.
numbers don’t check out
lists $2250 expenses… 100 hours of work per month would cover it
I know they have other expenses, but they failed to list them and failed to make their point.
100 hours of work if the money is tax free (it’s not). Taxes take about 40% of your gross income so on $23/hr hr can’t afford the listed bills.
By my estimation and IRS calculator, his tax liability is probably under 20%. Probably. This assumes about 15% is being taken out for healthcare and retirement however, so yeah, the net paycheck will be approximately 30-40% lower than gross.
I’d estimate OP has $440 a month left over after all the list expenses.
$440 per month to pay for gas, utilities, phone bill, insurance, incidentals, etc. You can forget about savings completely.
I don’t think OP is too far off the mark.
Use this tax calculator; it includes FICA, state taxes, and local taxes:
https://smartasset.com/taxes/income-taxes
No one is paying 40% total tax rate unless they are single, make $350,000+, and live in a high tax area (NYC, San Francisco). If you are married, you have to make at least $800,000 to pay 40% overall.
That’s what I used. Still some question about how much nontaxable retirement/Healthcare as well as what the state taxes would be. I estimated $5,700 in federal and $1000 in state. Based on 10% to retirement and $2400 a year for insurance, right off the top, and a 3% state tax.