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Old 09-16-2024, 03:41 PM
retiredguy123 retiredguy123 is online now
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Quote:
Originally Posted by JamesD View Post
As an HRB user I'll take a stab at this. I assume you are talking 2024?
In USA we enjoy a progressive income tax structure. The more you make, the more you pay.
Your first taxable 23k is taxed@10%
Your next taxable 70K is taxed@12%
Your next taxable 106K is taxed@22%

I think you are seeing an average.

I could be wrong. But my answer is worth the price you paid.
It's too early to be calculating taxes for 2024. I think the OP is referring to 2023. But, yes, taxes are paid in brackets, so you have several different tax rates. It sounds like 22 percent is the OP's highest bracket, or marginal tax bracket. But, the total income tax would be less than the marginal rate.