Question:

What percent of wages to Americans pay in Tax?

by  |  earlier

0 LIKES UnLike

I of course mean

what percentage of wages DO americans pay in tax

 Tags:

   Report

2 ANSWERS


  1. That varies state by state, and by level of income, and a lot of other things.  It also depends on if you are trying to include things like sales tax, Social security, Medicare, property taxes, etc.

    I live in Ohio.  I see about 35% come out of my paycheck for withholding.  I then pay 6% sales tax, and property taxes for my house.  My wife is self employed, so she also is impacted by the self employment tax.  She has to basically with hold 50% of all the money she makes to put towards taxes, before paying property or sales tax.


  2. It really depends on how much you make and the type of tax you're subjected to.  If you are below a certain level, you may actually have a negative tax (ie the earned income credit).

    The first $100,000 or so is taxed at 7.65% for FICA.  Everything above that is taxed 1.45%.

    Then, depending on filing status and the number of kids and tax deductions, your marginal income tax rate could be between 10% and 35%.

    On top of that, then you have your state income tax rates.  That depends on which state you're in.

Question Stats

Latest activity: earlier.
This question has 2 answers.

BECOME A GUIDE

Share your knowledge and help people by answering questions.