Carlos earns $450.00 per week as a paralegal. He is in the 15% tax bracelet. How much of his annual income is withheld for taxes?
If he's paid for every week of the year --
450 * 52 * 0.15 = ?
3510 Duh !
To calculate how much of Carlos's annual income is withheld for taxes, we need to first determine his annual income, and then calculate the tax amount based on the given tax bracket.
To find Carlos's annual income, we'll multiply his weekly income by the number of weeks in a year:
Annual income = Weekly income × Number of weeks
Annual income = $450.00 × 52
Annual income = $23,400.00
Next, we need to determine the tax amount withheld based on the given tax bracket. Carlos is in the 15% tax bracket. This means that 15% of his income will be withheld for taxes.
To calculate the tax amount, we'll multiply his annual income by the tax rate:
Tax amount = Annual income × Tax rate
Tax amount = $23,400.00 × 15%
Tax amount = $3,510.00
Therefore, $3,510.00 is withheld from Carlos's annual income for taxes.