Use this information to complete the quiz. Tax Formula Gross…

Use this information to complete the quiz. Tax Formula Gross Income– Adjustments (from AGI)Adjusted Gross Income (1)– Deductions (from-AGI) Taxable Income (2)x Tax Rate(s) Tax Liability (3)– Tax Credits Taxes Due/(Refund) (4) 2018 Federal Income Tax Brackets (10%–24%) Marginal Tax Rate Taxable Income (over x but less than y) Single Taxable Income (over x but less than y) Married Filing Jointly 10% $0 / $9,525 $0 / $19,050 12% $9,526 / $38,700 $19,051 / $77,400 22% $38,701 / $82,500 $77,401 / $165,000 24% $82,501 / $157,500 $165,001 / $315,000 Standard Deduction $12,000 $24,000

Imagine that Heidi is considering going from a part-time to…

Imagine that Heidi is considering going from a part-time to full-time position at work. This move would result in a $20,000 increase to her salary. If Rob and Heidi have a federal marginal tax rate of 24%, a state marginal tax rate of 7%, and prefer to pay tithing on their gross income (before taking out taxes), what is Heidi’s true increase in salary after accounting for tithing and taxes? (Don’t forget payroll taxes, e.g. Social Security)