Usually we pay some tax to the government on the salary or earning.
Given that money deposited into tax-deferred retirement account this year = $2000
Given that marginal tax rate = 15 %
Now we have to find the how much did you save on this year's tax bill.
tax on deposited money will be = 15% of 2000
= 0.15* 2000 = 300
So tax paid = $300
Money left after paying tax = $2000 - $300 = $1700
Hence money saved this year’s tax bill is $1700.
