Tim Worker estimates his taxable income will be $7,000. He is paid twice a month or 24 times a year. Because Tim has only one so
urce of income, he uses the Tax Tables to estimate how much will be deducted from his pay for withholding. 1. Finds the tax rate for his income level. = %
According to the tax table for 2017. A taxable income of $7000 will have a tax of $703. 703/24 = 29.29 per paycheck round up my 1 cent to 29.30 to cover the additional 4 cents left over and receive a 20 cent refund.
