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GalinKa [24]
3 years ago
9

You are looking at three different job options, one in Pennsylvania, one in Texas, and one in New York. The offers are as follow

s: Salary State tax rate Pennsylvania $62,000 3.07% Texas $64,000 0.00% New York $68,000 6.85% What is the take home pay of the three options? Which of these offers will you accept if you are only interested in maximize your after tax income?
Business
1 answer:
tamaranim1 [39]3 years ago
5 0

Answer:

Texas will be a better option as the net pay after income tax is higher than the other cities.

Explanation:

To consider the after-tax wages we must subtract the income taxes from the salaries:

Pennsylvania after tax income: 62,000 x (1-3.07%) = 60,096.6

Texas after tax income:                                                 64,000

New York after tax income:   68,000 x ( 1 - 6.85%) =  63,342

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