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Lena [83]
2 years ago
6

Tara is saving for an overseas trip. Her taxable income is usually about $20000. She estimates that she will need $5000 for the

trip, so she is going to do some extra work to raise the money. How much extra will Tara need to earn in order to save the extra $5000 after tax?
Mathematics
1 answer:
wolverine [178]2 years ago
4 0

An income is taxable is such income falls into a category where a proportion of the income is removed, as tax. To have an extra $5000 after tax, Tara must save $6173.

Given that:

Earnings = \$20000 --- normal earnings

Amount = \$5000 ---- the amount needed

From the complete question, the tax rate for earnings between $18201 and $37000 is 19%.

Let the additional amount be x.

So, the equation that calculates the amount needed (after tax) is:

x(1 - 19\%) = 5000

Express as decimal

x(1 - 0.19) = 5000

x(0.81) = 5000

Make x the subject

x = \frac{5000}{0.81}

x = \$6173

Hence, she needs to make an extra of $6173 to save $5000

Read more about taxable income at:

brainly.com/question/17347618

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