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Please help me. I don't know how to calculate the orange box ---Benny Taxable Income per Bracket And for step 3 , how to get
Please help me.
Step 1: Calculate tax for our friend Benny using Nerd Wallet's Federal Income Tax Calculator 2019. Benny is in his first job out of college. He isn't married, nor does he have any dependents. He turned 23 on December 31, 2019. Benny's wage (regularly taxed income) is $50,000 per year and he worked the full year of 2019. He has had no money withheld from his check, has no unemployment income, cannot be claimed by his parents or anyone else as a dependent. He will include $0 for his 401(k) and IRA contributions, and he will use the standard deduction of $12,200. Enter the calculated results of what Benny's taxable income, effective tax rate and estimated federal taxes are here: le Taxable income: Effective tax rate: Estimated federal taxes due: 37800- 8.68% 4342e Step 2: - Now calculate Benny's effective tax rate on your own and compare it to Nerd Wallet's calculation that you found above. Use Benny's taxable income (found above) and the information found here to help you calculate and fill in the boxes below (you may round to the nearest dollar). Indicate the range, the amount of Benny's taxable income in each bracket and the amount of tax due per bracket. The first line has been completed for you, and the tax due calculation is: (high end of the range - low end of the range) x tax bracket percentage. For example: ($9,700 - $0) 0.10 = $970.00. If the taxable income for the bracket falls within the range, you would calculate from the taxable income amount in the range - low end of the range x tax bracket percentage. + Rate Range 3 10% 12% 22% Total $0-$9,700- $9701-$39475 $39476-$84200 Benny's Taxable Income per Bracket $9,700 $ $ $ Federal Income Tax Due $970- $ $ Indicate Benny's highest federal tax bracket rate here: 22% Step 3: Take the total amount of tax (number in the orange box on the "Total row), divide it by the yearly salary, multiply it by 100, and input the number in the box below. This is the effective federal tax rate. Does this match up with the calculator's effective tax rate? If not, revisit your calculations. + I don't know how to calculate the "orange" box
---Benny Taxable Income per Bracket
And for step 3 , how to get the total?
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