standard deduction for single taxpayer 2021: 12,550

I believe there is no deductions for AGI needed in this problem.

Employment taxes withheld: Social security rate: 6.20%, Medicare 1.45% (total 7.65%) would these factor into problem? If so where on the tax formula?

I believe there is no deductions for qualified business income for this problem.

If health insurance considered a medical expense, only the amount above .075 of AGI can be deducted, considered itemized?

Mainly confused because problem mentions taxpayer picks standard deduction, so how would healthcare factor in? And what truly is net cash flow?

(these are mainly questions explaining my confusion, I am looking for the answer to the question in the picture's problem)

PLEASE show work in excel! and explain any formulas not shown! thank you!

You are currently trying to decide between two job offers. In both cases you would be considered an employee of the company. The first offer, from Glen Corporation, includes a starting salary of $55,000 and health insurance (premiums paid 100% by Glen). The second offer is from Coco Corporation. They are willing to negotiate salary with you, but they do not provide health insurance. You definitely want health insurance so you researched purchasing a policy on your own and found that insurance similar to the policy provided by Glen would cost you $8,700 per year. Assume you are not married, have no dependents, and use the standard deduction. Base your calculations on 2021 tax rules/rates. Part 1 1a. How much would Coco need to pay you in salary in order for you to be indifferent between the two job offers (i.e., the two job offers would provide you with the same net cash flow after accounting for all relevant expenses)? 1b. What is the difference in salaries at this indifference point? SXX.XXX (X,XXX) XX.XXX Gross income Deductions for AGI Adjusted Gross Income (AGI) - The greater of: Itemized deductions Standard deduction - Deduction for qualified business income Taxable income (X.XXX) (X.XXX) XX.XXX Tax (calculated using tax table/rate schedule) - Tax payments and credits Tax due/refund X.XXX (X.XXX) XXX You are currently trying to decide between two job offers. In both cases you would be considered an employee of the company. The first offer, from Glen Corporation, includes a starting salary of $55,000 and health insurance (premiums paid 100% by Glen). The second offer is from Coco Corporation. They are willing to negotiate salary with you, but they do not provide health insurance. You definitely want health insurance so you researched purchasing a policy on your own and found that insurance similar to the policy provided by Glen would cost you $8,700 per year. Assume you are not married, have no dependents, and use the standard deduction. Base your calculations on 2021 tax rules/rates. Part 1 1a. How much would Coco need to pay you in salary in order for you to be indifferent between the two job offers (i.e., the two job offers would provide you with the same net cash flow after accounting for all relevant expenses)? 1b. What is the difference in salaries at this indifference point? SXX.XXX (X,XXX) XX.XXX Gross income Deductions for AGI Adjusted Gross Income (AGI) - The greater of: Itemized deductions Standard deduction - Deduction for qualified business income Taxable income (X.XXX) (X.XXX) XX.XXX Tax (calculated using tax table/rate schedule) - Tax payments and credits Tax due/refund X.XXX (X.XXX) XXX