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I'm trying to determine how much income I will have after tax in the US, assuming only federal taxes.

My calculations are as follows. I start off with $75,000, take a standard deduction of $6,300, deduct $7,500 to 401K and deduct $2,500 of interest for student loans. I'm left with a taxable income of $58,700. This amount has roughly $10,400 of taxes. So my pay after taxes would be $75,000 - $7,500 - $10,400 = $57,100.

Is it correct that I subtract the amount of taxes ($10,400) from the base salary ($75,000) less the 401K contribution ($7,500) to determine the pay after taxes? Or should I be simply deducting the amount of taxes ($10,400) from the taxable income ($58,700)?

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Is it correct that I subtract the amount of taxes ($10,400) from the base salary ($75,000) less the 401K contribution ($7,500) to determine the pay after taxes? Or should I be simply deducting the amount of taxes ($10,400) from the taxable income ($58,700)?

The former is correct. The latter doesn't make sense, as you're completely subtracting the deductible amounts, which is like treating them as taxed at 100% instead of 0%.

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If you are trying to determine the amount of your pay, you simply need to subtract the amounts that will be withheld from your check.

Your pay starts at $75,000, and taxes, your 401(k) contribution, and any other payroll deductions (such as health insurance) will be taken out before you get your paycheck. Student loan interest will not.

However, you missed a couple of things when it comes to taxes. First, Social Security and Medicare taxes (also called FICA, or payroll tax) will be taken out of your check as well. This tax is 7.65%, or $5737.50 for you for the year. Depending on your state, you will also have state income tax withheld from your check, just like federal tax.

The other thing you missed was this: Besides the deductions you listed in calculating your taxable income, you also have a personal exemption of $4050 per person in your household. So if you are single with no dependents, you can subtract $4050 and your standard deduction of $6350, along with your 401(k) and student loan interest deduction, to get your taxable income.

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