The Taxberg
$1,069
Net pay
$119
Tax the employer pays
$373
Tax you pay
Total tax paid
$492
Did you know your employer also pays tax on your salary? It costs the employer $119 to pay you $1,442. In other words, every time you spend $10 of your hard-earned money, $3.41 goes to the government.
Real tax rate
31.5%
So, with you and the employer both paying tax, what used to be a 25.9% tax rate now rises to 31.5%, meaning your real tax rate is actually 5.6% higher than what it seemed at first.