Total tax paid
$1,907
Did you know your employer also pays tax on your salary? It costs the employer $394 to pay you $7,500. In other words, every time you spend $10 of your hard-earned money, $2.54 goes to the government.
Real tax rate
24.2%
So, with you and the employer both paying tax, what used to be a 20.2% tax rate now rises to 24.2%, meaning your real tax rate is actually 4% higher than what it seemed at first.