Total tax paid
$108
Did you know your employer also pays tax on your salary? It costs the employer $33.18 to pay you $1,500. In other words, every time you spend $10 of your hard-earned money, $0.72 goes to the government.
Real tax rate
7.0%
So, with you and the employer both paying tax, what used to be a 5% tax rate now rises to 7.0%, meaning your real tax rate is actually 2% higher than what it seemed at first.