Total tax paid
$747
Did you know your employer also pays tax on your salary? It costs the employer $157 to pay you $4,500. In other words, every time you spend $10 of your hard-earned money, $1.66 goes to the government.
Real tax rate
16.1%
So, with you and the employer both paying tax, what used to be a 13.1% tax rate now rises to 16.1%, meaning your real tax rate is actually 3% higher than what it seemed at first.