Total tax paid
$1,668
Did you know your employer also pays tax on your salary? It costs the employer $466 to pay you $8,000. In other words, every time you spend $10 of your hard-earned money, $2.08 goes to the government.
Real tax rate
19.7%
So, with you and the employer both paying tax, what used to be a 15% tax rate now rises to 19.7%, meaning your real tax rate is actually 4.7% higher than what it seemed at first.