Determine how much you must pay in Federal tax

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Question - Your annual income in 2020 was $49,355. You made the following pre-tax contributions for the year: $5822 to your 401(k), $2000 to your Heath Flex Plan (FSA), and $3000 for company sponsored Health Insurance. Using the standard deduction.

a) Determine how much you must pay in Federal tax using the pre-tax deductions.

b) Determine how much you must pay in Federal tax without using the pre-tax deductions.

c) How much more would you have to pay in federal tax if you did not make those pre-tax contributions.

Reference no: EM132929411

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