Ayesha works as a real estate agent. Her annual gross salary is $28,000. From this, she must pay 20% income tax on anything earned above $15,000. In addition, she must repay a loan at a rate of $140 per month, which is taken out of her post-tax pay (i. e. after the tax has been calculated). What is Ayesha's take home pay per year? Round your answer to the nearest dollar.

Question

Mathematics

Kaia Chambers

26 October, 06:30

Ayesha works as a real estate agent. Her annual gross salary is $28,000. From this, she must pay 20% income tax on anything earned above $15,000. In addition, she must repay a loan at a rate of $140 per month, which is taken out of her post-tax pay (i. e. after the tax has been calculated). What is Ayesha's take home pay per year? Round your answer to the nearest dollar.

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Answers (1)

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Cheddar · Answer 1

Step-by-step explanation:

Annual gross salary = $28000

Income tax = 20% on anything above $15000

So she's taxable for $5000

Rent loan = $140 per month = $140 * 12 = $1680 per annum

Tax deductible per annum = 20% of $5000

20 / 100 * $5000 = $1000

Total amount she takes home per annum =

Gross salary per annum - tax - loan =

($28000 - $1000 - $1680) = $25,320

Ayesha takes home $25,320 home annually.