• sfu@lemm.eeEnglish
    11·
    7 hours ago

    I’ve had jobs (more than one), where working OT would result in my paycheck take home pay being less than if I had not worked the extra hours. And that’s because it moved me into the next bracket, and more taxes were taken out. So why waste my time working OT?

    • Dnb@lemmy.dbzer0.comEnglish
      1·
      44 minutes ago

      That’s not how is works though.

      I’d you made say 1500 normally and 2000 with ot your take home could be 1200 and 1400. Paying more taxes overall on the ot but still taking home more.

      There is no way you’d take home less money because taxes are paid on the first $1500 @ $300 and say the next $500 @ $300 too at a higher bracket. Overall your pay is still higher though even though your taxes “doubled”.

      • spacesatan@leminal.spaceEnglish
        1·
        5 hours ago

        Or the person calculating their withholding was. But if you’re paycheck to paycheck then that paycheck amount is all that really matters. Cool, I get a bigger refund eventually, but I’m now choosing between eating, walking 2 hours to work to save gas, or letting a bill go unpaid.