We’ve covered many ways to save money and be frugal here on this site, but there are still more things to explore if you are serious about saving. Knowing how to calculate your income tax is one of the best ways to save more on your taxes. According to Villanova University’s Master of Science in Analytics department, there are three types of income taxes you have to pay as a US citizen. The first one is federal income tax, which is also the largest in percentage. You’re paying up to 39.6% in federal income tax depending on how much you make.
There’s also a state income tax of up to 13.3% and a local income tax of up to 3%. Of course, the amount of tax you have to pay also depends on where you live. Some areas don’t really charge local income tax.
Find out more about global taxes from the infographic released by Villanova University.
