Re:Salary expectations questions – How should you answer them?
by killingtime74 on Sunday November 10, 2024 @04:54PM
(#42102863)
you've not heard of tax?
Re:Salary expectations questions – How should you answer them?
by scarface_74 on Sunday November 10, 2024 @05:20PM
(#42102986)
It’s called a 401K or HSA…
One is free from federal and state tax up to $23K (well $30.5K for me this year - check my username) and one is free from Federal, State and FICA up to $4250 if you’re single or $8500 if married.
That means I can shelter $39K from taxes.
That $20K is over half the allowable amount.
In 10 years invested at $20K a year that’s 370k at 10% returns (about average for the S&P 500).
Thinking like that is how car manufacturers get people to pay for useless add ons.
On top of that, raises are usually a percentage of current base.
Would you tell someone making $20K not to worry about $40K