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<p>You’d be suprised how much of $60,000 can “magically disappear”. If all of that was taxable, you be paying $11,181 of it just as Federal income tax. Then there’s state and county taxes, property taxes if you own land, maybe even city taxes, depending on where you live. So yes, if you’re making $60,000 dollars you’re really taking home closer to 36k than 60k.</p>
<p>On the other hand, if you had a large family, gave heavily to charity, or otherwise took large deductions, about none of that would be taxed. But those things are expensive themselves… So you can’t win :P.</p>