Percents Final

Percents and Tax Brackets (Last Day)

Tax Brackets

• Tax brackets are like splitting your income up into different buckets, each one taxed at a higher rate than the one before it

• You must fill the first bucket before moving onto the second, etc

Income: $9,000

• Can we fill the first bucket?

• Could we put money in the second bucket?

Income: $15,000

• Can we fill the first bucket?

• Could we put money in the second bucket?

• Can we fill the second bucket completely?

Multiple Choice

Which income would fill the first bucket and start to fill the second bucket?

• $5,000

• $9,000

• $12,000

Your tax bracket:

• Your tax bracket is the tax rate of the bucket you END ON

• It is the tax rate on your highest earned dollar

Multiple Choice

What tax bracket is an income of $50,000?

• 10%

• 12%

• 22%

Multiple Choice

What tax bracket is an income of $39,000?

• 10%

• 12%

• 22%

Multiple Choice

What tax bracket is an income of $6,000?

• 10%

• 12%

• 22%

Multiple Choice

What tax bracket is an income of $65,000?

• 10%

• 12%

• 22%

Open Ended

Why do you think the tax rate increases as income gets higher?