Comment on Is 33 cents a small amount of money?
sfu@lemm.ee 1 week agoI’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?
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”.
Well, it has happened more than once. Of course it would depend on the amount of overtime I worked. It probably happened if I only worked a little OT.
That’s not how it works though. Unless you didn’t work regular hours during that same time period so worked less overall OT is taxed higher upfront so you don’t end up owing (more), but would never decrease your pay
But it did, more than once. Its been years since it happened though. I cant remember the amount of OT I worked that caused it.
GrosPapatouf@lemmy.world 1 week ago
I think you’re on the wrong side of the chart here.
spacesatan@leminal.space 1 week 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.