← Back to context Comment by reissbaker 2 days ago I think most bartenders would appreciate an extra $25k. 4 comments reissbaker Reply itake 2 days ago I am sure they would! but that isn't what the law says. Its a $25k DEDUCTION.If someone earned $125k salary + $25k in tips. Their taxable income would decrease by about $6k (or $500/mo, 4% overall). reissbaker 2 days ago Okay. I think they would also like an extra $6k. shazbotter 2 days ago Deducting 25k does not mean taking home an extra 25k. It means, probably, somewhere around $1-3k, depending on their tax bracket. noboostforyou 2 days ago That's...not how it works, like, at all. It's a tax credit, not actual money that you pocket additionally from your existing paycheck. It also only lasts until 2028.
itake 2 days ago I am sure they would! but that isn't what the law says. Its a $25k DEDUCTION.If someone earned $125k salary + $25k in tips. Their taxable income would decrease by about $6k (or $500/mo, 4% overall). reissbaker 2 days ago Okay. I think they would also like an extra $6k.
shazbotter 2 days ago Deducting 25k does not mean taking home an extra 25k. It means, probably, somewhere around $1-3k, depending on their tax bracket.
noboostforyou 2 days ago That's...not how it works, like, at all. It's a tax credit, not actual money that you pocket additionally from your existing paycheck. It also only lasts until 2028.
I am sure they would! but that isn't what the law says. Its a $25k DEDUCTION.
If someone earned $125k salary + $25k in tips. Their taxable income would decrease by about $6k (or $500/mo, 4% overall).
Okay. I think they would also like an extra $6k.
Deducting 25k does not mean taking home an extra 25k. It means, probably, somewhere around $1-3k, depending on their tax bracket.
That's...not how it works, like, at all. It's a tax credit, not actual money that you pocket additionally from your existing paycheck. It also only lasts until 2028.