Arizona Income Tax Calculator

Have you paid taxes before?

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Estimated Tax Breakup

For $100,000 Annual income

Monthly

Annual

Income

$100,000

Deductions

$12,950

Federal income tax

$14,913

Newyork state income tax

$2,972

FICA tax

$3,825

Self Employment tax

$11,911

Total tax

$33,622

Net pay

$66,377

Marginal and average tax rate

Average tax rate is the effective tax rate that you incur on your income. If your income is $100 with 20% average tax rate and 30% marginal tax rate, you pay $20 in taxes.

Average tax rate is the effective tax rate that you incur on your income. If your income Marginal tax rate is the tax rate on the last dollar that you earned.If your income is $100 with 20% average tax rate and 30 % marginal tax rate and if you get 1 dollar bonus, you pay 30 tax on that bonus.

Average tax rates measure tax burden, while marginal tax rates measure the impact of taxes on incentives to earn, save, invest, or spend.

W2 employees

Freelancers

How will your net pay increase with increase in your income?

Increment percetage

Increased income

Increased net pay

10%

$110,000

$76,377

25%

$125,000

$91,377

50%

$150,000

$116,377

2X

$300,000

$266,377

3X

$400,000

$366,377

4X

$500,000

$466,377

Summary section

  • If you make $100,000 a year living in the region of Arizona, USA, you will be taxed $33,622. That means that your net pay will be $66,377 per year, or $5,531 per month. Your average tax rate is 33% and your marginal tax rate is 27%.
  • This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of $100 in your salary will be taxed $36.13, hence, your net pay will only increase by $63.87.
How we calculate your income tax

Taxes for freelancers vs w2 employee

The tax system in the US works on a pay-as-you-go basis, so the IRS collects income taxes throughout the year via payroll. Ideally, if you are a W-2 employee, you automatically get your taxes withheld by your employer. However, as a freelancer, taxes aren’t a cakewalk. They have to pay a bit extra in “self-employment tax” to contribute to Social Security and Medicare.

CPA advice for freelancers

If you’re a W-2 employee then most likely, your taxes are already being withheld for you by your employer and you typically get a tax refund. Freelancers, self-employed individuals, and business owners have to handle their own taxes including the quarterly estimated tax payments.

Sounds complicated?

Fret not! Apps like FlyFin can help ease your burden.

With FlyFin you can stay on top of your taxes by paying your quarterly estimated obligations and tracking your business expenses. The A.I. calculates your taxes based on several inputs (your profession & income) and detects all possible deductions which ensures an accurate tax amount.

Tax burden for freelancers vs w2 employee

W2 employees

Freelancers

Freelancers using Flyin

What is flyfin ?

FlyFin is an A.I.-powered tax engine designed for freelancers to make taxes effortless. Right from finding tax write-offs to filing your taxes in just 5 mins, FlyFin is the only app you need. The A.I. scans all your expenses and finds all tax deductions that apply to you. If you’re unsure about an expense, you can seek unlimited help from the CPAs.

Download the app and fly through your taxes

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