Total tax paid
$ 742
Did you know your employer also pays tax on your salary? It costs the employer $ 371 to pay you $ 83,500. In other words, every time you spend $ 10 of your hard-earned money, $ 0.09 goes to the government.
Real tax rate
0.9%
So, with you and the employer both paying tax, what used to be a 0.4% tax rate now rises to 0.9%, meaning your real tax rate is actually 0.5% higher than what it seemed at first.