Total tax paid
$ 1,261
Did you know your employer also pays tax on your salary? It costs the employer $ 630 to pay you $ 83,850. In other words, every time you spend $ 10 of your hard-earned money, $ 0.15 goes to the government.
Real tax rate
1.5%
So, with you and the employer both paying tax, what used to be a 0.8% tax rate now rises to 1.5%, meaning your real tax rate is actually 0.7% higher than what it seemed at first.