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Revision as of 12:55, 31 August 2026


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Because for this increasing tax rate better brackets, a reduction of taxable income at about a higher bracket saves you more tax than very same reduction at a lower bracket. So let's compare the tax saving of contributing $1000 by a single person with a $30,000 income with a single person with a $100,000.

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Of course to avoid having to go through everyone of this, please keep your earnings tax papers in a safe location where you're able to retrieve them when have them.