Quote:
Originally Posted by Partial
So, If I have a choice of making 9500 or 8400 and quiting, it would probably make more sense to stop working just before the 8400 since I wouldn't be using my time wisely, correct?
NO! You'd pay tax on the income ABOVE $8450 at 10% to start, therefore you'd keep 90 cents for every dollar you earned in federal taxes. Even when you "bump" into another tax bracket, it NEVER makes sense to not earn every dollar you can earn. Never stop earning money, instead structure your life on how to minimize taxes.
Take the extra money and funnel it into a retirement package and you STILL pay no tax. You don't get the money until you retire, but you need to start building retirement savings anyhow. Earn every single nickel you can this summer.