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Unformatted text preview: Those are social security and medicare taxes, as well as, the federal and state income taxes that were withheld by your employer. These are your government obligations . Next you look at that number next to “Net Pay”, and you probably say, “Daggone!!!” Well if taxes are the only thing “pulled” from your paycheck then Daggone!!! Well, if taxes are the only thing pulled from your paycheck, then that “Daggone!!!” number is your disposable income. When taxes are increased, your disposable income decreases When taxes are decreased, your disposable income increases 43...
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This note was uploaded on 12/29/2011 for the course ECO 210 taught by Professor Malls during the Fall '10 term at SUNY Stony Brook.
- Fall '10
- Fiscal Policy