In 2019, the median household income for Massachusetts was $85,843 per year, which amounts
to $7,154 per month, or $3577 per paycheck if paid twice per month. If Glenn's family has the
median household income, what percent of his recent paycheck went toward sales tax on this
purchase?

If Glenn's family has a median household income of $3,577, the percent of his recent paycheck that went toward sales tax on this purchase is 0.45%.

What is the impact of sales tax on personal finances?

Sales tax is a consumption tax levied for the purchase of goods and services.

The imposition of sales tax increases the financial burden on households and reduces their purchasing power.

Sales tax also reduces demand for goods and services, thereby reducing the profits of suppliers.

Data and Calculations:

Glenn's recent paycheck = $3,577

Massachusetts' median household income for 2019 = $85,843

Glenn's recent purchase = $255.79

Glenn's total bill after sales tax = $271.78

Sales tax rate = 6.25%

Sales tax in dollars = $15.99 ($271.78 - $255.79)

Percentage of the recent paycheck that went towards sales tax = 0.45%($15.99/$3,577 x 100).

Thus, the tax burden of sales tax falls on suppliers and consumers in terms of lower profits or higher prices.

Learn more about sales tax burdens at https://brainly.com/question/14312618

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In 2019, the median household income for Massachusetts was $85,843 per year, which amounts to $7,154 per month, or $3577 per paycheck if paid twice per month. If Glenn's family has the median household income, what percent of his recent paycheck went toward sales tax on this purchase?

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What is the impact of sales tax on personal finances?

Data and Calculations:

Otras preguntas

In 2019, the median household income for Massachusetts was $85,843 per year, which amounts
to $7,154 per month, or $3577 per paycheck if paid twice per month. If Glenn's family has the
median household income, what percent of his recent paycheck went toward sales tax on this
purchase?