Hi,

I would like to know how taxes are calculated for people on L1 in Washington state. I would like to know the break up of SSN, Medical Tax and the Federal Tax if any. Suppose for example I get 5K per month what would be my monthly tax.

With best regards,

Vivek Sinha

Mr. Sinha:

Social Security is 6.2% for the first $97,400; zero after $97,400.

Medicare is 1,45% with NO cap.

No state tax, as Washington has NO state income tax.

Federal income tax is a progressive tax; the tax rate goes up as income goes up. How much is withheld depends on your marital status and the number of exemptions claimed on the Form W-4, plus the level of income. The withholding tables can be found in IRS Pub 15.