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? asked in Politics & GovernmentPolitics · 5 years ago

do mimimum wage workers pay taxes on their salaries?

12 Answers

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  • 5 years ago

    In general, no. The minimum required income before you pay federal income tax is $9,225 for singles, $18,450 for married, and $13,150 for head of household (a single mom, for example). Those limits are BEFORE standard deductions.

    Most minimum wage workers earn between $13,000 and $14,000 a year, if they work full time. So, any minimum wage worker who is married is automatically tax exempt, and after standard deductions, any minimum wage worker who has at least one dependent is tax exempt, and a large number of single minimum wage workers manage to fall below the requirement as well.

    Also, due to how standard deductions are calculated, it is possible for some minimum wage workers to get a refund even though they pay no federal income tax.

  • 5 years ago

    They pay no income tax on a regular 40-hour work week until they reach a certain amount, but most minimum wage jobs aren't full-time, and those that are don't usually remain at minimum wage for a full year.

    However, if you work part-time, your employer isn't required to offer insurance, so you would be subject to massive, graduating, Obamacare taxes if they can't prove they had health insurance.

  • Jeff D
    Lv 7
    5 years ago

    There are at least three separate taxes on wages: income tax, social security tax, and medicare tax (the last two are sometimes grouped together and called FICA taxes) plus some states and municipalities also levy income taxes on wages. Income taxes aren't usually owed if you're below a certain income level (if collected, they're returned when you file), but FICA taxes are always paid.

  • ?
    Lv 6
    5 years ago

    Yes. The tiny little they pay in income taxes they get back with lots added on to it at the end of the year though. Most on minimum wage, they get back EVERYTHING they put in in a year, even SS and Medicaid taxes due to huge "tax credits" that give them big refunds every year.

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  • y
    Lv 7
    5 years ago

    My son, earning less the 20 thou, paid exactly 4% federal tax for 2015. On one hand I was pissed that he wasn't going to keep more of his money becouse he has squat, on the other I was like what the hell, why do I pay so much more.

  • 5 years ago

    I don't think they pay much, since that would be an annual income of $15,500. However, they do have to pay Social Security on their income.

  • Anonymous
    5 years ago

    Money is taken out of their pay checks but when it comes time to file taxes, they can claim various deductions and get the money back.

  • Anonymous
    5 years ago

    everyone has to pay taxes regardless of your wage bracket

  • 5 years ago

    You bet. They pay Social Security (FICA) and Medicare taxes if nothing else.

  • 5 years ago

    yes...

    just because you make min wage does not make you immune to taxes

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