Independent contracter: what is the real 'net' pay.
I wasn't clear on an earlier discussion regarding the taxes on one's pay when working independently (i.e. there are no deductions).
So if you are in the 25% tax bracket (and no state tax)... does this mean that a $100 hourly fee is reduced to $75 net/take home pay? Is it that simple?
Someone mentioned other things... such as social security or Medicaid or something like that. Somehow, I thought this was a part of the 25%.
So in the end, what will that gross $100 look like once the damage is done? (What's the net?)