When I ask for a raise, my tax bracket will change from 12% to 22%. This is significant. Is this something I can/should ask to be considered when asking for a raise? If I’m only given a small raise, I’ll be on the cusp of the brackets and barely pushed over into the new bracket meaning my take-home pay may be even LESS than what I’m receiving now. Seeking advice on this situation. Note: I’m underpaid and deserve a fairly large raise but am unsure if I’ll receive what I’m planning to ask for.

like
Posting as :
works at
You are currently posting as works at

You will only be taxed at the higher rate for the amount you earn over that threshold.

So for example, pretend the tax brackets are as follows:
1-24,999 is taxed at 5%
25k-49,999 is taxed at 10%

If your salary is 25k, 24,999 of your salary would be taxed at 5%, then 1 dollar would be taxed at 10%.

So, you won't lose money by getting a raise, you will just pay a higher rate on the range over the threshold for the new tax bracket. Which still isn't fun, but much less detrimental. I don't think most companies would consider a raise for a tax bracket change though in my experience.

like

This!

Plus you can explore pre tax options like 401k, HSA, and others that will lower your taxable amount. Also interest on student loans and others things come into play.

I’m not a tax expert, but don’t turn down money because of taxes 😃

like

If you never want to make more than what the tax bracket you’re referring to is then sure, if you have bigger goals, I would not think twice about it. I agree with the earlier post. I’ve received lots of raises in my career and never made less.

like

I don’t consider the employee’s tax situation when I’m looking at market adjustment requests/request for raise. Everyone’s tax situation is very different and we wouldn’t be able to maintain any semblance of pay equity. If you’re worried about it, don’t ask for the raise.

like

Google “marginal tax return”

like

Wow....that is a big tax bracket jump and it totally stinks. I think it shoud def be considered.

Did you not read any of the other posts here? If you don't accept a raise because you're worried you'll make less money due to higher taxes after what everyone else has posted, you're an idiot

likefunny

Related Posts

I'm interviewing with RSM for a Manager Consulting role. Does any one have any idea what the salary range for manager level in RSM consulting?

like

Have you ever taken a career slow down? I am feeling burnt out from COVID and the incremental responsibilities thrown my way over the last 5+ years. I feel like my health has deteriorated. I like my company, but I want to do less. I don’t need to be a HR Director, CHRO, etc. With a career slowdown, I am prepared for a lower compensation and would want decent benefits. Any lessons learned or success stories about career slowdowns?

likehelpful

Hi team,
Please let me know what is the correct industry standard CTC for a team lead accounts payable, I have recently been promoted to a team lead and want to know if I am paid correctly or not.

like

I have cleared CTS interview and have asked for 21lpa with 6 yoe in automation testing. Do they give that much with the yoe I have ?

like

How much package can one expect with QA manual and automation skills with 8yoe

like

Would you leave top bank in Canada when you are 18 months into role as Branch Manager and just about ready to move on to next role for a 45% salary increase, no commute (down from 80km one way), but you need to be BM for 3 more years at different Big5 bank?

like

Hey Fishes,
I have been shortlisted for RE Vals Analyst role for
EY GDS but not sure about the salary.
How much should I expect for this role?
Or approximately how much % hike from last salary?
YoE: 1.5 yrs

EY

like

I have an offer from IBM of 16 lpa, but recently I got promotion in my current company and package got raised. Should I ask IBM to increase my package?

Y. O. E - 5.10

like
like

Senior Salesforce consultant salary in Toronto ?

like

I’m in interviews with a few companies. It was initially to see what was out there to negotiate my pay. Now, I’m seriously considering leaving my current company because of what one of the prospect companies represent: everything I want in a company/role. (Plus they reached out to me) AND they will pay me almost double what I’m currently making annually, put me in a position to advance (so many options!!!!!) and allow me to move/travel when I get ready to.

What should I do? Guidance please!!!

like

Any bonus and payrise at Visa Inc have been communicated yet?

like

Whats the salary of Ops Manager in Pune with 15 yrs. of Experience.

like

Hi Friends

I am in process getting an offer from a IT consulting firm in Poland. Could you please suggest some salary range for a Oracle Database Developer with over 10 years of experience in Banking and Finance domain. I am thinking of asking 35000 zloty per month..!! My current CTC in india is 31 LPA.

For the people who would surely ask how did I managed to get a job, I got it through LinkedIn :)

like

If you work in PR: what is your salary and how many years of experience do you have?

like

Are there any fundamental differences between a salary negotiation during the start (applying for the job) vs. Salary negotiation during a performance review (you’ve been employed for x time and looking for a raise). I’m in the latter and wondering if there are any maneuvers that are different I should be doing.

likehelpful

What is a good benchmark for base, bonus and equity comp at a series C startup exit for a Senior Director/VP position? Valuation is around $250M

like
like

Will people on notice period get hike letters?

like

More Posts

How to ask a company for counter offer (means how to sentence it correctly)?

I do have multiple offers and want to match the maximum amount with the company that I want to join.

Please share your valuable inputs.

Currently working at EY and recently promoted Senior looking to switch into a Business Transformation consulting role. Could anyone provide some insights on the day to day, as we as the interview process? Thank you very much.

It's true. I skipped lunch at work today because I'm fat and now I'm badly craving 14 slices of Chuck E Cheese's cardboard flavor pizza. 😔

likefunnyuplifting

Hello Fishes,

Am a digital marketer with around 12+ years of experience well placed in an SMB. Haven't given any interview for past 5 years. Am now looking forward to my next level of career adventures. Anyone with an opportunity/referral/connection would be highly helpful.

Present designation: Head of marketing

☺🙏

like

Loads of Tech Roles open at WebMD. Message me if you need referral for any of these roles.

Post Photo
likehelpful

Any E&Y can refer me to this job id - 1189021

Looking to transfer into a client associate role (unregistered at the moment, but willing to obtain). Currently have ~1.5 YOE in valuation (financial statement analysis, modeling, etc.) I get that those skills could be unrelated to a CSA role, but I think there could be some similarities. Does anyone happen to have a referral or can anyone give DM me some insight into what a CSA role would look like? I appreciate it.

like
like

Is Canarsie in Brooklyn a safe area to live in?

like

Omar from the wire in that W + K spot for the Atlantic. Well done 👏🏽

like

Wondering what the salary is for this position throughout different firms. Anyone willing to share?

like

Will I get the yearly bonus if i join in october ?

Any insight into potential salary range for a Wealth Brokerage Trader at Truist located in Charlotte NC?

like

Hi Fishes, I have 2 YOE in data science and my current ctc is 11 lpa. How much hike can I expect while switching jobs? Thanks!

like

Thank you for the add .

Just checking YTD peer utilization rate and it's less than 50%. Deal market is really slowing down..

like

McKinsey & Company London McK 🐠, what is a typical Friday like? Do you tend to finish earlier (ie 5-7pm) or BAU? McKinsey & Company

like

Does nagarro deducted tax from first month's salary, as company is saying that we can only show our investment once first salary is credited.

like

I feel like at times i’m running against newbies in the industry that are just flying by the seat of their pants. How can I shine as an experienced professional even though IT is still relatively (2 years) new to me ?

like
like

Additional Posts in Human Resources

How does everyone feel about the online SHRM learning for SHRM-CP and SHRM-SCP for Certification?
Do you skip around? Do you follow the path? Where does one start?

like

Hi community, humbly seeking professional HR advice. I recently joined my company’s HR team. In an informal conversation, a senior HRBP, considered a peer, called 2 of our fellow HR colleagues “worthless.” I should have rebuked her then & there but was so caught off guard. This person is 20 years my senior. In the same conversation this person advocated for me on a separate matter & complimented my performance. I am not sure what course of action to take at this time. Distraught & unsure.

like

Hello everyone! My co-worker and I are preparing for the SHRM certification exam and Hoping to take it in December. I’m looking to purchase the SHRM learning system books from someone that has already taken the exam this year. Can someone point me in the right direction?

like

Hey! Am wondering if anyone has a change and comms template they could help me with for my role? Thanks!

likesmart

Does PHR certification help in India, as this is globally recognised how much valuable is this currently in indian job market.

Do we got some good offers or its another certificate just to add to CV after so much of investment & time I don't want to get this wasted !!

Need suggestions ??

Hello Are they any other HR licenses that are as valuable as the SHRM and HRCI ?

like

Hi, I work for a non-profit and we hire nationwide for 2 positions as well as locally for numerous positions. I’m looking for recommendations, reviews and any advice for online job boards. We use Indeed, Glassdoor, Craigslist, just got back into Zip Recruiter and working on getting LinkedIn up and running. Any help is appreciated.

like

Does anyone have a recommendation for an HRIS that includes time tracking, will integrate with QuickBooks and is reasonably priced or has a nonprofit discount?

likehelpful

I’m having the hardest time finding a new job. I have 12 years of HR experience, a masters in HR, SHRM certification, and all I keep getting are rejection emails. I’ve never experienced this difficult of a time searching for new opportunities. Is this normal once you hit a certain level in your career or is it just me?

likehelpful

Which is more useful in a HRBP role…data analytics or project management?

like

Hello! I’m looking for study materials for the PHR. Does anyone have recommendations for cost effective resources or perhaps willing to part with your study materials?

like

Hello everyone! I am looking for advice. I am a C&B Team lead ( about 15 years of experience) but all my experience was in Russia. Now I got married and moved to UK , plus we have got a baby in 2019 so now I am looking for a job in UK having 3 years of career break. Although, I am getting CIPD lvl 7 diploma this year. I am not ready for team leader's role now . So my question is about HR area, where could I find a job with my only Russian experience? HR generalist, C&B analyst, HR BP, recruiter?

like

Any advice for someone looking to transition into a full HR Generalist role from Recruiting. I’m currently a Campus Recruiter with about 5 years of HR experience (Coordinator- Higher Ed). I received my PHR certification in September 2020 and sitting for my SHRM-CP in two weeks. I’m having a hard time transitioning into a full Generalist position.

like

Hello! Looking for some guidance. I will soon be leaving Verizon after 15 years with them (6 years HR experience, 3 years Operations, 6 years leadership). The last HR position I held will be eliminated and I was offered a severance. I am now in the market for a new place of employment I can call home. I was thinking of trying for a start up. But the likes of Google, Adobe, etc. also seem appealing. Would you recommend a start up as my next endeavor? I enjoy helping build processes and policies.

like

I am going to move in the next few month to a location with a higher cost of living due to personal circumstances. I love my current company but I’ve only been here a little over a month, how should I go about requesting if it’s possible to get a salary increase? Might be a stretch but thought it might be worth mentioning.

like

Any hr shared services or hr ops vacancy in India?

like

Really struggling with attrition right now and we seem to be a cycle of countering people, trying to keep governance but being reactive! Any ideas on a reward strategy which enables us to be flexible when we need it but retain a degree of control so it doesn’t get out of control?

like

Is this legal? My spouses company just decided to change their comp structure for account managers. It was base + comm, now it’s commission only but nothing changed, OT commission is the same, didn’t get more points, just took away the base pay and said work harder basically. So now they have to worker harder to get $50k they were already making. (Not a decision based on employee performance, they’ve been crushing it. I think the company is just trying to save money they overspent else where)

like

Hi all, I’ve recently onboarded as an HR recruiter with a small NGO. It has been wonderful so far. I want to make the most of my new role. If you have any suggestions or advise, I’d greatly appreciate it.

like

Hello Everyone,

I am looking to hire a couple of technical sources who have a keen interest in diversity. I am building out a diversity sourcing team to support AWS AI/ML practice. Great opportunity with lots of visibility. Let me know if you are interested in learning more.

like

New to Fishbowl?

Download the Fishbowl app to
unlock all discussions on Fishbowl.
That was just a preview…
Sign Up to see all discussions
  • Discover what it’s like to work at companies from real professionals
  • Get candid advice from people in your field in a safe space
  • Chat and network with other professionals in your field
Sign up in seconds to unlock all discussions on Fishbowl.

Already a user?
Login here

Share

Embed this post

Copy and paste embed code on your site

Preview

Download the
Fishbowl app

See what’s happening in your industry
from the palm of your hand.

A phone with Fishbowl app

Scan your QR code to download
Fishbowl app on your mobile

Download app

Sign up for free to view this conversation on Fishbowl

By continuing you agree to Terms of Use and Privacy Policy

Already have an account? Log in

Sign up for free to continue using Fishbowl

By continuing you agree to Terms of Use(New) and Privacy Policy(New)
Messaging rates may apply

Already have an account? Log in

For account settings, visit Fishbowl on Desktop Browser or

General

Legal