You are mighty close, Katherine. How did you come up with that number? Here are the numbers for this year and where they come from.
An individual can earn $10,000 this year without paying any federal income tax. This number comes from the $6,100 standard deduction and the $3,900 personal exemption that each person receives on their tax return. This means that until you start making beyond $10,000 you will incur no federal tax liability. You can do a quick google search each January to see the new numbers for that year. You can probably expect a number around $10,300 for the 2014 tax season. Knowledge is POWER!!!!
$8,924
You are mighty close, Katherine. How did you come up with that number? Here are the numbers for this year and where they come from.
An individual can earn $10,000 this year without paying any federal income tax. This number comes from the $6,100 standard deduction and the $3,900 personal exemption that each person receives on their tax return. This means that until you start making beyond $10,000 you will incur no federal tax liability. You can do a quick google search each January to see the new numbers for that year. You can probably expect a number around $10,300 for the 2014 tax season. Knowledge is POWER!!!!