Karen earns a weekly gross salary of $628. Tax of $148.90 is deducted. 4.5% is paid into a superannuation fund a 8% is paid directly towards mortgage. Karen aims to save 10% of her remaining income. What amount will she save each week?

Answer 1

If the %ages are based on the gross, then she saves

(628-148.90-628(.045+.08))*.10 = $40.06

If they are based on after-tax income, then she saves

(628-148.90)(1-(.045+.08)))*.10 = $41.92