Question: please explain how to get answer. Given the marginal tax table below, how much tax would Sara save if she made an allowable RRSP contribution
please explain how to get answer.
Given the marginal tax table below, how much tax would Sara save if she made an allowable RRSP contribution of $11900 and her gross annual income was $116,000.
| Start of range | End of range | Tax at start of range | Marginal rate | |
| 0 | to | 12,000 | 0 | 0% |
| 12,000 | to | 20,000 | 0 | 15% |
| 20,000 | to | 48,000 | 1,200 | 22% |
| 48,000 | to | 95,000 | 7,360 | 30% |
| 95,000 | to | 148,000 | 21,460 | 40% |
| 148,000 | to | 210,000 | 42,660 | 45% |
| 210,000 | and | above | 70,560 | 50% |
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