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WebFeb 9, 2024 · Money pulled from your take-home pay and put into a 401 (k) lowers your taxable income so you pay less income tax now. For example, let's assume your salary is $35,000 and your tax bracket is 25%. When you contribute 6% of your salary into a tax-deferred 401 (k)— $2,100—your taxable income is reduced to $32,900. $35,000 x 0.06 = … WebFeb 27, 2024 · The first step to increasing your tax refund is to choose the best filing status. That can be one of five options: Single. Married filing jointly. Married filing separately. … florence gluten free
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