👉 Income math involves calculating your earnings based on various factors like hours worked, rates of pay, taxes, and deductions. To start, you need to determine your gross income, which is the total amount earned before any deductions. This includes wages, salaries, tips, and any other sources of income. From your gross income, subtract taxes (income tax, Social Security, etc.) and other deductions like health insurance premiums, retirement contributions, and non-refundable tax credits. The result is your net income, which represents the amount you actually take home. Understanding this process helps in budgeting, financial planning, and ensuring compliance with tax laws.
