To calculate the total amount of personal income, it is necessary to deduct from the NNP the savings of corporations to add to the remaining amount all types of transfer payments. If all taxes were deducted from the amount obtained in this way, then the total personal income would be identical to personal income after […]
Tag: Tax
Personal income after taxes
In order to calculate net personal income, the NNP should deduct the sum of all direct and indirect taxes, all corporate income not paid on dividends and withheld as net savings, and then add the amount of transfer payments – such as Social Security pensions or interest payments on federal government loans. As a result, […]