Originally posted by Janus
View Post
However before you do that, there is something insane about your base calculations. 60k gross gives you an after tax of 32k? that is a 51% average tax rate. No, we don't pay that much tax in Canada.
Your lower earning parent, 35k has 19k after tax? That is a 54% average tax rate, even crazier.
Taking into account personal deductions, and eligable dependant (one child with each parent) I get this (rounded):
60k gross; after tax 43.7k
35k gross; after tax 26.7k
Difference: 17k in parent A favour.
section 7 ratio: 65%/35%
Daycare payment:
Parent A 12480 (gross) 8112 (after tax) (using average tax rate; marginal would be more accurate and more in parent A's favour but I have to leave for work in a minute.)
Parent B 6720 (gross) 5846 (after tax.)
Parent A after tax, after daycare, after support: 30,980
Parent B after tax, after daycare, after support: 25,462
Comment