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Business, 22.04.2021 19:50 lodridge

Paris participates in her employer’s nonqualified deferred compensation plan. For 2020, she is deferring 10 percent of her $320,000 annual salary. Assuming this is her only source of income and her marginal income tax rate is 32 percent, how much does deferring Paris’s income save her employer (after taxes) in 2020? The marginal tax rate of her employer is 21 percent (ignore payroll taxes).

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Paris participates in her employer’s nonqualified deferred compensation plan. For 2020, she is defer...
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