Hello, I would like someone to look over my calculation since I think am wrong. I've sold back about 59 days of leave before transitioning out. I was a single SSG in the Army with a base pay of $4387.80. Finance briefed me that fed taxes is withheld at 22%. So I've crunched the numbers and I was expecting $6730.89 back but instead got $5540.00. Mind you, I don't owe any debts to the Army and I don't need to pay any state taxes since my HOR is TX. Is my calculations wrong. What am I missing here?
Formula used in this case is: basepay % 30 days, multiple it with the number of days you will be selling, and taxed it with 22%.
4387.80 % 30 days = 146.26 x 59 (days) = 8629.34 x 0.22 = 1898.45 – 8629.34 = $6730.89 (payout).
Update: I am not including bah or bas, just my basepay.
Calculating Sold Leave Payout
byu/snipersebb27 inMilitaryFinance
Posted by snipersebb27
4 Comments
You only get base pay.
I thought it might be because finance didn’t include medicare and social security taxes, but that should’ve only been an extra $600ish if it wasn’t in their 22% estimate.
Is it possible any of it went towards TSP contributions? I’m not familiar with selling leave and if those are still deducted like normal pay.
Does your LES actually state you sold 59 days? It’ll be on the remarks section.
What a waste of leave. Could have not worked for two months and just been paid the full amount with bah/bas. 5 grand is shit lol.