Earnings & Taxes

Earnings potential

Based on experience from previous participants, you will be able to earn between USD 800 - USD 1,500 a month working a 40 hour week. Food and lodging should amount to USD 400 – USD 800 a month. Most participants are able to save enough to either do some travelling or cover some of the costs of participating in the programme (fees or air tickets).

Taxes

In the US, income taxes are imposed by the federal, state and local governments. Your employer generally withholds income tax from your salary and pays it directly to the government. Approximately 10 to15 percent of your salary will be withheld for federal income tax, a portion of which you may be able to claim back as a refund at the end of the tax year.

States and cities may charge extra income tax according to local laws. State income taxes are approximately 5 to 8 percent. If applicable, state and local income taxes will be withheld from your paycheck. You may be able to claim a refund for a portion of these at the end of the tax year.

You MUST pay US income tax on any earnings. We will assist you with tax refunds on your return.

Although you will be required to apply for Social Security number before you can work, you do NOT pay Social Security tax nor Federal Unemployment tax.