> For the complete documentation index, see [llms.txt](https://rewardtax.gitbook.io/reward-tax-tax-distribution-revolution-in-defi/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://rewardtax.gitbook.io/reward-tax-tax-distribution-revolution-in-defi/defi-and-tax-use-case-in-reward-tax/usdreward-calculations-using-example.md).

# $REWARD Calculations Using Example

Let's understand this using an example. 

John buys $100 worth $REWARD tokens on Pancakeswap. Let's say price of $REWARD token is $1. So, he should get 98 $REWARD tokens after tax BUT he would get 102 $REWARD tokens. How?

Buying transaction value: $100

Buying tax 2% (1% converted to BUSD and reward distributed to all holders, 1% tax for Reserve & Strategic buyback).

4% platform reward in $REWARD tokens

So, John would get tokens **worth $102, not $100** (100-2(tax)+4(reward)=102) plus share of 1% in BUSD.

Below is the buying transaction chart which is self explanatory:

<figure><img src="https://2615945511-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FdTr6gAMEDz7sjf4aYnDl%2Fuploads%2FttkcKLt3Oml14dcj9Aw8%2Fimage.png?alt=media&amp;token=52ec1cc7-27f8-4981-baf4-5a4930c54173" alt=""><figcaption></figcaption></figure>

Reserve wallet: This wallet will be used for marketing activities, platform development, strategic price support, and buyback & burn purposes only.