Example: A unit with 60 armor has 60% more of its maximum health in effective health, so if the unit has 1000 maximum health, it will take 1600 physical damage to kill it.
Doesn't work exactly that way. Resistances have depleting value (forgot the exact phrase). The more armor you have, the less resist you get for extra armor.
Formula: Resistance = 100/(100+armor)
0 armor = 0% reduction
60 armor = 37.5% reduction
100 armor = 50% reduction
200 armor = 77% reduction
You can then use those multipliers on your health. Say you have 1000 health
0 armor = 1000 effective health
60 armor = 1000 * 1.375 = 1375 effective health
100 armor = 1000 * 1.5 = 1500 effective health
200 armor = 1000 * 1.77 = 1770 effective health
It's why stacking armor is useless if you don't get HP to back it up. Vice versa, stacking HP isn't that cost effective for defense if you don't have resistances. Say you got a giant's belt, taking you to 1430 health.
0 armor = 1430 effective health
60 armor = 1430 * 1.375 = 1966 effective health
100 armor = 1430 * 1.5 = 2145 effective health
200 armor = 1430 * 1.77 = 2531 effective health
If I'm a tank, I prefer to keep my resists somewhere around 150-200. I'll stack more HP if I need more beef, or get some damage.