Business Math Phase 3(b)

GROSS PAY VS . NET PAY remember you ar about to participate the work force and you are probably to be abnormal by the even outroll . Let us observe how deductions fabricate a blow on unrivalled employee s salary . Suppose there are three repairroll deductions namely , wellness insurance , federal official tax and 401K jut out keep back distributively are deducted from the one-year everlasting(a) wage of 32 ,000 (A ) health insurance has a deduction rate of 2 patch 401K withholding has a rate of 6 slowdown , federal tax is deducted in this manner : 10 : from 0 to 7 ,550 15 : from 7 ,551 to 30 ,650 25 : from 30 ,651 to 74 ,200 28 from 74 ,201 to 154 ,800 33 : from 154 ,801 to 336 ,550 and 35 336 ,551 and supra . then , based on semi-monthly remunerateroll checks , we halt the followingThe earthy pay would be the an nual payment divided by 24 payments , since it is a semi-monthly payroll checkCASE AGross pay 32 , 000 ch 24 (paychecks 1 ,333 .33Deductionshealth insurance 32 ,000ch .02 640 640ch24 26 .67401K withholding 0 .06 x 32 ,000 1920 1 ,920ch24 80federal tax (deducted from annual income not including withholding 0 .15 x 30 ,080 4512 4512ch24 188deferred to a 401K accountThe mesh topographic anatomy pay , on the other(a) hand , would be the amount of specie left tending(p) that the deductions are madeNet have a bun in the oven Gross Pay - Deductions (per paycheck 1 ,333 .33 - 294 .67 1038 .66Net Pay (Annual 1038 .66 x 24 24 ,927 .84CASE BNow , given that the periodic wage is 10 .25 for a 35-hour work week (B As a dissolving agent , every week the staring(a) pay is 10 .25 x 35 358 .75 . Hence Annual pay is 358 .75 x 52 18 ,655 . So based on bi-weekly paychecks pay would be 358 .

75 x 2 717 .50Taking the same deductions given we have the following deductions based on bi-weekly paychecksDeductionshealth insurance 0 .02 x 717 .50 14 .35401K withholding 0 .06 x 18 ,655 1119 .3 1119 .3ch24 46 .64federal tax (deducted from annual income not including withholding 18 ,655-1119 .3 17 ,535 .70 .15 x 17 ,535 .7 2630 .35 2630 .35ch24 109 .6Net pay Gross Pay - Deductions (per paycheck 717 .50 - 170 .59 546 .91Net pay (Annual 546 .91 x 24 13 ,125 .84Thus , the gross pay and enlighten pay per weekly paycheck would be 717 .50 and 546 .91 respectivelyComparing both gross pays for cases (A ) and ( BA has an annual gross pay of 32 ,000 while B has a gross pay of 179 .38 x 52 (weeks ) x 2 18 ,655The commencement exercise one evidently has higher gross pay A has an annual fire pay of 24 ,927 .84 while B has a net pay of 13 ,125 .84 . ThereforeA has a higher net pay...If you expect to get a full essay, order it on our website: BestEssayCheap.com

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