GROSS PAY (hint: multiply number of hours per week by the pay per hour)
$8.50 PER HOUR
40 HOURS PER WEEK
Answer: $8.50 x 40=$340
DEDUCTIONS (hint: change percent to decimal by moving the decimal 2 places to the left. Multiply the gross pay above by the decimal)
FICA=6.2%
6.2%=.062
Answer: $340 x .062=$21.08
MEDICARE TAX=1.45%
1.45%=.0145
Answer: $340 x .0145=$4.93
UNEMPLOYMENT=.5%
.5%=.005
Answer: $340 x .005=$1.70
DISABILITY=.6%
.6%=.006
Answer: $340 x .006=$2.04
FEDERAL INCOME TAX=2%
2%=.02
Answer: $340 x .02=$6.80
STATE INCOME TAX=3%
3%=.03
Answer: $340 x .03=$10.20
TOTAL DEDUCTIONS
Answer: $21.08 + $4.93 + $1.70 + $2.04 + $6.80 + $10.20 = $46.75
NET PAY (hint: subtract the total deductions from the gross pay)
Answer: $340-$46.75 = $293.25
$293.25 is your net pay also known as your “take home pay”