Question

Hernandez Builders has a gross payroll for January amounting to $500,000. The following amounts have been withheld: Income taxes Canada Pension Plan contributions Employment Insurance contributions Pension plan contributions Charitable contributions Union dues $63,000 31,000 5,000 7,250 1% of gross pay 2% of gross pay

Required: 1.
What is the amount of net pay recorded by Hernandez?

Answer 1

The amount of net pay recorded by Hernandez is $380,650

Step-by-step explanation:

Gross Pay $500,000

Income Tax $63,000

Social security $31,000

Medicare $7,250

Charitable contribution $5,000

Union Dues $10,000

Unemployement Tax $3,100

Net Pay $380,650

Therefore, The amount of net pay recorded by Hernandez is $380,650