Question

Lou's employer covers 70% of the cost of a $3800-per-year health insurance plan and 90% of the cost of a $1200per-year disability insurance plan. If Lou gets paid monthly,what is the total amount deducted from his gross income for health and disability insurance during each pay period?

Answer 1

To answer this question correctly, first we must find out how much lou pays for health and disability insurance for a year total, then divide that number by 12, for each month of the year to find out how much he pays monthly. The calculation and answer would be the following: ((Health insurance cost * 30%) + (Disability cost * 10%)) / 12 = (1140+120)/12 = $105 monthly