Final answer:
The realized income on the biweekly paycheck after deducting federal, FICA, and state taxes from the gross income of $1,190 is approximately $765.76. The closest answer choice provided is C: $765.77.
Step-by-step explanation:
To calculate the realized income on your next paycheck, we have to consider the gross income before taxes and then subtract the taxes based on the rates provided. Working 35 hours a week at $17 per hour gives a weekly gross income of $595. Since the paycheck is biweekly, we need to double this for a total of $1,190 every two weeks before taxes.
The total taxes to be subtracted are the sums of federal, FICA, and state taxes:
- Federal Tax = 25% of $1,190 = $297.50
- FICA Tax = 7.65% of $1,190 = $91.04
- State Tax = 3% of $1,190 = $35.70
Now we subtract the total taxes from the gross biweekly income:
Gross Biweekly Income = $1,190
Total Taxes = $297.50 + $91.04 + $35.70 = $424.24
Realized Income = Gross Biweekly Income - Total Taxes
Realized Income = $1,190 - $424.24 = $765.76
Therefore, the realized income on your next paycheck will be approximately $765.76. The closest answer choice is C: $765.77