Question

John recently started a new job and wants to verify his net pay. His gross

pay per pay period is $4,200. He has the following deductions: FICA tax
5.8%, Medicare tax 1.3%, federal withholding tax $550.00, state withholding
tax $200.00, retirement insurance $180.00, disability insurance $10.00,
medical insurance $45.00, and dental insurance $20.00. What should be
John's net pay for this pay period?

Answer 1

John's net pay for this pay period should be $2897.40.

Step-by-step explanation:

To calculate John's net pay, we need to subtract his deductions and taxes from his gross pay.

1. Calculate the FICA tax: $4200 * 5.8% = $243
2. Calculate the Medicare tax: $4200 * 1.3% = $54.60
3. Calculate the federal withholding tax: $550
4. Calculate the state withholding tax: $200
5. Calculate the total deductions: $243 + $54.60 + $550 + $200 + $180 + $10 + $45 + $20 = $1302.60
6. Calculate the net pay: $4200 - $1302.60 = $2897.40

Therefore, the John's net pay for this pay period should be $2897.40.