Question

Pam Everett earned gross wages of $378. Pam's deductions were: $28 in federal withholding taxes, 6.2% in Social Security taxes, 1.45% in Medicare taxes, $20.4 in health insurance, and $28 in union dues. Find the total deductions from Pam's gross pay.

Answer 1

Total deductions = $105.317

Explanation:

Gross earning = $378

Deductions:

Federal withholding tax = $28

Social security tax = 6.2% of $378 = $23.436

Medicare tax = 1.45% of $378 = $5.481

Health insurance = $28

Total deductions is gotten by summing up all values above

28+23.436+5.481+20.4+28

= $105.317

The difference between gross earning and deductions

= 378-105.317

= $272.683