You are paid 8.25/hour. You work 35hours/week for 3 weeks. Your involuntary deductions are FICA (7.65%), federal withholding (13%), and state withholding (9%). How much is your realized income
A. 203.13
B. 866.25
C. 288.75
D. 609.39
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To find out your realized income, we first need to calculate your gross income.
Gross income = hourly rate * number of hours worked (per week) * number of weeks
In this case:
Hourly rate = $8.25
Number of hours worked per week = 35
Number of weeks = 3
So, the gross income can be calculated as:
Gross income = $8.25/hour * 35 hours/week * 3 weeks
Gross income = $8.25 * 35 * 3
Next, we need to calculate the deductions.
FICA deduction = gross income * 7.65%
Federal withholding deduction = gross income * 13%
State withholding deduction = gross income * 9%
Total deductions = FICA deduction + Federal withholding deduction + State withholding deduction
Finally, to find the realized income, we need to subtract the total deductions from the gross income.
Realized income = gross income - total deductions
Let's calculate each step one at a time.
Gross income = $8.25 * 35 * 3 = $861.75
FICA deduction = $861.75 * 7.65% = $65.95
Federal withholding deduction = $861.75 * 13% = $112.03
State withholding deduction = $861.75 * 9% = $77.55
Total deductions = $65.95 + $112.03 + $77.55 = $255.53
Realized income = $861.75 - $255.53 = $606.22
The correct answer is not given among the options provided. Please double-check the provided options or recalculate the realized income.
To calculate your realized income, you need to find out your total earnings before deductions and then subtract the deductions.
First, let's calculate your total earnings:
Hourly rate: $8.25/hour
Hours per week: 35 hours/week
Weeks worked: 3 weeks
Total earnings = Hourly rate x Hours per week x Weeks worked
= $8.25/hour x 35 hours/week x 3 weeks
= $8.25 x 35 x 3
= $863.25
Now, let's calculate the deductions:
FICA (7.65%): $863.25 x 7.65% = $66.05
Federal withholding (13%): $863.25 x 13% = $112.32
State withholding (9%): $863.25 x 9% = $77.69
Total deductions = FICA + Federal withholding + State withholding
= $66.05 + $112.32 + $77.69
= $256.06
Finally, let's calculate the realized income:
Realized income = Total earnings - Total deductions
= $863.25 - $256.06
= $607.19
Hence, your realized income is $607.19.
The correct option is not listed among the provided answer choices (A. 203.13, B. 866.25, C. 288.75, D. 609.39).