Ginger earns $18,500 annually and has 22% of her gross earnings
withheld. What is the net amount of her paycheck each pay period if
she is paid biweekly?
a. $156
b. $555
c. $601.25
d. $169.58
First, we need to calculate how much is being withheld from Ginger's paycheck each pay period:
$18,500 x 0.22 = $4,070 withheld annually
$4,070 / 26 (the number of biweekly pay periods in a year) = $156.54 withheld per pay period
Now, we need to calculate her net pay (what she actually takes home) by subtracting the amount withheld from her gross pay:
$18,500 / 26 = $711.54 gross pay per pay period
$711.54 - $156.54 = $555 net pay per pay period
Therefore, the answer is (b) $555.