Problem 3: David's Pay Calculation
Step 1: Calculate Gross Pay
Gross pay is calculated by multiplying the hourly rate by the number of hours worked. David earns $12.00 per hour and works 36 hours.
\[
\text{Gross Pay} = 12.00 \times 36 = 432.00
\]
Step 2: Calculate Each Deduction
- Federal Tax: 15% of gross pay
\[
15\% \text{ of } 432.00 = 0.15 \times 432 = 64.80
\]
- Social Sec (Social Security Tax): 6.2% of gross pay
\[
6.2\% \text{ of } 432.00 = 0.062 \times 432 = 26.784
\]
- Medicare Tax: 1.45% of gross pay
\[
1.45\% \text{ of } 432.00 = 0.0145 \times 432 = 6.264
\]
- State Tax: 4% of gross pay
\[
4\% \text{ of } 432.00 = 0.04 \times 432 = 17.28
\]
\[
3\% \text{ of } 432.00 = 0.03 \times 432 = 12.96
\]
Step 3: Calculate Total Deductions
Sum up all the deductions:
\[
\text{Total Deductions} = 64.80 + 26.784 + 6.264 + 17.28 + 12.96 = 128.088
\]
Step 4: Calculate Net Pay
Net pay is gross pay minus total deductions:
\[
\text{Net Pay} = 432.00 - 128.088 = 303.912 \approx 303.91
\]
Problem 4: Ted's Pay Calculation
Step 1: Calculate Gross Pay
Ted earns $11.25 per hour and works 39 hours.
\[
\text{Gross Pay} = 11.25 \times 39 = 438.75
\]
Step 2: Calculate Each Deduction
- Federal Tax: 15% of gross pay
\[
15\% \text{ of } 438.75 = 0.15 \times 438.75 = 65.8125
\]
- Social Sec (Social Security Tax): 6.2% of gross pay
\[
6.2\% \text{ of } 438.75 = 0.062 \times 438.75 = 27.1925
\]
- Medicare Tax: 1.45% of gross pay
\[
1.45\% \text{ of } 438.75 = 0.0145 \times 438.75 = 6.361875
\]
- State Tax: 4% of gross pay
\[
4\% \text{ of } 438.75 = 0.04 \times 438.75 = 17.55
\]
\[
3\% \text{ of } 438.75 = 0.03 \times 438.75 = 13.1625
\]
Step 3: Calculate Total Deductions
Sum up all the deductions:
\[
\text{Total Deductions} = 65.8125 + 27.1925 + 6.361875 + 17.55 + 13.1625 = 130.079375
\]
Step 4: Calculate Net Pay
Net pay is gross pay minus total deductions:
\[
\text{Net Pay} = 438.75 - 130.079375 = 308.670625 \approx 308.67
\]
Final Answers
Problem 3:
- Gross Pay: $432.00
- Total Deductions: $128.09 (rounded)
- Net Pay: $303.91
Problem 4:
- Gross Pay: $438.75
- Total Deductions: $130.08 (rounded)
- Net Pay: $308.67
(Note: Deduction amounts can be rounded to two decimal places as is standard for currency.)