Question

What is the relationship between gross pay and net pay?

Answer 1

Answer:

Net means something has been subtracted. Your gross pay is to total amount you've earned before deductions like taxes or other pre-tax deductions like health care or flexible spending account monies or 401k pre-tax savings accounts.

For this reason, Gross will always be more than net when it comes to pay unless there are NO DEDUCTIONS.

That means that B is the correct answer here - Net is less than gross.

A good way to think about this is a net catches some fish but lets others go. if you run a net through the ocean, you wont take everything in the water home, only a part of what's actually there.

Hope this helps!

Step-by-step explanation:

Gross Pay = $100

Taxes =$20

Gross Pay ($100) - Taxes ($20) = Net Pay

100-20=80

Net Pay = $80

80 is less than 100