Answer:
- $28,056
- $3780.90
- $2146.28
- about 2.748%
- $21,357.84
Step-by-step explanation:
1. The amount of compensation is found in Box 1, marked "Wages, tips, other compensation."
2. The amount of federal income tax withheld is found in Box 2, marked "Federal income tax withheld."
3. FICA stands for "Federal Insurance Contributions Act." It includes both Social Security tax (Box 4) and Medicare tax (Box 6). Together, the two taxes amount to 7.65% of wages. Here, that amount is ...
$1739.47 +406.81 = $2146.28 = 7.65%×$28,056
4. State tax is found in Box 17. As a percentage of Box 16, it is ...
$770.98/$28,056 × 100% ≈ 2.748%
5. Take-home pay is the amount left after all the taxes are paid from the compensation:
$28,056 -3780.90 -2146.28 -770.98 = $21,357.84
Note that the pay stub may show other deductions from the paycheck, possibly including insurance costs, union dues, retirement plan contributions, or employee purchases. Take-home pay can be substantially less than the hourly wage might suggest.
