You Earn 7.80/hr. You work 35 hr/wk and your deductions are FICA 7.65%, Fed Tax 8.8% and state tax 7.5%. How much

do you have direct deposited bi-weekly?

1 answer

To calculate your bi-weekly direct deposit, we first need to find your gross pay for the bi-weekly period and then subtract the applicable deductions.

  1. Calculate Gross Pay:

    • Hourly Wage: $7.80/hr
    • Hours Worked per Week: 35 hours
    • Weeks in a Bi-weekly Pay Period: 2 weeks

    \[ \text{Gross Pay} = \text{Hourly Wage} \times \text{Hours per Week} \times \text{Weeks in Period} \]

    \[ \text{Gross Pay} = 7.80 \times 35 \times 2 = 7.80 \times 70 = 546 \]

    So, the gross pay for the bi-weekly period is $546.00.

  2. Calculate Deductions:

    • FICA: 7.65%
    • Federal Tax: 8.8%
    • State Tax: 7.5%

    To find the total deductions, we compute each component:

    \[ \text{FICA} = 546 \times 0.0765 = 41.74 \]

    \[ \text{Federal Tax} = 546 \times 0.088 = 48.05 \]

    \[ \text{State Tax} = 546 \times 0.075 = 40.95 \]

    Adding all deductions together:

    \[ \text{Total Deductions} = 41.74 + 48.05 + 40.95 = 130.74 \]

  3. Calculate Net Pay: \[ \text{Net Pay} = \text{Gross Pay} - \text{Total Deductions} \]

    \[ \text{Net Pay} = 546 - 130.74 = 415.26 \]

So, your bi-weekly direct deposit would be approximately $415.26.