To calculate how much you save per month, we need to follow these steps:
- Calculate your weekly earnings before deductions.
- Calculate total deductions.
- Calculate your take-home pay after deductions.
- Calculate your weekly savings.
- Calculate your monthly savings.
Step 1: Calculate Weekly Earnings
Your hourly wage is $15.60 and you work 15 hours per week:
\[ \text{Weekly Earnings} = 15.60 , \text{(hourly wage)} \times 15 , \text{(hours)} = 234.00 \]
Step 2: Calculate Total Deductions
We need to calculate each deduction:
- FICA: 7.65%
- Federal Tax: 11.15%
- State Tax: 6.5%
Total Deduction Percentage:
\[ \text{Total Deduction Percentage} = 7.65% + 11.15% + 6.5% = 25.3% \]
Total Deductions:
\[ \text{Total Deductions} = 234.00 \times 0.253 = 59.262 \]
Step 3: Calculate Take-Home Pay
Now subtract the total deductions from your weekly earnings:
\[ \text{Take-Home Pay} = 234.00 - 59.262 = 174.738 \]
Step 4: Calculate Weekly Savings
You save 10% of your take-home pay:
\[ \text{Weekly Savings} = 174.738 \times 0.10 = 17.4738 \]
Step 5: Calculate Monthly Savings
There are approximately 4.33 weeks in a month, so:
\[ \text{Monthly Savings} = 17.4738 \times 4.33 = 75.7135 \]
Rounding to the nearest penny, your monthly savings would be:
\[ \text{Monthly Savings} = \text{approximately } 75.71 \]
So, you save $75.71 per month.