Question

This is question #3
You have a second job that pays $8.50/hr and your deductions are FICA (7.65%), federal tax withholding (11.25%), and state tax withholding (7.25%). If you want to save $220.00/month, how many hours do you need to work at your second job? (Remember to round up to the nearest whole hour.)
Round any decimals to the nearest penny.
You decide to work 50 hr/month at your second job from question #3. How much discretionary money do you have after you put $220/month aside?

$

Answer 1

Step 1 — find net pay per hour:
Gross hourly = $8.50
Total deductions = 7.65% + 11.25% + 7.25% = 26.15%
Net hourly = 8.50 × (1 − 0.2615) = 8.50 × 0.7385 = $6.27725 ≈ $6.28 (nearest penny)

Hours needed to save $220:
Hours = 220 ÷ 6.27725 ≈ 35.05 → round up to nearest whole hour = 36 hours

Step 2 — if you work 50 hours:
Gross = 50 × 8.50 = $425.00
Net = 425 × 0.7385 = $313.8625 → $313.86 (nearest penny)
After putting $220 aside: discretionary = 313.86 − 220.00 = $93.86

Answers:
- Hours needed to save $220/month: 36 hours
- Discretionary money if working 50 hrs/month: $93.86