Paycheck

What section of a paycheck provides a breakdown of your earnings for the pay period?

• Personal Information
• Earnings Summary
• Deductions
• Net Pay

What is gross pay?

• The amount earned for regular hours worked
• The additional pay earned for working overtime
• Total earnings before any deductions or taxes
• Extra compensation received such as bonuses or commissions

Which of the following is not a common deduction from a paycheck?

• Federal Income Tax
• State Income Tax
• Social Security and Medicare (FICA)
• Bonuses or Commissions

What does net pay represent?

• Total earnings for the pay period
• Amount withheld for federal income taxes
• Amount received after all deductions have been subtracted
• Employer contributions to retirement plans or HSAs

What does Year-to-Date (YTD) information on a paycheck help you track?

• Total earnings and deductions for the current pay period
• Employer contributions to retirement plans
• Tax withholding allowances
• Total income and deductions throughout the year

Which of the following determines how often you receive your paycheck?

• Pay Stub vs. Direct Deposit
• Pay Frequency
• Overtime Calculation
• Pre-Tax Deductions

What are pre-tax deductions?

• Deductions taken out of your paycheck before taxes are calculated
• Deductions taken out of your paycheck after taxes are calculated
• Additional earnings such as bonuses or commissions
• Accrued vacation or sick leave

What does a pay stub provide?

• Calculation of overtime pay
• Breakdown of earnings and deductions
• Year-end statements for tax filing
• Number of hours or days of vacation and sick leave

How is overtime pay typically calculated?

• At a higher rate than regular hourly pay
• Based on the number of vacation days accrued
• Deducted before taxes are calculated
• Reflected in year-end statements

What does a year-end statement or W-2 form summarize?

• Pay frequency and pay period dates
• Calculation of payroll taxes
• Total earnings, deductions, and taxes withheld for the year
• Number of hours or days of sick leave used