Interpreting Your Paystub

____________ is the total amount of money you earn.

• Gross income

• Net income

• Payroll

• Deductions

____________ is the amount of money you have left over after taxes and other expenses are taken out of your paycheck.

• Gross income

• Net income

• Payroll

• Deductions

If you make $9.00 per hour and worked 36 hours over the past two weeks, what would your gross income be on your paycheck?

• $648.00

• $324.00

• $600.00

• $300.00

Your gross income for the week is $628.00. The federal government will take 10% for federal income taxes and another 6% will be deducted for state income taxes. How much will your net (take-home) pay be?

• $531.29

• $590.32

• $532.00

• $527.52

Why is it important to pay attention to the amount of taxes withheld from each paycheck? (Choose 3 answers.)

• Your budget is based on your take-home pay.

• You want to make sure your employer isn't withholding too much or too little in taxes.

• You can adjust your withholdings if they are incorrect.

• You want to make sure your employer isn't taking out state income tax.

Net income is also referred to as ___________.

• a paycheck

• a deduction

• take-home pay

• not much money