After Teaching Understanding Gross Pay

What is gross pay?

• The total amount of money earned before deductions

• The amount of money after taxes

• Only the overtime pay

• Only the regular hours pay

What does gross pay include?

• Only regular hours pay

• Only overtime pay

• Both regular hours and overtime pay

• Only bonuses

How many pay periods are there in a year for biweekly pay?

• 24

• 25

• 26

• 27

What is guaranteed for salaried employees?

• A fixed amount.

• Overtime pay.

• Bonuses.

• Flexible hours.

What is a benefit that hourly workers can receive?

• Fixed salary.

• Overtime pay.

• Bonuses.

• Paid leave.

Which of the following is a mandatory deduction by law?

• Federal Income Tax

• Health Insurance

• Retirement Savings

• Charitable Donations

Which deduction is taken at a rate of 1.45%?

• State Income Tax

• Social Security

• Medicare

• Federal Income Tax

State Income Tax is an example of which type of deduction?

• Voluntary Deduction

• Mandatory Deduction

• Optional Deduction

• Charitable Deduction

What is the formula for calculating Net Pay?

• Net Pay = Gross Pay + Total Deductions

• Net Pay = Gross Pay - Total Deductions

• Net Pay = Gross Pay x Total Deductions

• Net Pay = Gross Pay / Total Deductions

What does Disposable Income refer to?

• The total amount of money earned before deductions

• The amount of money that workers can spend on expenses

• The total deductions from a paycheck

• The amount saved after all expenses