Microsoft Word - Understanding Your Paycheck Essentials ... Web viewemployees paycheck to pay...
Transcript of Microsoft Word - Understanding Your Paycheck Essentials ... Web viewemployees paycheck to pay...
Microsoft Word - Understanding Your Paycheck Essentials Lesson Plan 7.13.2
Understanding Your Paycheck Essentials
Name Date
Class
Employment Forms
What is the purpose of the Form W-4?
How does a Form W-4 relate to income taxes?
What are taxes?
What is the largest category of taxes citizens pay?
What is an item or service that you use every day that is paid for by taxes?
Illustrate how
employers determine how much money to withhold from an
employees paycheck to pay federal income tax.
Amount of federal income tax withheld from paycheck
What is the Form I-9?
Payment Methods
Advantages:
What is a paper paycheck? Characteristics:
Disadvantages
Advantages:
What is direct deposit?
Characteristics:
Disadvantages
Advantages:
What is a payroll card?
Characteristics:
Disadvantages
Which payment method would work best for you?What is a pay period?
Reading a Paycheck Stub
Summarize each section of the paycheck stub below.
Personal Information
Pay Period
Gross Income
Net Income
Payroll Withholdings
Federal Withholding
Tax
State Withholding Tax
FICA
Social Security
Medicare
Retirement Plan
Medical
Year-to-Date
7.13.2.A2
Worksheet
Advantages and Disadvantages of
Payment Methods
Paper Paycheck
Direct Deposit
Payroll Cards
Family Economics & Financial Education October 2010 The Essentials to Take Charge of Your Finances Understanding Your Paycheck Essentials Page 13
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at The University of Arizona
Sample Paycheck Stub
7.13.2.E1
Resource
On-The-Go
Employee
Beakens, Joe
Employee Identification
201-92-4856
Check #
164
Check Amount
$1,102.98
Employee Address
293 Michael Grove
Billings, MT 59102
Pay Type- Gross Pay
Deductions
Current
Year-to-date
$1,353.33
Federal Withholding
State Withholding
Fed OASDI/EE or Social
Security
Fed MED/EE or Medicare
Medical
401K
$106.00
$40.82
$83.91
$19.62
$0.00
$0.00
$503.46
$117.72
$636.00
$244.92
$0.00
$0.00
Totals
$250.35
$1,502.10
Pay Period 6/11/2004-7/11/2004
Family Economics & Financial Education October 2010 The Essentials to Take Charge of Your Finances Understanding Your Paycheck Essentials Page 14
Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at The University of Arizona