Question

Doug's Gross Monthly Earnings is $4000. Calculate his net pay (take-home pay) by using the deductions below.

Federal Tax: 12%
State Tax: 3%
Local Tax: 1%
Social Security Tax: 6%
Medicare Tax: 6%
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Answer 1

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= 12% + 3% + 1% + 6% + 6%

= 28%

= 28% × $4,000 ÷ 100

= $1,120

= $4,000 - $1,120

= $2,880

Doug's Net Salary Is $2,880

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