You earn $8.60/hr. You work 32 hr/wk and your deductions are FICA (7.65%), federal tax withholding (10.6%), and state tax withholding (8.25%). How much do you have direct-deposited bi-weekly?
First, calculate your gross bi-weekly income:
$8.60/hr * 32 hr/wk * 2 weeks = $550.40
Next, calculate the total deductions:
FICA: 7.65% of $550.40 = $42.06
Federal tax withholding: 10.6% of $550.40 = $58.30
State tax withholding: 8.25% of $550.40 = $45.41
Total deductions: $42.06 + $58.30 + $45.41 = $145.77
Subtract the total deductions from your gross bi-weekly income to find the amount you have direct deposited:
$550.40 - $145.77 = $404.63
Therefore, you have $404.63 direct-deposited bi-weekly.