Reading Pay Stubs

Chad·

Finance

Preview

At a Glance

Grade Level8th Grade

SubjectFinance

Original Prompt

Create a worksheet for reading a pay stub with the following terms: Federal tax, local tax, medicare, social security, fica, 401k and others

This resource focuses on understanding pay stubs, specifically the deductions taken from an employee's gross pay to calculate net pay. It details various common payroll deductions such as federal tax, local tax, Medicare, Social Security, and 401k contributions, along with their definitions. The document includes a sample pay stub for practical analysis, step-by-step calculations for determining net pay, and practice problems that require students to identify deductions and calculate net pay from various pay stubs. Additionally, it challenges students with complex pay stub analysis and real-world job offer comparisons, enhancing their financial literacy regarding their earnings and expenses.