How much interest does Bill pay?
Personal Finance Assessment 1
1. Melissa is working at Starbucks earning $8.50 per hour. She is a student and only works 20 hours per week.
a. Melissa gets paid biweekly Calculate her biweekly gross pay
b. 6.2% is deducted from each paycheck for Social Security taxes. Calculate how much she will pay in Social
Security taxes.
f.
c. 1.45% is deducted from each paycheck for Medicare taxes. Calculate how much she will pay in Medicare taxes.
Over-
d. Use the table below to determine how much Federal Income taxes will be deducted from her paycheck.
$88
$447
$1,548
$3,623
$7,460
$16.115
$16.181
Date
But not over
-$447
-$1,548
-$3,623
Pd
-$7,460
-$16.115
-$16.181
e. Calculate the biweekly net pay for Melissa.
$0.00 plus 10%
$35.90 plus 15%
$201.05 plus 25%
$719.80 plus 28%
$1,794.16 plus 33%
$4,650.31 plus 35%
$4,673.41 plus 39.6%
of excess over-
-688
$447
-$1,548
-$3,623
-$7.460
$16.115
$16.181
Melissa wants to use her savings to purchase a new MacBook Pro for $1250. If Melissa continues w
hours per week, how long will it take her to have enough money to purchase the laptop?