Janna is a salaried nonexempt employee in Laramie,Wyoming,who earns $30,000 per year for a standard 40-hour workweek and is paid biweekly.She is single with one withholding allowance.During the last pay period,she worked 5 hours of overtime.She contributes 3% of her gross pay to her 401(k)on a pre-tax basis and has a garnishment of 10% of her disposable income for a consumer credit garnishment.What is her net pay? (Use the wage-bracket method.Do not round intermediate calculations.Round your final answer to 2 decimal places. )

A)$998.90
B)$913.90
C)$917.46
D)$886.96

Question

Janna is a salaried nonexempt employee in Laramie,Wyoming,who earns $30,000 per year for a standard 40-hour workweek and is paid biweekly.She is single with one withholding allowance.During the last pay period,she worked 5 hours of overtime.She contributes 3% of her gross pay to her 401(k) on a pre-tax basis and has a garnishment of 10% of her disposable income for a consumer credit garnishment.What is her net pay? (Use the wage-bracket method.Do not round intermediate calculations.Round your final answer to 2 decimal places. )

A)$998.90 
B)$913.90 
C)$917.46 
D)$886.96

Quizplus · Accepted Answer

First, calculate Janna's regular gross pay for the pay period: 
$30,000 / 26 pay periods = $1,153.85 
Then, calculate her overtime pay: 
($30,000 / 2,080 hours per year) x 1.5 x 5 overtime hours = $28.85 
Her total gross pay is $1,182.70 ($1,153.85 + $28.85). 
Next, calculate her pre-tax 401(k) contribution: 
$1,182.70 x 0.03 = $35.48 
Her taxable income is now $1,147.22 ($1,182.70 - $35.48). 
Calculate her consumer credit garnishment: 
$1,147.22 x 0.10 = $114.72 
Her disposable income is now $1,032.50 ($1,147.22 - $114.72). 
Using the wage-bracket method, her federal income tax withholding for the pay period is $118. 
Her net pay is $917.46 ($1,032.50 - $118). Therefore, the best choice is C.

Janna Is a Salaried Nonexempt Employee in Laramie,Wyoming,who Earns $30,000