Understanding Your Paycheck
This worksheet helps grade 9 students understand the components of a paycheck, including gross pay, deductions, and net pay.
Includes
Standards
Understanding Your Paycheck
Name:
Date:
Score:
Read each question carefully and answer to the best of your ability. Show all your work where applicable.
1. Your total earnings before any deductions are taken out is called .
2. Money subtracted from your gross pay for taxes, insurance, or other benefits are known as .
3. The amount of money you actually receive after all deductions is called your .
4. FICA includes two main taxes: Social Security and .
1. Which of the following is NOT a common payroll deduction?
Federal Income Tax
Health Insurance Premiums
Rent Payment
State Income Tax
2. What is the formula to calculate net pay?
Gross Pay + Deductions
Gross Pay - Deductions
Net Pay + Taxes
Hourly Rate × Hours Worked
1. Sarah works 40 hours per week at an hourly rate of $15. Her weekly deductions are $75 for federal taxes, $30 for state taxes, and $25 for health insurance. Calculate her gross pay and net pay for the week.
Gross Pay:
Net Pay:
2. David's gross monthly income is $3,200. His total deductions amount to 22% of his gross income. What is his net monthly income?
Net Monthly Income:
1. Gross pay is always less than net pay.
True
False
2. Social Security and Medicare taxes are part of FICA.
True
False
1. Why is it important to understand the deductions on your paycheck, even though they reduce your take-home pay?