1. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 1 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Daily Information 9/25/14 Objectives: 1.Identify items that are listed on a paycheck stub. 2.Differentiate between gross and net income. Warm Up: How much money does a person need? Agenda: 1.Warm Up 2.Student P.P. 3.Word Cloud 4.Getting Paid P.P. 5.Student notes 6.Getting Paid Math 7.Exit Ticket 3/10/2014

2. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 2 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Daily Information 9/26/14 Objectives: 1.Identify items that are listed on a paycheck stub. 2.Differentiate between gross and net income. Warm Up: What are your plans this weekend? ***Projects due today!! Take out and turn in Agenda: 1.Warm Up 2.Getting Paid P.P. 3.Student notes 4.Getting Paid Math 5.Exit Ticket 3/10/2014

3. NOTE: To change the image on this slide, select the picture and delete it. Then click the Pictures icon in the placeholder to insert your own image. Getting Paid Chapter 2 Lesson 2

4. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 4 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Types of Income Earned Wage/Hourly Salary Tip Commission Unearned Interest Dividends (cash and stock) Pension ***

5. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 5 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Salary vs. Hourly Salary Set amount of money No time cards or overtime pay Example: $30,000/year Hourly wage Earn a specific rate for every hour worked Example: $16.00/hour Minimum wage Would you rather be paid a salary or hourly wage?

6. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 6 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Payroll deductions Gross income - amount of money earned before payroll taxes Deductions Net income – take home pay MandatoryOptional

7. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 7 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Pay Check Deductions Mandatory Deductions Federal income tax State income tax Local income tax Social Security Tax Medicare Tax Optional Deductions Health Insurance Life Insurance Disability Insurance Retirement Plan ***

8. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 8 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Federal Income Tax Largest required deduction Amount of money earned Information on Form W-4 Amount deducted How do you benefit from paying taxes?

9. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 9 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona What is Social Security? Provides Tax deducted from wages Income for: o Retirees o People with disability 6.2% Paid by each worker and matched by employer

10. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 10 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona What is Medicare? Provides Tax deducted from wages Helps pay for health care for individuals 65 and older 1.45% Paid by each worker and matched by each employer

11. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 11 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona How Employers Further Support Employees Workers’ compensation Helps pay medical expenses if you are injured on the job Unemployment insurance You can receive this if you lose your job due to no fault of your own Both required at no cost to the employee ***

12. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 12 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona How Employers Further Support Employees Through Benefits: Forms of pay other than salary or wages Increase the overall value of disposable income Pay without work (vacation, sick, personal) Perks (emotional satisfaction or social status) Educational Benefits Retirement Plans Insurance ***

13. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 13 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona What is a pay stub? Pay stub - outlines the deductions made to wages Why is it important to review your pay stub? Employee InformationPay Date: 6/11/2013 Name Identification Number AddressPay Rate Pay Period Joe Beakens00112233 293 Michael Grove $15.00 5/1 – 5/31/2013 Summary Gross Income Total Personal Deductions Net Income Current$2,400.00$747.00$1,653.00 YTD$12,000.00$3,735.00$8,265.00 Earnings TypeRateHoursCurrentYTD Regular$15.00160$2,400.00$12,000.00 Overtime0000 Deductions TypePersonal DeductionEmployer Contribution Federal income tax$249.400 State income tax $100.000 Social Security and Medicare$183.60 Retirement plan$144.00 Health insurance$100.00$400.00 Workers’ compensation0$13.80 Unemployment insurance0$6.26 Employee Leave Balances Type Beginning balance current Beginning balance YTD Used Current Used YTD Ending Balance Personal10150510 Sick55005

14. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 14 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Pay Stub Standard Employee Information Name Address Identification number Employee InformationPay Date: 6/11/2013 Name Identification Number AddressPay Rate Pay Period Joe Beakens00112233 293 Michael Grove $15.00 5/1 – 5/31/2013 Summary Gross Income Total Personal Deductions Net Income Current$2,400.00$747.00$1,653.00 YTD$12,000.00$3,735.00$8,265.00 Earnings TypeRateHoursCurrentYTD Regular$15.00160$2,400.00$12,000.00 Overtime0000 Deductions TypePersonal DeductionEmployer Contribution Federal income tax$249.400 State income tax $100.000 Social Security and Medicare$183.60 Retirement plan$144.00 Health insurance$100.00$400.00 Workers’ compensation0$13.80 Unemployment insurance0$6.26 Employee Leave Balances Type Beginning balance current Beginning balance YTD Used Current Used YTD Ending Balance Personal10150510 Sick55005

15. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 15 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Pay Stub Pay Period Regular schedule that employers pay employees Weekly, bi-weekly, bi- monthly, or monthly Employee InformationPay Date: 6/11/2013 Name Identification Number AddressPay Rate Pay Period Joe Beakens00112233 293 Michael Grove $15.00 5/1 – 5/31/2013 Summary Gross Income Total Personal Deductions Net Income Current$2,400.00$747.00$1,653.00 YTD$12,000.00$3,735.00$8,265.00 Earnings TypeRateHoursCurrentYTD Regular$15.00160$2,400.00$12,000.00 Overtime0000 Deductions TypePersonal DeductionEmployer Contribution Federal income tax$249.400 State income tax $100.000 Social Security and Medicare$183.60 Retirement plan$144.00 Health insurance$100.00$400.00 Workers’ compensation0$13.80 Unemployment insurance0$6.26 Employee Leave Balances Type Beginning balance current Beginning balance YTD Used Current Used YTD Ending Balance Personal10150510 Sick55005

16. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 16 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Pay Stub Gross income Net income CurrentYear-to-date (YTD) Amount this pay period Amount from January 1 to last day of current pay period Employee InformationPay Date: 6/11/2013 Name Identification Number AddressPay Rate Pay Period Joe Beakens00112233 293 Michael Grove $15.00 5/1 – 5/31/2013 Summary Gross Income Total Personal Deductions Net Income Current$2,400.00$747.00$1,653.00 YTD$12,000.00$3,735.00$8,265.00 Earnings TypeRateHoursCurrentYTD Regular$15.00160$2,400.00$12,000.00 Overtime0000 Deductions TypePersonal DeductionEmployer Contribution Federal income tax$249.400 State income tax $100.000 Social Security and Medicare$183.60 Retirement plan$144.00 Health insurance$100.00$400.00 Workers’ compensation0$13.80 Unemployment insurance0$6.26 Employee Leave Balances Type Beginning balance current Beginning balance YTD Used Current Used YTD Ending Balance Personal10150510 Sick55005

17. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 17 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Pay Stub Earnings How wages were calculated May show current and YTD Employee InformationPay Date: 6/11/2013 Name Identification Number AddressPay Rate Pay Period Joe Beakens00112233 293 Michael Grove $15.00 5/1 – 5/31/2013 Summary Gross Income Total Personal Deductions Net Income Current$2,400.00$747.00$1,653.00 YTD$12,000.00$3,735.00$8,265.00 Earnings TypeRateHoursCurrentYTD Regular$15.00160$2,400.00$12,000.00 Overtime0000 Deductions TypePersonal DeductionEmployer Contribution Federal income tax$249.400 State income tax $100.000 Social Security and Medicare$183.60 Retirement plan$144.00 Health insurance$100.00$400.00 Workers’ compensation0$13.80 Unemployment insurance0$6.26 Employee Leave Balances Type Beginning balance current Beginning balance YTD Used Current Used YTD Ending Balance Personal10150510 Sick55005

18. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 18 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Pay Stub Deductions All deductions from gross income What are examples of deductions? Employee InformationPay Date: 6/11/2013 Name Identification Number AddressPay Rate Pay Period Joe Beakens00112233 293 Michael Grove $15.00 5/1 – 5/31/2013 Summary Gross Income Total Personal Deductions Net Income Current$2,400.00$747.00$1,653.00 YTD$12,000.00$3,735.00$8,265.00 Earnings TypeRateHoursCurrentYTD Regular$15.00160$2,400.00$12,000.00 Overtime0000 Deductions TypePersonal DeductionEmployer Contribution Federal income tax$249.400 State income tax $100.000 Social Security and Medicare$183.60 Retirement plan$144.00 Health insurance$100.00$400.00 Workers’ compensation0$13.80 Unemployment insurance0$6.26 Employee Leave Balances Type Beginning balance current Beginning balance YTD Used Current Used YTD Ending Balance Personal10150510 Sick55005

19. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 19 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Pay Stub Amount the employer has contributed to various employee benefits and other contributions. Employer contributions Employee InformationPay Date: 6/11/2013 Name Identification Number AddressPay Rate Pay Period Joe Beakens00112233 293 Michael Grove $15.00 5/1 – 5/31/2013 Summary Gross Income Total Personal Deductions Net Income Current$2,400.00$747.00$1,653.00 YTD$12,000.00$3,735.00$8,265.00 Earnings TypeRateHoursCurrentYTD Regular$15.00160$2,400.00$12,000.00 Overtime0000 Deductions TypePersonal DeductionEmployer Contribution Federal income tax$249.400 State income tax $100.000 Social Security and Medicare$183.60 Retirement plan$144.00 Health insurance$100.00$400.00 Workers’ compensation0$13.80 Unemployment insurance0$6.26 Employee Leave Balances Type Beginning balance current Beginning balance YTD Used Current Used YTD Ending Balance Personal10150510 Sick55005

20. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 20 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Pay Stub Employee Leave Balance Summary of the employee’s leave time SickVacationHolidays Employee InformationPay Date: 6/11/2013 Name Identification Number AddressPay Rate Pay Period Joe Beakens00112233 293 Michael Grove $15.00 5/1 – 5/31/2013 Summary Gross Income Total Personal Deductions Net Income Current$2,400.00$747.00$1,653.00 YTD$12,000.00$3,735.00$8,265.00 Earnings TypeRateHoursCurrentYTD Regular$15.00160$2,400.00$12,000.00 Overtime0000 Deductions TypePersonal DeductionEmployer Contribution Federal income tax$249.400 State income tax $100.000 Social Security and Medicare$183.60 Retirement plan$144.00 Health insurance$100.00$400.00 Workers’ compensation0$13.80 Unemployment insurance0$6.26 Employee Leave Balances Type Beginning balance current Beginning balance YTD Used Current Used YTD Ending Balance Personal10150510 Sick55005

21. 2.3.9.G1 © Take Charge Today –August2013 – Getting Paid– Slide 21 Funded by a grant from Take Charge America, Inc. to the Norton School of Family and Consumer Sciences Take Charge America Institute at the University of Arizona Summary: Critical Information There are required and optional deductions Being employed provides additional benefits beyond wages earned Employers are required to pay unemployment insurance and worker’s compensation There is earned and unearned income