How will the federal tax affect a gross biweekly pay of $840 for a single person claiming 5 exemptions?
a.
It will not affect gross pay.
b.
It will increase gross pay by $11.
c.
It will decrease gross pay by $11.
d.
It will decrease gross pay by $13.

Question

How will the federal tax affect a gross biweekly pay of $840 for a single person claiming 5 exemptions?
a.
It will not affect gross pay.
b.
It will increase gross pay by $11.
c.
It will decrease gross pay by $11.
d.
It will decrease gross pay by $13.

anonymous · Answer

what exactly is the rule with exemptions?

directrix · Answer

The difference between gross and net pay are the deductions that are withheld from a paycheck. Gross pay is the total amount of money earned. For example: with an hourly rate of $10.00 per hour and a work week of 40 hours, the gross pay would be $400. Net pay is the amount of pay that is actually paid to the employee after any deductions. Deductions would include taxes, health insurance, retirement plans, profit sharing, etc. Using the same example from above: with a gross pay of $400 and deductions of $60, the net pay would be $340. http://www.reference.com/motif/business/difference-between-gross-and-net-pay ^^^^ Based on the above, it appears that the gross pay will not change. @ashleyhelget

anonymous · Answer

thank you @Directrix

directrix · Answer

You are welcome.