Question

I was wondering if you could help me with my payroll questions?

Hemal Thomas is an employee in British Columbia. The net pay calculation is for the first biweekly pay of 2015. The employee is 32 years old and in this pay is entitled to 70 hours regular pay at $20.00/hour, three hours of overtime at time anda half, anda $100.00 safety shoe allowance. The employee also receives a monthly car allowance of $200.00 and the employer pays group life insurance of $35.00 a month. Vacation at 4% is accrued. The employee contributes $20.00 per pay to the United Way, $20.00 per month to the company social club, and $15.00 per pay for union dues. The employee's TD1 federal and provincial codes are both 2 (LOI, 2, 3) The gross earnings for the pay period are: $1400.00 1. a b) $1490.00 $1582.31 d) $1682.31 (LOI, 2, 3) Canada Pension Plan contributory earnings are: $1490.00 b) $1698.46 2. oefeswwiie a c) $1598.46 d) $1682.31 (LO1, 2, 3) Taxable benefits are 3. Zero a) $16.15 b) c) d) $35.00 $17.50 h o 4. (LO1, 2, 3) Insurable earnings are: $1582.31 a b) $1698.46 c) $1597.46 d) $1682.31

Hemal Thomas is an employee in British Columbia. The net pay calculation is for the first biweekly pay of 2015. The employee is 32 years old and in this pay is entitled to 70 hours regular pay at $20.00/hour, three hours of overtime at time anda half, anda $100.00 safety shoe allowance. The employee also receives a monthly car allowance of $200.00 and the employer pays group life insurance of $35.00 a month. Vacation at 4% is accrued. The employee contributes $20.00 per pay to the United Way, $20.00 per month to the company social club, and $15.00 per pay for union dues. The employee's TD1 federal and provincial codes are both 2 (LOI, 2, 3) The gross earnings for the pay period are: $1400.00 1. a b) $1490.00 $1582.31 d) $1682.31 (LOI, 2, 3) Canada Pension Plan contributory earnings are: $1490.00 b) $1698.46 2. oefeswwiie a c) $1598.46 d) $1682.31 (LO1, 2, 3) Taxable benefits are 3. Zero a) $16.15 b) c) d) $35.00 $17.50 h o 4. (LO1, 2, 3) Insurable earnings are: $1582.31 a b) $1698.46 c) $1597.46 d) $1682.31

Answer 1

1.

The correct answer is b) $1,490.

Supporting calculations:

Wages (70 hours * $20 per hour) Add: Overtime Pay ($20 per hour + $10 per hour |$30 per hour 3 hours) Gross Earnings $1,400 $90 S1,490

Therefore, gross earnings are $1,490.

Note: Overtime is paid for one and half of wage rate that is $20 per hour * 1/2 = $10 per hour + $20 per hour = $30 per hour.