The McConnell family is in the process of creating a budget and need to calculate their household income. Mrs. McConnell is a math instructor at the local community college. She works full-time and is paid twice per month. After taxes and other deductions, she earns $1,560 each pay period. Mr. McConnell is an electrical engineering technician for the local power company. He works 40 hours each week, earns $25.07 per hour and is paid every other week. His taxes and deductions total $561.56 each pay period.What is the McConnell's net monthly income?
Accepted Solution
A:
Their net monthly income is $6008.08.
We start with Mrs. McConnell. She is paid twice monthly, so her monthly income (after taxes and deductions) is $3120.
For Mr. McConnell, we first determine how much he is paid per week. He gets 40 hours per week and is paid 25.07/hr; therefore he makes
40(25.07) = 1002.8 per week.
He is paid every other week (about twice a month), so his check on payday (before deductions) is 1002.80(2) = 2005.60. Taking out the deductions from his payday, his net income is 2005.60-561.56=1444.04. This makes 2888.08 per month for him.