| A | B |
|---|
| taxable income | Gross pay minus all withholding allowances |
| Gross pay | Before tax pay |
| Net pay | After tax pay |
| Overtime | Paid at 1.5 times pay; anything over 40 hours |
| Double time | 2.0 pay rate; paid when working on a federal holiday |
| shift differential | Extra pay per hour when working overnight hours |
| Holiday and vacation pay | Included in gross pay |
| Paystubs | Shows the pay you receive and the deductions for taxes as well as other benefits |
| W4 | Shows the number of withholding allowance for an employee |
| Withholding allowances | Reduces taxable income |
| $3900 | Each withholding allowance is worth this per year |
| $150 | Each withholding allowance is worth this bi-weekly pay period |
| $75 | Each withholding allowance is worth this per weekly pay period |
| Self Employed | Owns business |
| hourly rate | amount of money paid at a certain rate for the number of hours worked |
| $8.25 | DC minimum wage: set automatically at $! over the federal minimum wage |
| $7.25 | Federal minimum wage |
| Bi-Weekly | 26 pay periods per year |
| Semi Monthly | paid on specific days per month |
| Monthly | paid once a month |
