Marcelino Marchan UEI College-Gardena, CA Business Office Administration Business Calculations Mod-130 Instructor: Frank Ezenekwe, MBA 8/3/2017
Percentage Increase in Value Calculating Percentage Increase
• Get the difference increase between the two numbers you are comparing • Divide the increase by the original number and multiply the answer by 100. • If the number is negative, then this is a percentage decrease.
Payroll Deductions Deductions taken off peoples paychecks, may vary
Federal Income Tax (FIT) • Employers must keep records of the names and addresses of the people employed, their exemptions, earnings, and withholdings, and the amount and dates of payments • Employers must submit reports to the IRS quarterly. (Every 3 months if its Form 941) and yearly basis if (Form W-2 and Tax Statement).
Federal Insurance Contributions Act (FICA) • Programs provided by workers through deductions withheld from their paychecks with equal amounts also paid by their employers. • Such as Social Security and Medicare • Tax rate for Social Security is 6.2% • Tax rate for Medicare is 1.45% • All together is 7.65%
How to Calculate Property Tax
STEPS:_______ 1) Multiply the market value of the property by the assessed rate. Ex: $500,000 x 50%= $250,000 (assessed value) 2) Determine the number of $100s in the assessed value. Ex: $250,000 / $100= $2,500 3) Multiply the number of $100 by the tax rate per $100 to determine the amount of tax due. Ex: $2,500 x $5.95= $14,875 (property tax due)
Property Tax: is a tax imposed on a property owner to help fund public services such as fire and police protection, schools, and parks.
How to File Tax Returns-Case Study 1040
• Taxable Income= Total Income – Standard Deduction – Exemptions • Calculate total income including taxable interest and deductions • File income tax base on tax table • Subtract to find the difference between the tax amount and the amount of taxes paid.
How Health & Life Insurance Works
Health Insurance: Covers a predetermined portions of the of health care • Provides protection against a portion of the cost incurred due to illness or an accident. • There’s 3 basic types of managed health insurance Health Maintenance Organization(HMO), Preferred Provider Organization(PPO), and Point of Service(POS) plan • Managed health care organizations attempt to lower costs by negotiating discounted rates for their policyholders focusing on preventive care and limiting choices.
Life Insurance: An agreement providing for the payment of a stipulated sum to one or more beneficiaries upon the death of the insured person. • Provides funds to your beneficiaries after your death. • The purpose of life insurance is to give financial protection to your survivors after the person’s insured death.
Automobile Insurance Accident Breakdown 25/50/10 means that insurance will pay a maximum of: • $25,000 for bodily injuries (one person) • $50,000 for bodily injuries (all persons involve) • $10,000 for property damage