Calculate the Pensionable Earnings

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Problem - An employee earns $70,000 per year and is paid on a semi-monthly pay schedule. The employee enjoys the benefit of a company paid cell phone for personal use (cost is $200 per month) and receives 6% vacation pay on each payment. This pay cycle included 15 hours of approved overtime worked over the normal 40 hour work week and a reimbursement for travel expenses in the amount of $534.20. The employee contributes 5% of their regular wages to a Registered Retirement Savings Plan each pay cycle.

Required -

1. Calculate the Gross Earnings.

2. Calculate the Pensionable Earnings.

3. Calculate the Insurable Earnings.

4. Calculate the Net Taxable Earnings.

5. Calculate the Net Earnings.

Reference no: EM132997764

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