Question
please work on paper and do all the steps please and thank you! Calculate the Gross Earnings, GP/TI, GIE, and NTI for the following employee:
please work on paper and do all the steps please and thank you!
Calculate the Gross Earnings, GP/TI, GIE, and NTI for the following employee:
2. Sue is a manager for Central Refrigerator Supply in Alberta. She earns $74,320 annually and is paid monthly. Central Refrigerator Supply provides the following benefits every pay period:
- group term life insurance of 2.5 times her annual salary (the premium rate is $.60 per $1,000 per month of coverage); the company pays the entire premium, and
- a company-owned automobile (the company estimates her pay period benefit based on last year's total annual taxable benefit of $5,210.00)
Sue submitted a receipt for reimbursement of $230 for a pair of steel-toe work boots required to carry out her employment duties. This amount will be paid as part of her paycheque. She was required to stay late to finish some rush jobs 2 evenings this past week. Additionally, Sue worked 14 hours on Tuesday and 12 hours on Wednesday. She received an overtime meal allowance of $15 for each of those days. She was not paid extra for the overtime, as she is a salaried employee.
During the current pay period only, Sue also enjoyed the following: a one-time cash payment of $350 to cover a refrigerator repair course taken at the local community college. She paid for the course then applied for reimbursement, through the payroll dept., after passing the course. This amount was paid as part of her paycheque.
Sue also pays into the company group RRSP - she contributes $500 per pay period.
- Gross Earnings (3 marks)
- Gross Pensionable/Taxable Income (3 marks)
- Gross Insurable Earnings (3 marks)
- Net Taxable Income (1 mark)
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