How to Read your Paycheck
Every two weeks or once a month you get paid for your services. Do you know how much salary you should be making and what all those deductions are for?
Now is the time to find out. There have been cases where an employee was overpaid and had to pay back the money to the district. There have also been situations where an employee waited too long to recover money that was owed.
The contract bargained by your local is the first source for information. It will tell you what salary and benefits you are entitled to. If you have specific questions, talk to your association rep.
Here is some general information that affects your paycheck:
GROSS PAY is what you wish you were getting. It's the total amount the district pays you based on the salary schedule negotiated by your local association.
FEDERAL INCOME TAX is the amount deducted from your pay and withheld by the IRS. The percentage taken from your gross pay depends on your tax bracket and the number of withholdings you requested. If you need to change the number, find out how to take care of this by checking with your association rep.
FICA pays your Social Security taxes. Check this figure and make sure the amount deducted is right. This number affects your retirement benefits.
RETIREMENT contributions go to the state retirement system. A percentage contribution is made for you.
DEDUCTIONS are chosen by you and could include tax-sheltered annuities, additional insurance coverage and your association dues.
NET PAY is the amount of money you take home.