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Paystub Mistakes Assignment

New employees rely on the payroll accounting professional to help them understand their pay check. Quite often candidates are wooed into new positions with starting salaries that seem impressive but the amount looks much smaller when divided by pay periods with taxes, insurance and retirement removed from the amount. Hope Kingsley is a somewhat new employee at Some Corporation, where she began working January 1, 2018. She has just received her 8^th paycheck of the year and have noticed a few issues she would like some help with. Your job is to find those mistakes, explain what the mistake actually is (i.e. tax is calculated wrong, dates are wrong, etc.), and fix it (i.e. calculate the correct amount of tax, include the correct date, etc.)

There are a total of 10 mistakes on this paystub. Each mistake that you identify, explain, and fix, is worth 5 points, for a total possible of 50 points. Please assume that all names and addresses are correct, the Married status and the allowances for both Federal and State are correct, the fact that she worked 80 hours in the 2-week pay period is correct, and her Gross Pay for this pay period is correct. The amounts deducted for Health, Dental, and Retirement are also correct.

Some Corporation pays it employees bi-weekly, with the pay period beginning on Sunday and ending the following Saturday. The paychecks are distributed the Friday following the end of the pay period. ALL employees of the company are paid on an hourly basis. Below is the 8th paycheck of 2018 for Hope Kingsley, a brand new, hourly employee.

Please review the check stub below and identify, explain, and fix the 10 mistakes:

Some Corporation		Earnings Statement
123 Somewhere Drive
Ann Arbor, MI 48104		Hope Marie Kingsley
		8670 Rogerson Drive
		Ann Arbor, MI 48104
Employee ID Number	98856
Job Title	Administrative Assistant
Social Security Number	123-45-6789
Department Number	K7890
Pay Period	4/8/2018 4/21/2018
Pay Date	4/27/2018
Taxable Marital Status	Married
Exemptions/Allowances
Federal	2
State	0
Earnings
Rate Hours	This Period	Year To Date
1,200.00 80	1,200.00	9,600.00
Gross Pay	1,200.00	9,600.00
Deductions
Federal Income Tax	121.99	975.92
State Income Tax	79.68	637.44
Social Security Tax	18.64	149.12
Medicare Tax	65.63	525.04
Health	76.58	612.64
Dental	26.56	212.48
Retirement*	150.00	1,200.00
Net Pay	660.92
*Excluded from federal taxable wages

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