Business Mathematics 4TH Quarter Week 3:

salary, wage, income, and benefits.

Pre-Test:
C.1. It is a compensation received by employees in return for worked performed and is based on annual
compensation.

A. Benefits B. Income C. Salary D. Wage

D.2. It is a weekly compensation received by employees in return for worked performed.

A. Benefits B. Income C. Salary D. Wage

C.3. All of which are non-cash benefits for private employees EXCEPT.

A. GSIS B. Pag-Ibig C. PhilHealth D. SSS

A.4. A regular employee receives a bonus every year. Bonus is an example of

A. Benefits B. Income C. Salary D. Wage

B.5. The amount of money earned by a sari-sari store owner.

A. Benefits B. Income C. Salary D. Wage

C.6. It refers to your total compensation before taxes or other deductions.

A. Deductions B. Net Income C. Gross Income D. Taxable Income

B.7. It refers to your total compensation after taxes or other deductions.

A. Deductions B. Net Income C. Gross Income D. Taxable Income

A.8. Which among the benefits below of a government employee must be mandatory to all employees,
assuming that the employee has worked for the entire year?

A. 13th month pay B. Maternity Leave C. Paternity Leave D. VAWC Leave

D. 9. All benefits below of a government employee are being counter parted by the employer as their
share under the law EXCEPT.

A. GSIS B. Pag-Ibig C. Philhealth D. P.E.R.A.

A.10. Which true statement below can be made when an employee earns an average of Php.10,500 per
month. I. The employee is withholding tax exempted. II. The employee is not entitled to a 13th month
pay. III. The employee is not entitled for any sick leave.

A. Only I B. Only III C. Both I and II D. All of which

Activities A. Classify the compensations below as to (A) Salary, (B) Wage, (C) Income or (D) Benefits.
Write the letter of your answer in the space provided.

__A___ 1. Money received every payday of a government worker.

__ B___ 2. Money received by a construction worker every Saturday.

__ C___ 3. Money received by an online seller at the end of a transaction.

___D___ 4. Money received by an employee after retirement.

___D___ 5. Money received by an employee every Christmas season.

B. Complete the table below by supplying the necessary mandatory contributions for each employee.

Employee Annual Gross SSS PagIbig Phil Taxable Monthly

Salary Monthly Health Income withholding
Salary Tax
A 200 000 16 666.67 660 100 250 Tax 0
exempted
B 300 000 25 000.00 800 100 375 50 000 833.33
C 400 000 33 333.33 800 100 500 150 000 2500

Check your Understanding

A. Classify the following compensation according to the category in the table. Write then letter only

A. Pay check Salary Wage Income Benefit

B. Weekly Salary
A A C D
C. Mark Up Cost
B B E
B.D.Solve theInsurance
Health following problems:
E
1.E.What is the annual
Christmas Bonus gross pay of an
employee if he receives Php12 000
monthly gross pay?

2. What is the amount of contribution in the following agency if an employee earns Php45 000 a month?
a. SSS b. Phil health c. PAG-IBIG d. BIR (Tax)

3. What will be the net pay of an employee earning Php15 000 a month. No absences, no tardiness, only
mandatory deductions such as SSS, Phil health, PAG-IBIG, and tax are collected?

1 2 3
Annual Salary= 12(12 000) a. SSS= Php 800 ( since based on
the table it exceeds 19 750, which
Annual Salary= Php 144 000
has a fixed 800 SSS contribution)
b. Phil Health= (0.015 x 45 000)
Phil Health= Php 675
c. PAG-IBIG= Php 100 (Since your
monthly salary deduction for
monthly Pag-IBIG payment will
always be Php 100, regardless of
how much it will increase in the
future, as long as it is equal to or
over Php 5,000.)
d. BIR(Tax)=(20% x ((540 000 – 250
000)/12)
BIR(Tax)= 0.20(290 000/12)
 SSS= Php 600 ( based on the
table)
 Phil Health= (0.015 x 15 000)
Phil Health= Php 225
 PAG- IBIG= Php 100 (Since
your monthly salary
deduction for monthly Pag-
IBIG payment will always be
Php 100, regardless of how
much it will increase in the
future, as long as it is equal
to or over Php 5,000.)
 BIR(Tax)= Tax
exempted(Those with
taxable income below
P250,000 will be exempt
from paying PIT)

BIR(Tax)= 0.20(24 166.670) Deductions= 600 + 225 + 100

BIR(Tax)= Php 4 833.33 Deductions= Php 925

Net Pay = Gross Pay - deductions
Net Pay= 15 000 – 925
Net Pay= Php 14 075

Post-Test:
C.1. It is a compensation received by employees in return for worked performed and is based on annual
compensation.

A. Benefits B. Income C. Salary D. Wage

D.2. It is a weekly compensation received by employees in return for worked performed.

A. Benefits B. Income C. Salary D. Wage

C.3. All of which are non-cash benefits for private employees EXCEPT.
A. GSIS B. Pag-Ibig C. PhilHealth D. SSS

A.4. A regular employee receives a bonus every year. Bonus is an example of

A. Benefits B. Income C. Salary D. Wage

B.5. The amount of money earned by a sari-sari store owner.

A. Benefits B. Income C. Salary D. Wage

C.6. It refers to your total compensation before taxes or other deductions.

A. Deductions B. Net Income C. Gross Income D. Taxable Income

B.7. It refers to your total compensation after taxes or other deductions.

A. Deductions B. Net Income C. Gross Income D. Taxable Income

A.8. Which among the benefits below of a government employee must be mandatory to all employees,
assuming that the employee has worked for the entire year?

A. 13th month pay B. Maternity Leave C. Paternity Leave D. VAWC Leave

D. 9. All benefits below of a government employee are being counter parted by the employer as their
share under the law EXCEPT.

A. GSIS B. Pag-Ibig C. Philhealth D. P.E.R.A.

A.10. Which true statement below can be made when an employee earns an average of Php.10,500 per
month. I. The employee is withholding tax exempted. II. The employee is not entitled to a 13th month
pay. III. The employee is not entitled for any sick leave.

A. Only I B. Only III C. Both I and II D. All of which