You possibly already comprehend that the ease connected with having your pay stub generated electronically and sent to you. Having the access to your pay stubs online at your fingertips is great for employees.
A pay stub usually consists of the information below:
The basic information of the employee/staff; which include name and address, social security number, and address;
The dates of the pay period;
Employee pay rate;
Gross earnings, or their wages before taxes, employee contributions, and deductions are taken out;
Taxes withheld, such as federal income tax, and if applicable, state or local taxes, plus the employee’s share of FICA tax;
Employee assistance, such as to retirement plans or pensions;
Deductions, such as for health insurance or life insurance; and
Net pay, which is the total amount the employee actually takes home in their paycheck after all taxes, contributions, and deductions are subtracted from gross earnings.
The pay stub ought to specify overtime if the employee is qualified and any overtime hours were worked. If an employee received any kind of bonuses, it would also get mentioned under gross earnings. Note that some states also have need of supplementary information such as accrued sick leave to be included.
Why should I provide a pay stub?
As the employer, a pay stub is useful for tax purposes, as having a detailed Real Check Stubs with you make filing your own taxes less grueling and it can be used to resolve any discrepancies with employee pay.
And for your employee; it provides a record of their wages, helps them understand their taxes, contributions, and deductions, and allows them to ensure they are well paid. It can also serve up as a evidence of income or employment for them, which is often required when applying for a loan or form of credit.
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