emma earns $52,000 per year, receives 10 days pto, 5% retirement matching, and receives 70% employer…

emma earns $52,000 per year, receives 10 days pto, 5% retirement matching, and receives 70% employer - subsidized health insurance which totals $10,000. calculate the benefit rate.\n\n|employee benefits| |\n|--|--| \n|health insurance|70%|\n|fica|7.65%|\n|paid vacation (pto)|10 days|\n|retirement matching|5%|\n\nround to the nearest percentage point.

emma earns $52,000 per year, receives 10 days pto, 5% retirement matching, and receives 70% employer - subsidized health insurance which totals $10,000. calculate the benefit rate.\n\n|employee benefits| |\n|--|--| \n|health insurance|70%|\n|fica|7.65%|\n|paid vacation (pto)|10 days|\n|retirement matching|5%|\n\nround to the nearest percentage point.

Answer

Explanation:

Step1: Calculate the value of paid - vacation

Assume a 260 - workday year. The value of paid - vacation as a percentage of salary is $\frac{10}{260}\times100%\approx3.85%$.

Step2: Calculate the total value of benefits

The health - insurance subsidy is 70% of $10000 = 7000$. The retirement - matching is 5% of $52000=0.05\times52000 = 2600$. The value of paid - vacation is approximately $0.0385\times52000\approx2002$. FICA is 7.65% of $52000 = 0.0765\times52000=3978$. The total value of benefits is $7000 + 2600+2002 + 3978=15580$.

Step3: Calculate the benefit rate

The benefit rate is $\frac{15580}{52000}\times100%\approx30%$.

Answer:

30%