maria earns $50,000 per year, receives 10 days pto, 8% retirement matching, and receives 70% employer…

maria earns $50,000 per year, receives 10 days pto, 8% 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|8%|\n\nround to the nearest percentage point.

maria earns $50,000 per year, receives 10 days pto, 8% 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|8%|\n\nround to the nearest percentage point.

Answer

Explanation:

Step1: Calculate cost of health - insurance subsidy

The total cost of health - insurance is $10,000 and the employer subsidizes 70%. So the cost of the subsidy is $10000\times0.7 = 7000$.

Step2: Calculate value of PTO

Assume a 20 - day work - month and 12 months in a year, so there are $20\times12 = 240$ work - days in a year. If Maria's annual salary is $50000$, her daily salary is $\frac{50000}{240}\approx208.33$. The value of 10 days of PTO is $208.33\times10 = 2083.3$.

Step3: Calculate value of retirement matching

The retirement matching is 8% of her $50000$ salary, so it is $50000\times0.08 = 4000$.

Step4: Calculate total benefits

The total benefits are the sum of the health - insurance subsidy, PTO value, and retirement matching: $7000 + 2083.3+4000=13083.3$.

Step5: Calculate benefit rate

The benefit rate is the total benefits divided by the salary, then multiplied by 100. So the benefit rate is $\frac{13083.3}{50000}\times100 = 26.1666%\approx26%$.

Answer:

26%