health insurance coverage for an employee is $2,470 per year. their employer pays 80% of that cost. how much…
health insurance coverage for an employee is $2,470 per year. their employer pays 80% of that cost. how much is taken from the employees biweekly paycheck? biweekly insurance cost = $?
Answer
Explanation:
Step1: Find employee's annual cost
The employer pays 80%, so the employee pays 100% - 80% = 20% of the annual cost. $2470\times0.2 = 494$
Step2: Calculate number of bi - weekly periods
There are 52 weeks in a year, so the number of bi - weekly (every 2 weeks) periods is $\frac{52}{2}=26$.
Step3: Find bi - weekly cost
Divide the employee's annual cost by the number of bi - weekly periods. $\frac{494}{26}=19$
Answer:
19