8. Identify insurance deductions

Many employers provide health insurance, but often you have to pay at least part of the cost. Sometimes you have a choice of insurance plans.

Your employer may also allow you to sign up for life insurance, disability insurance, and other types of coverage. You usually pay all or some of the costs.

The employer should tell you what each type of insurance costs and how much will be deducted from your paycheck.

Health insurance calculations:

• Say you have a health insurance plan that costs $4,680 per year. Your employer agrees to pay half. The rest will be deducted from your pay. For a weekly paycheck, how much will be deducted?
• You can figure your deduction like this:
  Per year: $4,680.00 ÷ 2 = $2,340.00
  Per week: $2,340.00 ÷ 52 = $45.00