Locate the gross pay under the "Total Earnings" or "Gross Pay" section of a paycheck and multiply the amount by 12, 24, 26 or 52, according to Cynthia Measom for the Houston Chronicle. Multiply by 12 if payment is once a month or 24 for a pay frequency that is twice a month. Multiply by 26 if the payment cycle is every two weeks or 52 for weekly paychecks.Know More
Measom mentions that annual gross income is a person's yearly salary before deductions are made. Avoid using the "Net Pay" portion of the paycheck because this includes deductions from taxes and medical insurance. How often a person gets paid and the amount determines annual gross income. One example is a $1,200 weekly pay being multiplied by 52 to get an annual gross income of $62,400.
According to Measom, a distinction must be made between being paid twice a month and every two weeks, and confusing the two results in a wrong calculation. For example, being paid twice a month means being paid on scheduled payment days that may include the 1st and 15th of every month, while being paid on a bi-weekly basis means payment every 14 days. Payment every two weeks may also mean receiving payment three times a month at two times during the year.Learn more about Salaries
In evaluating a borrower's application, mortgage lenders use gross income to calculate debt-to-income ratios, according to Investopedia. The general rule of thumb is that a borrower shouldn't have debt obligations that exceed 36 percent of monthly gross income.Full Answer >
Anyone who was previously employed can obtain an employment history by requesting a Social Security Earnings Information report from the Social Security Administration. The certified detailed earnings information includes employment or self-employment dates of the requester as well as the complete name and address of previous and current employers.Full Answer >
Earnings reports, economic data and general news reports are the main factors that influence New York Stock Exchange stock prices, according to Zacks Investment Research. The NYSE also reacts to individual actions of investors, money managers and financial institutions.Full Answer >
The formula used to calculate your Social Security Disability Benefits is called the Average Indexed Monthly Earnings, or AIME. The years you have worked and the income generated during that time is taken into consideration.Full Answer >