Payday is the best day of the week, but do you usually overlook your pay stub? Here are 3 major reasons you should be reading your paycheck stub closely.
The day that all employees look forward to is payday. More than likely, on payday, the first thing that comes to mind is, “What bills do I need to pay, and how much money will I have left to splurge on”.
This is a great question; however, there is something else you must consider first. Payday is the best day of the week, but do you usually overlook your pay stub? Here are 3 major reasons you should be reading your paycheck stub closely.
3 Major Reasons You Should Read Your Paycheck Stub
Nowadays, one is usually paid via direct deposit. Gone are the days when you were paid with a check that had a paycheck stub attached. In a way, this method made it easier to read the paycheck stub.
Even if you are paid via direct deposit, you need to take the time to read your paycheck stub. The last thing you want is to ignore it. Before spending the money or withdrawing the money from your bank account, read the pay stub.
Understand Your Paycheck Stub
You need to learn how to understand your paycheck stub. A paycheck stub will contain important information that you must be familiar with. On the paycheck stub, you will find information about the gross pay, net pay, tax withholdings, and deductions made.
You need to make sure you understand how you are paid. You also need to make sure you know what is being taken out of your paycheck. Keep your paycheck stubs.
Tracking the Hours You Worked
You need to track the hours you have worked every pay cycle. This is especially true if you are paid by the hour. By looking over the hours outlined in the paycheck stub, you can verify if you were paid for your hard work.
Paycheck errors are common. You cannot risk having an error as it can make a major difference. If you believe there is an error in the reporting of the work hours, use the paycheck stub to consult with your employer.
Prevent Tax Issues Down the Road
Always make sure to go over your paycheck stub to verify your personal information, specifically your social security number. If it is wrong, you must ask your employer to fix it. An incorrect social security number may mean that another person may have your tax withholdings applied to them.
It is also important that you read over your paycheck stub so you can keep track of your taxes. You can use the information on this part of the stub when you prepare your taxes. No one wants to have any tax-related surprises.
If you need help reading your paycheck stub and keeping it safe, use the create pay stub tool.
The Importance of Reading Your Pay Stub
Without a doubt, you need to read your paycheck stub. After reading over your paycheck stub, you will be able to verify you were paid for all your hours worked, as well as look for any issues.
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