You’re probably familiar with a real pay stub. But do you really need one?
These are very important.
They should be kept by everyone, but it depends on the position of the employee, employer or employer.
Below are the top 3 reasons why you should have your paystubs.
1. Evidence of income
Paystubs are a great way to prove income. It is possible that you will be asked for multiple recent checks stubs from different money-related situations in addition to a credit check.
You don’t want your income to get in the way of your ability to rent, buy your first home, finance a loan or obtain a credit card.
If a substantial amount of money is involved, the business dealing with you will want proof that you have the funds to cover your expenses.
2. You Suspect Inaccurate Net Payment
Unfortunately, mistakes happen! Your stub will show you all the details you need to determine if you were not paid the amount your employer owes.
Simply put, your check stub will show your gross income. This is your income before taxes. Your net income is your income after taxes and insurance. If elected, various taxes and insurance are also deducted.
There may be errors in overtime not paid, taxes taken out which could be too high or low, and incorrect insurance deductions to name a few.
It is much more difficult to prove an incorrect payment if you don’t have your paystub.
These are the same reasons employers are required to keep employee stubs at least for four years.
3. How to prepare for tax filing
You won’t be surprised if you owe more taxes if you keep track of how much is taken from each pay period. This is another way to save yourself some headaches.
If you find that enough money is not being taken out you can adjust your withholdings so that you don’t owe any more or less.
Locating your check stubs
There is no need to panic if you are just now realizing you have lost your pay stubs, or that they have been thrown away. Paystubs are so vital that you have many options.
To generate your stubs, check stubmaker can be used. It is simple and user-friendly.
Copyright Reseau Actu.