Real-Life Math
Most of the math you do as a talent agent involves working out percentages
and taxes on your clients' paychecks.
Your commission is 15 percent
of the gross (total pay before deductions such as union dues and income tax)
that your client makes. So, first you have to figure that out.
Next,
you have to charge tax on your commission, which amounts to 7 percent. The
government gets that.
Finally, you have to subtract both your commission
and the tax on it from your client's net earnings (the net being what's
left after deductions). The remainder is what your client gets to take home.
Your
client has just done an automobile commercial. Her part was small, but the
commercial is being broadcast nationally, so she is being paid $9,430 (gross)
for 2 days' work -- not bad.
The deductions from her gross pay
went to union dues and a retirement fund. They totaled $1,805. How much will
your commission be and how much will your client take home?