Chapter 1

Question 1

employee completes to determine amount of tax to withhold

Answer 1

W4

Question 2

sent to employee detailing wages paid and taxes withheld

Answer 2

W2

Question 3

verify the identity and employment authorization

Answer 3

I9

Question 4

form to complete when you file your taxes

Answer 4

1040

Question 5

form a non employee would receive

Answer 5

1099

Question 6

When do earning Start?

Answer 6

January 1st

Question 7

When do earnings End?

Answer 7

December 31 st

Question 8

W2’s must be mailed by

Answer 8

January 31st

Question 9

When is TAX DAY?

Answer 9

April 15th

Question 10

Employer deposits funds directly into employee’s bank account

Answer 10

Direct Deposit

Question 11

Deductions expected from pay check?

Answer 11

FICA, Federal Income Tax

Question 12

What does FICA consist of and who is it for.

Answer 12

Social Security (6.2%) Medicare (1.45%) → Elderly (retired)/Disabled

Question 13

the more you make, the more ‘they’ take

Answer 13

Federal Income Tax

Question 14

Mandatory spending ex:

Answer 14

Social security, Medicare

Question 15

Discretionary spending ex:

Answer 15

Military, Education