unit3- paychecks and taxes

Question 1

what is mandatory government spending

Answer 1

social security and medicare

Question 2

what does “withholding” mean in reference to your paycheck?

Answer 2

how much is being taken out of your paycheck for things like taxes, employer sponsored insurance and retirement

Question 3

when do you start paying income taxes?

Answer 3

when you make more then the minimum requirement

Question 4

what is the 1040 form?

Answer 4

determines whether you owe additional taxes or are entitled to receive a refund (completed every april)

Question 5

what form will determine how much money is withheld from your paycheck

Answer 5

w-4

Question 6

the tax form that requires you to provide identification and proves you are eligible to work in the US

Answer 6

I-9

Question 7

what is a dependent?

Answer 7

a person you support financially

Question 8

what is the difference between mandatory spending and discretionary spending

Answer 8

mandatory is what the government has to pay, discretionary is what it wants to pay

Question 9

what is the deadline to file your tax return?

Answer 9

april 18th

Question 10

what does the federal government spend your tax dollars on?

Answer 10

education, transportation, military, national parks, etc

Question 11

what is the w-2 form?

Answer 11

a summary of your earnings and withholding a for the year for a job; received by jan 31st

Question 12

what is FICA

Answer 12

taxes that are used to pay for
social security and medicare programs

Question 13

what is the 1099 form

Answer 13

you get this if you didn’t get taxes withheld so you’ll have a large tax bill coming

Question 14

what is the 1044 form?

Answer 14

the IRS form that you used to file tax returns

Question 15

what can you find on a pay stub

Answer 15

wages of salary, gross pay, net pay, deductions and taxes, your year-to-date earnings, pay period

Question 16

what other taxes do employers withhold and send to taxing authorities?

Answer 16

state tax, federal tax, county tax, state tax

Question 17

pay period

Answer 17

length of time employees pay wages

Question 18

year-to-date

Answer 18

accumulated deductions for year

Question 19

social security

Answer 19

helps provide retirement income for the elderly and disabled

Question 20

medicare

Answer 20

healthcare program for the elderly and disabled

Question 21

FICA

Answer 21

federal insurance combination act

Question 22

what is a sales tax

Answer 22

a tax on purchased goods and services, also called consumption tax

Question 23

what stares do not have sales tax?

Answer 23

Montana, Delaware, Alaska, New Hampshire, and Oregon

Question 24

what are sales taxes used to fund?

Answer 24

local government, public schools, children’s health insurance

Question 25

payroll tax

Answer 25

a tax in earned income that supports the social security and medicare programs (also known as FICA)

Question 26

property tax

Answer 26

a tax on property auch as house, buildings, mobile homes, and motor vehicles

Question 27

excise tax

Answer 27

taxes collected from seller or retailer and remains hidden in the price of the product