Chap 8 - Vocab Test

Front

Income after subtracting allowable amounts like retirement contributions, alimony, and student loan interest.

Back

adjusted gross income

Front

Taxable gain from selling an asset for more than its purchase price.

Back

capital gains

Front

Total income from any source

Back

gross income

Front

Total money earned

Back

gross pay

Front

U.S. Treasury Department branch that manages federal tax system

Back

Internal Revenue Service (IRS)

Front

Specific expenses that can be deducted from income to lower taxable income.

Back

itemized deductions

Front

Health care coverage for mostly older Americans and some younger disabled individuals.

Back

Medicare

Front

Amount of money an employee takes home after taxes

Back

net pay

Front

Includes federal and state income taxes

Back

personal income tax

Front

Federal and state taxes withheld from a paycheck and sent to the government by the employer

Back

payroll taxes