NCVPS FM Unit 3 Taxes Review

Front

What is unearned income?

Back

Unearned income is money received without working for it, such as gifts or interest from savings.

Front

Give an example of unearned income.

Back

Birthday money from a friend.

Front

What are public services funded by taxes in your community?

Back

Public parks, schools, and emergency services are examples of public services funded by taxes.

Front

What is the purpose of the W-4 form?

Back

The W-4 form is used by employees to indicate their tax situation to their employer, determining how much tax to withhold from their paycheck.

Front

What is the W-2 form?

Back

The W-2 form reports an employee's annual wages and the amount of taxes withheld from their paycheck.

Front

How much did Magnum Thomas earn this year according to his W-2 form?

Back

$32,896.45.

Front

What is a PIN in the context of filing taxes electronically?

Back

A PIN, or Personal Identification Number, is a unique number used to verify your identity when filing taxes online.

Front

What is the difference between earned and unearned income?

Back

Earned income is money received from working, while unearned income is money received without working.

Front

What types of income are considered earned income?

Back

Wages, salaries, tips, and bonuses are considered earned income.

Front

What is the role of taxes in a community?

Back

Taxes fund public services such as education, infrastructure, and public safety.