Paystubs, Deductions, Tax forms (CFA)

What does the term "withholding" mean in reference to your paycheck?

• It is the amount of your paycheck that you are NOT being taxed on.

• It is how much is being taken out of your paycheck in taxes

• It is how much you are going to owe the government when you file your annual tax return.

• It is how much you earn and includes salary, bonus, and commissions.

3. When do you start paying taxes?

• When you turn 18

• When you make more than the minimum income requirement

• When you get a full-time job

• When the IRS tells you to

Which of the statements below is TRUE about filing your taxes, assuming your only income comes from the salary you earn at BigTech Company?

• You need to file your tax return by the end of the calendar year

• If your employer takes out federal income taxes through payroll withholdings, you do not need to file a tax return

• You must file your tax return by April 18th, 2022 or request an extension by that date

• You do not need to pay any income taxes until April 18th, so you should ask your company to wait until after that date to withhold any money

You are starting your first job and you are asked to complete some paperwork on your first day. Which form will determine how much money is withheld from your paycheck for federal and state income taxes? (a)  

• w-2
• w-4
• I-9
• 1040

Which of the following paycheck withholdings puts money into a retirement investment fund that you will manage?

• social security

• medicare

• 401(k) contribution

• Federal income tax

When determining whether you NEED to file a Federal Tax Return, each of these questions matters EXCEPT…

• How much income did you earn this year?

• What type of income did you earn this year?

• What state do you live in?

• Are you claimed as a dependent on anyone else's tax return?

Which of the following best describes what a child "dependent" is for tax purposes?

• someone under the age of 19 who you financially support

• someone who is temporarily disabled

• someone who financially supports you

• someone who is a full-time student under the age of 30

Elaine is an employee. Which of the following steps is she responsible for completing and them give to her boss?

• determine how must tax to withhold based on w-4 information

• complete a w-4

• sending withholding amounts to the federal government

• request a w-2 each year

Select two things the federal government spends your tax dollars on that you benefit from.

• national parks

• public libraries

• private business

• personal insurance

What is the deadline to file your tax return? Write the date you must file your taxes in 2022.