Personal Finance Weeks 5-6 (Taxes)

Most federal taxes are put toward programs that provide benefits to retirees, the disabled, and children.

• True

• False

FICA taxes fund... (Choose 2)

• Medicare

• Medicaid

• Social Security

• CHIP (Children's Health Insurance Program)

For most people, the largest payroll tax payment is...

• federal tax

• state tax

• city tax

Nebraska has a state income tax.

• True

• False

What is higher - gross pay or net pay?

• Gross Pay - this is pay before taxes are taken out.

• Gross Pay - this is the pay after taxes are taken out.

• Net pay - this is the pay before taxes are taken out.

• Net pay - this is the pay after taxes are taken out.

A progressive tax...

• Taxes higher earning people more

• Taxes lower earning people more

• Taxes everyone the same dollar amount

• Taxes everyone at the same percentage rate.

A regressive tax...

• Taxes higher earning people more

• Taxes lower earning people more

• Taxes everyone the same dollar amount

• Taxes everyone at the same percentage rate.

A proportional tax...

• Taxes higher earning people more

• Taxes lower earning people more

• Taxes everyone the same dollar amount

• Taxes everyone at the same percentage rate.

A "flat tax" is an example of...

• Progressive Tax

• Regressive Tax

• Proportional Tax

• A sinister government agenda to oppress the populace.

"the rate at which the last (highest) dollar of income is taxed" is called...

• Marginal Tax Rate

• Effective Tax Rate

• Average Tax Rate