Spring Final Review

A qualified retirement plan sponsored by an employer.

• 401 (k)

• Commission

• Direct Deposit

• Electronic Funds Transfer

A method of paying an employee based on the amount of sales the employee generates.

• 401 (k)

• Commission

• Direct Deposit

• Electronic Funds Transfer

The payment of an employee’s net pay using electronic funds transfer.

• 401 (k)

• Commission

• Direct Deposit

• Electronic Funds Transfer

A computerized cash payments system that transfers funds without the use of checks, currency, or other paper documents.

• 401 (k)

• Commission

• Direct Deposit

• Electronic Funds Transfer

A qualified retirement plan that provides most individuals with a deferred federal income tax benefit.

• Individual Retirement Account (IRA)

• Medicare Tax

• Net Pay

• Qualified Retirement Plan

A federal tax paid for hospital insurance.

• Individual Retirement Account (IRA)

• Medicare Tax

• Net Pay

• Qualified Retirement Plan

The total earnings paid to an employee after payroll taxes and other deductions.

• Individual Retirement Account (IRA)

• Medicare Tax

• Net Pay

• Qualified Retirement Plan

A retirement plan approved by the Internal Revenue Service.

• Individual Retirement Account (IRA)

• Medicare Tax

• Net Pay

• Qualified Retirement Plan

A qualified retirement plan that allows tax-free withdrawals from the account.

• Roth Individual Retirement Account (Roth IRA)

• Social Security Tax

• Tax Base

• Withholding Allowance

A federal tax paid for old-age, survivors, and disability insurance.

• Roth Individual Retirement Account (Roth IRA)

• Social Security Tax

• Tax Base

• Withholding Allowance