CFL Chapter 1 Study Guide

Which is a primary source of employment? (Hint. There is more than one answer)

• Youtubing

• You are hired by a business or employer

• You invest in stocks

• You are self employed

A salary is the specific rate you earn for every hour you work. (Ex. $15/hr)

• True

• False

Answer explanation

This is the definition on hourly

A salary is a set amount of money you make that's not dependent on a specific number of hours worked. (Ex. $75,000 yr.)

• False

• True

Which choice in NOT one of the 3 payment methods employers use to pay employees?​ ​

• Direct Deposit

• Paper Paycheck

• Cash

• Payroll Card

Bi-Weekly payments are every 2 weeks.

• True

• False

Gross is _______ taxes and deductions. (Type in all lowercase)

Net is ______ taxes and deductions. (Type in all lowercase)

What does paying medicare do?

• Gives free money to old people

• Helps pay health insurance for elders

• Fund government organizations

• Gives money to the CDC

What percent is deducted from an employee's paycheck for social security?

• 2.3%

• 1.45%

• 6.2%

• 6.5%

What does social security NOT do?

• Provide income for retirees

• Provide money for people with disabilities

• Provide money for children/spouses who've lost a parent/spouse

• Provide money to government agencies