Income and Taxes

Ty recently started a new job and receives a monthly payment for his work. What is this money called?

• Salary

• Income

• Commission

• Wages

Angel, Dylan, Layla, Ty, and Jay are discussing the factors that can impact their future income. Which factors can impact the amount of income they earn?

• Job skills and experience

• Education

• Federal and state laws

• All of the above

Terry and Layla work as food servers at a restaurant. What type of income do they typically receive?

• Salary

• Wages

• Tips

• Commissions

Terry, Aiden, Angel, Marisol, and Miguel are discussing the payment method for their teachers and other professionals. What is the payment method they are referring to?

• Salary

• Wages

• Tips

• Commissions

Terry, Aiden, Marisol, Layla, and Angel are discussing their jobs. Whose job pays by commission?

• Terry - Food server

• Aiden - Realtor

• Marisol - Teacher

• Layla - Entrepreneur

Terry received his first paycheck and noticed income tax deductions. What is the purpose of these income tax deductions?

• To pay for goods and services provided by the government

• To increase Terry's income

• To reduce Terry's income

• To save money for Terry

Marisol just started a new job and noticed that a portion of her income is being withheld from her paycheck. Who is responsible for withholding these taxes directly from her paycheck?

• Her employer

• The government

• Marisol herself

• Marisol's parents

Miguel and Layla are discussing how income tax affects their earnings. How does the amount of income tax they pay depend on their income?

• The more money they make, the more taxes they pay

• The less money they make, the more taxes they pay

• The more money they make, the less taxes they pay

• The less money they make, the less taxes they pay

Angel is considering taking a course to improve her skills, knowledge, or experience. What is the potential benefit of doing so?

• Higher-paying jobs

• Lower-paying jobs

• No impact on income

• Unemployment

Angel is considering going to college to increase her earning potential. What is the downside of this decision?

• Costs money

• Takes time

• Both A and B

• No downside