Quiz: Taxes & Credit Scores

The amount of money you pay in federal taxes is based on...

• Your tax bracket/income
• The fixed percent of 7.65%

The amount of money you pay in State taxes is based on...

• Your tax bracket/income
• The fixed percent of 7.65%

The amount of money you pay in FICA taxes is based on...

• Your tax bracket/income
• The fixed percent of 7.65%

What is the difference between mandatory and discretionary spending? Select two right answers.

• Mandatory spending is money the government gets to choose how to spend.
• Discretionary spending is money the government gets to choose how to spend.
• Mandatory money includes Social Security, and the goverment has to spend money on this.
• Discretionary money includes roadway tax, and the goverment has to spend money on this.

What is the breakdown of FICA taxes (7.65%) - Choose the two correct answers.

• Social Security: 6.2%
• Medicare: 1.45%
• Medicaid: 6.2%
• Social Security: 7.65%

Which form tells your employer how much taxes to take from your paycheck?

• W-2
• W-4
• 1099
• 1040

Your employer must send this to you by January 31st. It includes how much you made over the whole year, and how much you paid in taxes.

• W-2
• W-4
• 1099
• 1040

To file your taxes, you complete this form. It must be filed by April 17th.

• W-2
• W-4
• 1099
• 1040

Those who are self-employed complete this form to tell the IRS what your income was for the year.

• W-2
• W-4
• 1099
• 1040

True or False: If you made more than the standard deduction you do not need to file taxes.

• True, and the standard deduction is $11,000 for 2022.
• False, and the standard deduction is $11,000 for 2022.
• True, and the standard deduction is $12,950 for 2022.
• False, and the standard deduction is $12,950 for 2022.