Unit 4 Sources of Income and Employee Benefits

What is compensation?

• the amount of money a person is paid per hour

• the annual amount of money that a person is paid

• money paid and benefits provided to a person for their work

• overtime pay

What are wages?

• the amount of money a person is paid per hour

• the annual amount of money a person is paid

• money paid and benefits provided to a person for their work

• tips and overtime pay

What does salary mean?

• tips and overtime pay

• the amount of money that is paid per hour

• money paid and benefits provided to a person for their work

• fixed amount paid on a bi-weekly or monthly bases

What are benefits?

• raise in pay/salary

• promotion on the job

• all forms of compensation other than salary & wages

• putting money into your savings account

What is Social Security?

• a federal program that ensures workers will get income after they retire

• money that goes towards tips

• making sure that employees are social on the job

• money in your checking account

Managers and professionals are usually paid a salary.

• True

• False

A person paid hourly is eligible for what?

• longer hours

• overtime pay

• tips and weekends off

• work whenever they want to

The W-2 form is used to...

• gather tax withholding information for an employee.

• purchase health insurance from an insurance marketplace.

• report an employee's annual income and taxes.

• verify that their RSU account is certified with another tax form.

The federal government levies a tax on personal income to provide for 

• national defense and law enforcement
• veterans and foreign affairs
• social programs like food and housing assistance and college grants
• All answers shown

To what entity do we pay taxes?

• FBI

• JOB

• IRS

• Mr. Dawson