CF Ch2 Quizlet

Your ____________ is the amount of money you earn before deductions.

• Withholding allowance

• Net Pay

• Gross Pay

• Federal Income Tax

Your _____________ is the amount of money you earn after deductions.

• Net income

• Gross income

• exemptions

• Deductions

The money you pay towards Medicare taxes are primarily used to pay for health insurance for....

• people who are poor or disabled

• your employer

• people without health insurance

• people 65 years and older

Which type of deduction has a maximum limit, or a cap, that we can't go over when we're calculating how much money is deducted?

• Personal exemptions

• Federal Income Tax

• Medicare

• Social Security

What is the "cap" that we use when finding Social Security deductions? (Not the 2025 amount that we've discussed in class, but the out-of-date amount we've used in class...)

• $90,000

• $150,000

• $80,000

• $170,000

When your employer pays for a percent of the cost of your health insurance, that is called...

• Medicare

• group health insurance

• Social Security

• Exemptions

Marty's gross pay for this week is $365.78. He is married and claims one allowance. According to the table in the image, what amount will be withheld from Marty's pay for FIT?

• $28

• $32

• $37

• $38

Corinne earns $38,260 as a wind turbine technician. She is married with one dependent. The state tax rate in her state is 4% of taxable income. What amount is withheld from each of her monthly paychecks for state income tax? Use the attached table.

• $112.53

• $1530.40

• $127.53

• $117.53

Arnold's annual salary is $68,250. His personal exemptions total $3,000. The annual state tax withheld is:

2% on the first $1,000,

3.5% of the next $2,000

4.5% of the next $3,000

5% on anything over $6,000.

How much is deducted annually for Arnold's state income tax?

• $525

• $3,187.50

• $3,637.50

• $3,592.50

Claire has family medical coverage through her employer's group medical plan. The annual cost of Claire's coverage is $3,950. If her employer pays 65% of the coverage, how much does Claire have to pay weekly?

• $98.75

• $53.17

• $49.38

• $26.59