Income, Taxes, and Related Concepts Quiz

An amount paid to an employee based on a percentage of sales.

A fixed amount of money paid to an employee for each pay period.

The amount of money left after all taxes have been paid.

Money received, especially on a regular basis, for work or through investments.

Disposable income

Gross income

Discretionary income

Taxable income

A fixed amount of money paid to an employee for each pay period.

A tax on people’s earnings.

Money paid by a company to shareholders, usually from profits.

An amount of money paid to an employee at a specified rate per hour worked.

To claim a tax deduction or exemption.

To indicate how much tax should be withheld from a paycheck.

To file a quick tax return for simple tax situations.

To report annual wages and taxes for tax returns.

Social Security

Medicare

FICA

Medicaid

To distribute dividends to shareholders.

To collect federal taxes.

To control the money supply and set interest rates.

To provide health insurance for the elderly.

Inflation

Bonus

Interest rates

Commission

Disposable income is after taxes; discretionary income is after necessities.

Disposable income is before taxes; discretionary income is after taxes.

Disposable income is after necessities; discretionary income is before taxes.

Disposable income is before necessities; discretionary income is after taxes.

State taxes

Federal taxes

W-2

FICA

A statement of an employee’s annual wages and taxes.

A tax on people’s earnings.

Part of a person’s income on which no tax is imposed.

A donation or expense that reduces taxable income.