Ch 1 Discovering the Working World

Match the term with the correct definition. Write the letter of the correct definition on the line.

• Overtime Pay

• Fixed compensation paid regularly for services, often yearly.

• Wage

• Payment of money for labor or services, usually paid hourly or daily.

• Gross Pay

• Pay received at 1.5 times the regular rate for hours worked beyond 40 in a week.

• Minimum Wage

• The lowest legal hourly pay rate employers can pay workers.

• Salary

• Total earnings before taxes and deductions.

Part 2 – Multiple Choice
1. Kai, Nora, and Emma are talking about what a job really is. Which of the following best describes a job?

• A short-term duty for financial gain

• A long-term profession requiring training

• Always the same as a career

• Something that never changes

Answer explanation

A job is best described as a long-term profession requiring training, as it involves developing skills and expertise over time, unlike a short-term duty or something that remains static.

Nora, Avery, and Michael are discussing their new jobs. Which of these is NOT considered a type of compensation they might receive?

• Salary

• Benefits

• Vacation Days

• Purpose

Answer explanation

In the context of jobs, compensation typically includes salary, benefits, and vacation days. 'Purpose' refers to the reason for work and is not a form of compensation, making it the correct answer.

Lily and Kai are starting their first summer jobs! They want to know which law sets the rules for minimum wage and overtime pay. Can you help them out?

• Affordable Care Act

• Fair Labor Standards Act (FLSA)

• Social Security Act

• Civil Rights Act

Answer explanation

The Fair Labor Standards Act (FLSA) establishes the rules for minimum wage and overtime pay, making it the correct choice for Lily and Kai's question about their summer jobs.

Liam and Evelyn are working at the same café. Liam earns $15/hour. Last week, he worked 42 hours. Can you help Liam figure out his regular pay, overtime pay, and total pay for the week?

• Regular pay: $600 Overtime pay: $45 Total pay: $645

• Regular pay: $630 Overtime pay: $30 Total pay: $660

• Regular pay: $560 Overtime pay: $90 Total pay: $650

• Regular pay: $600 Overtime pay: $60 Total pay: $660

Answer explanation

Liam's regular pay for 40 hours is $15 x 40 = $600. He worked 2 hours overtime, earning $15 x 1.5 = $22.5 per hour, totaling $45 for overtime. Thus, total pay is $600 + $45 = $645, matching the correct choice.

Grace and Ethan both earn $10/hour. Grace worked 38 hours this week. How much did she earn in total?
(Ethan is trying to guess the answer—can you beat him?) - Total pay: ________

• $380

• $400

• $360

• $320

Answer explanation

Grace earned $10/hour for 38 hours. To find her total pay, multiply 10 by 38: 10 * 38 = 380. Therefore, the correct answer is $380.

Michael is a computer programmer who earns a salary of $52,000/year. If he gets paid biweekly (26 times/year), how much does Michael receive in each paycheck before taxes?

• $2,000

• $1,500

• $2,500

• $1,800

Answer explanation

Michael's annual salary is $52,000. To find his biweekly pay, divide $52,000 by 26 pay periods: $52,000 ÷ 26 = $2,000. Therefore, Michael receives $2,000 in each paycheck before taxes.

Aria, Lily, and Oliver are curious about how wages, salaries, and overtime work. Why is it important for them to understand these concepts?

• It helps individuals manage their finances and make informed career decisions.

• It allows people to avoid paying taxes.

• It guarantees a promotion at work.

• It eliminates the need for budgeting.

Answer explanation

Understanding wages, salaries, and overtime is crucial for managing finances and making informed career choices, helping Aria, Lily, and Oliver plan their financial futures effectively.

Mia, Daniel, and Avery are discussing what kind of compensation would motivate them the most at their dream job. What about you? Which type of compensation would get you most excited?

• Wages

• Salary

• Tips

• Commission

Answer explanation

Salary is often preferred as it provides a stable and predictable income, which can be more motivating than variable forms of compensation like tips or commission. It allows for better financial planning and security.

Olivia just started a new job and is reviewing her pay stub. Which of the following is NOT typically found on a pay stub?

• Gross pay

• Net pay

• Taxes withheld

• Employee's favorite color

Answer explanation

The employee's favorite color is personal information and is not typically included on a pay stub. Pay stubs usually contain gross pay, net pay, and taxes withheld.