Exploring Types of Taxes in Personal Financial Literacy

This video tutorial covers the concept of personal financial literacy for fifth graders, focusing on four types of taxes: income tax, property tax, payroll tax, and sales tax. It explains how each tax is applied, who pays them, and what they fund, such as government services and programs. The tutorial aims to provide a clear understanding of these taxes in under five minutes.

What is income tax primarily based on?

• The size of your family

• The state you live in

• The amount of money you earn

• The type of job you have

Who also pays income taxes besides individuals?

• Non-profit organizations

• Businesses

• Schools

• Churches

What does property tax primarily fund?

• City infrastructure

• National defense

• Overseas aid

• Corporate subsidies

What are the two main components of property tax?

• Electronics and buildings

• Land and vehicles

• Buildings and land

• Furniture and land

Who pays payroll tax?

• Only the employer

• Only the employee

• The government

• Both the employer and the employee

What does payroll tax contribute to?

• Education and infrastructure

• Military funding

• Social Security and Medicare

• Unemployment benefits

How is sales tax collected?

• Through income

• Through property ownership

• At the time of purchase

• Annually

Who pays sales tax?

• Business owners

• Consumers

• Employees

• Exporters

What is a common experience with sales tax?

• Paying exactly the shelf price

• Opting out of sales tax for large purchases

• Receiving a discount equivalent to the tax

• Paying more than the shelf price due to tax

Which tax is not directly paid by individuals?

• Income tax

• Sales tax

• Property tax

• Payroll tax