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Hudspeth Personal Finance Taxes

Total questions: 20

Worksheet time: 10mins

Name
Class
Date
1.

The W-4 form lets...

a)

the government know how much you paid in taxes last year

b)

your employer know how much to withhold from your paycheck

c)

the 3 major credit bureaus know how many dependents you have

d)

you know how much you paid in taxes last year

2.

What item would you DEFINITELY see on a paystub?

a)

Retirement

b)

Healthcare

c)

Gross Pay

d)

Your occupation/role

3.

By claiming "exempt" on the W-4 form...

a)

You are paying all income taxes upfront at the START of the year.

b)

You are requesting an extension to file your taxes

c)

You will NOT have income taxes withheld from your paycheck.

d)

You are paying all income taxes at the END of the calendar year.

4.

Which of the following is FALSE about the W-2 form? (hint: choose 2 correct answers)

a)

The W-2 is sent out in April of every year

b)

It lets you know how much you earned last year

c)

It lets you know how much was withheld from your paychecks

d)

You get 1 W-2 form every year, even if you had multiple jobs

5.

Jason is 15 and earned $1450 at his job last summer. Should he file a tax return?

a)

No, because he didn't earn enough.

b)

No, because you have to be 16 and older to file taxes.

c)

Yes, because he may get a refund.

d)

Yes. You must file taxes even if you didn't earn enough.

6.

What do you need to file your 1040 form? (hint: choose 2 correct answers)

a)

Your W-2

b)

Your W-4

c)

Your prior year's tax return

d)

Social Security Number

7.

If a teen files a tax return, can the parent still claim him/her as a dependent?

a)

Yes. All teens are dependents until they are 18 years old

b)

No. If a teen files a tax return, he/she cannot be claimed

c)

Yes, as long as the teen meets the dependency requirements

d)

Yes, but the parent has to add the teen's income to theirs

8.
FICA taxes are
a)
U.S. federal payroll taxes imposed on both employees and employers to fund Social Security and Medicare
b)
U.S. federal payroll taxes imposed on employees only to fund Social Security and Medicare.
c)
U.S. federal payroll taxes imposed on both employees and employers to fund Social Security.
d)
U.S. federal payroll taxes imposed on employers only to fund Social Security and Medicare
9.
Helps provide retirement income for the elderly and pays disability benefits
a)
medicare
b)
social security
c)
state income tax
d)
federal income tax
10.
A health care program for the elderly and disabled
a)
social security
b)
medicare
c)
state income tax
d)
federal income tax
11.
Also known as take home pay, this is the amount left after all payroll deductions have been taken from the gross income
a)
gross pay
b)
withholdings
c)
net pay
d)
real pay
12.
Which is bigger, gross pay or net pay?
a)
gross pay
b)
net pay
13.
a tax in which the tax rate increases as the taxable amount increases
a)
progressive
b)
regressive
c)
flat
d)
proportional
14.

The official date for when taxes are due

a)

January 15

b)

February 15

c)

March 15

d)

April 15

15.

When you receive a new job, you are mandated to file a

a)

Complaint

b)

Divorce

c)

W-4

d)

W-2

16.

When you are ready to file for taxes you must have form

a)

W-2

b)

W-6

c)

WD40

d)

W-2484

17.

What does the term "withholding" mean in reference to your paycheck?

a)

it is the amount of your paycheck that you are NOT being taxed on

b)

it is how much is being taken out of your paycheck in taxes

c)

it is how much you are going to owe the government when you file your annual tax return

d)

it is how much you earn and includes salary, bonus and commissions

18.

You are starting your first job and you are asked to complete some paperwork on your first day. Which form will determine how much money is withheld from your paycheck for federal and state income taxes?

a)

W-2

b)

1099

c)

W-4

d)

I-9

19.

The more allowances you claim on your W-4...

a)

The more money is withheld from your paycheck

b)

The less money is withheld from your paycheck

c)

The # of allowances doesn't impact how much $ is withheld

d)

You claim allowances on a W-2, not the W-4

20.

Which of the following is an example of public goods or services paid for by taxes?

a)

Shopping Malls

b)

Resturaunts

c)

Churches

d)

Roads and Highways