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Taxes Baby

Total questions: 40

Worksheet time: 20mins

Name
Class
Date
1.

Who primarily uses our tax money? (hint: choose 2 correct answers)

a)

Your employer

b)

The state government

c)

The Federal government

d)

Local Businesses

2.

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

3.

Money being taxed comes from

a)

Net Pay

b)

Gross Pay

c)

Take Home Pay

d)

Pay Day...the candybar

4.

Federal Contribution Insurance Act (FICA) are withheld from your paycheck and sent to the government. These are used for (Two answers are to be selected)

a)

Social Security

b)

State

c)

Medicare

d)

Sale

5.

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

a)

W-2

b)

W-6

c)

WD40

d)

W-2484

6.

Filing for many exemptions such as pre-tax dollar items will provide you with a(n)

a)

Gross Income

b)

Adjusted Gross Income

c)

Capital Gains

d)

Paycheck

7.

A fixed amount all people are allowed to deduct from their adjusted gross income to reduce their tax liability

a)

Standard Deduction

b)

Itemized Deduction

8.

When filing for taxes, the government will inform you if you receive or pay the government. This is called

a)

Tax write-off

b)

Taxation

c)

Tax profit

d)

Tax return

9.

Who pays taxes

a)

You

b)

Adults

c)

Immigrants

d)

Everyone

10.

6. What type of tax takes a percentage of the money you make on a job?

a)

a. Income tax

b)

b. Property tax

c)

c. Sales Tax

d)

d. Social Security tax

e)

e. Medicare tax

11.

2. What is something that federal taxes pay for?

a)

a. Schools

b)

b. Police

c)

c. Teachers

d)

d. Military

e)

e. Fire department

12.

Which of these things will reduce your tax liability DOLLAR FOR DOLLAR?

a)

Tax deduction

b)

Tax credit

c)

Tax bracket

d)

Standard deduction

13.

The amount you owe in taxes is calculated based on your

a)

Taxable income

b)

Gross income

c)

Net income

d)

Adjusted Gross Income

14.

When people refer to "tax day" , they mean...

a)

January 1, the first day of the year

b)

January 31, the last day to receive your tax forms

c)

Whatever day your tax refund comes in the mail

d)

April 15, the deadline to file taxes

15.

Which form is used to file your tax return with the IRS?

a)

W-2

b)

W-4

c)

1099

d)

1040

16.

Generally, your filing status is determined.....

a)

on April 15th

b)

on the last day of the year.

c)

on the first day of the following year

d)

on your birthday

17.
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
18.
Which is the least secure payment method because the employee is responsible for handling it?
a)
payroll card
b)
paycheck
c)
direct deposit
d)
they are all risky
19.
The length of time for which an employee’s wages are calculated
a)
payday
b)
pay period
c)
payroll
d)
direct deposit
20.
Totals all of the deductions which have been withheld from an individual’s paycheck from January 1 to the last day of the pay period indicated on the paycheck stub
a)
payroll withholdings
b)
income tax
c)
social security
d)
year to date
21.
Which is bigger, gross pay or net pay?
a)
gross pay
b)
net pay
22.
If Darien earns $120 net pay each paycheck and receives a paycheck each week, how much should he include as earnings in his yearly budget?
a)
$6,220
b)
$6,000
c)
$6,240
d)
$5,760
23.

Which of the following ARE actual tax filing statuses? (Check all that apply)

a)

Engaged

b)

Married filing jointly

c)

Divorced with dependents

d)

Head of Household

e)

Qualifying Widower

24.

Which of the following can be considered tax deductions?

a)

Student loan interest payments

b)

Giving to charity

c)

Filing your taxes

d)

Certain work expenses

25.

The main purpose of a W2 is

a)

To accept a new job

b)

To use while doing your taxes

c)

To open a new bank account

d)

To tell your employers how much taxes to take out of your check

26.

Which of the following are ways you can file your taxes?

a)

Online Tax Prep

b)

By phone

c)

On your own (mail in)

d)

With a tax professional

27.

Income received from sources other than employment.

a)

unearned income

b)

earned income

c)

payroll tax

d)

income tax

28.

A tax on earned and unearned income.

a)

sales tax

b)

income tax

c)

payroll tax

d)

property tax

29.

A tax on property, such as land, buildings, homes, and automobiles.

a)

home tax

b)

income tax

c)

property tax

d)

sales tax

30.

If an employee has $50 withheld from their paycheck for Social Security and Medicare tax deductions, how much would their employer pay?

a)

$25

b)

$50

c)

$75

d)

$100

31.

The amount of sales tax charged is the same for every city and state.

a)

True

b)

False

32.

Which type of tax helps fund schools?

a)

Payroll tax

b)

Property tax

c)

Income tax

d)

Township tax

33.

Jessica is 21, in college, & has a job that pays her bills. Can her parents claim her as an allowance/dependent on their tax return?

a)

Yes

b)

No

34.

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

35.

What do you need to file your 1040 or 1040EZ form?

a)

Your W-2

b)

Your W-4

c)

Your prior year's tax return

d)

Social Security Number

36.

If you worked 40 hours per week at $10 per hour, what is your gross income for the week?

a)

$227

b)

$4000

c)

$40

d)

$400

37.
Who is responsible for providing the W2 form?
a)
You
b)
Your Employer
c)
Your bank
d)
The IRS
38.

Which form comes pre-filled by your employer that you MUST have to fill out your tax form?

a)
b)
c)
d)
39.

Which form do you fill to file your taxes?

a)
b)
c)
d)
40.

How long can your parents claim you as a dependent?

a)

18

b)

24 if you are in college

c)

19

d)

19 or 24 if in college