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Chapter 8 - Income and Taxes

Total questions: 19

Worksheet time: 20mins

Name
Class
Date
1.

is a set amount of money earned by an employee per year or other fixed length of time

(a)  

2.

are employee earnings that are paid by the hour, day, or items

(a)  

3.

work for which wages are based on the number of items or pieces produced

(a)  

4.

is a fixed percentage or amount of profit given to an employee in exchange in addition to regular pay

(a)  

5.

is a sum of money paid to an employee in addition to regular pay

(a)  

6.

is money given to an employee by customers in exchange for a service 

(a)  

7.

The federal government developed standards governing employee payment and compensation is called Fair Labor Standard Act (FLSA)

a)

True

b)

False

8.

Match the following

a)

Equal Pay

1.

forbids employers from paying one person less than another person for the same work

b)

Minimum Wage

2.

this is the lowest hourly rate an employer may legally pay most workers

c)

Subminimum Wage

3.

is set lower than the standard minimum wage

d)

Overtime

4.

employees that work in excess of 40 hours per week

9.

entitled to some or all of his/her money in the retirement plan when leaving the company

(a)  

10.

Full-time – hold wages or salary jobs of at least (a)   hours per week

11.

Part-time is when a employee works fewer than 40 hours per week

a)

True

b)

False

12.

short-term assignments at various companies

(a)  

13.

are hired for a specified period of time to complete a particular project for an employer

(a)  

14.

pay is electronically transferred directly into the recipient’s bank account by completing and signing a form

(a)  

15.

is the total amount of money earned for working during a pay period

(a)  

16.

is anything that is subtracted from gross pay

(a)  

17.

is the amount of pay an employee is left with after taxes and other deductions are subtracted from the gross pay

(a)  

18.

Match the following

a)

Form W-4

1.

Employee’s Withholding Allowance Certificate

b)

Allowances

2.

are factors that affect the amount of income tax withholding

c)

Form W-2

3.

Statement with your entire earnings for the year

d)

Form 1099

4.

Interest earned on savings during the year, sent by the bank

e)

Dependent

5.

is someone who is supported by a taxpayer’s income

19.

Match the following

a)

Tax deductions

1.

reduces the amount of income that is taxed

b)

Itemized deduction

2.

amounts actually spent on tax-deductible expenses during the year

c)

Standard deduction

3.

a set amount that the IRS allows without listing any actual expenses

d)

Taxable Income

4.

The portion of your income that is actually subject to income tax

e)

Tax Credit

5.

is subtracted directly from the amount of tax owed