Font size
WorksheetsPersonal Finance Tax Review
Total questions: 45
Worksheet time: 41mins
What are the two components of Payroll Taxes?
Social Security and Medicare
Social Security and Medicaid
Medicare and Medicaid
Payroll and Sales Taxes
Payroll Taxes can include all of the following except
state income tax
Sales tax
Federal income tax
FICA
Gross Income includes all of the following except
tips
child support payments received
wages
game show winnings
Which of the following is FALSE about the W-2 form? (hint: choose 2 correct answers)
The W-2 is sent out by December 31st of every year
It lets you know how much you earned last year
It lets you know how much was withheld from your paychecks
You get 1 W-2 form every year, even if you had multiple jobs
When you are ready to file for taxes you must have form
W-2
W-6
WD40
W-2484
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?
W-2
1099
W-4
I-9
A standard deduction is
Income you receive for upholding good standards.
Is a $1,000 taken off your tax bill to reduce your tax bill.
A fixed amount all people are allowed to deduct from their AGI to reduce their tax liability.
A specific expense or expenses that, under law, can be deducted from income to reduce the amount of income subject to income tax
The purpose of deductions and exemptions is to reduce
Your Adjusted Gross Income (AGI)
Your Net Income
Your Capital Gains
Your Take Home Pay.
A Tax Return is
How much the government returns to you every year.
A formal report to the IRS that contains all the information relative to a person's income taxes for a specific year.
Is a musical group that sings about taxes.
Is a government form used to complain about being over-taxed.
An itemized deduction is
A specific expense that, under tax law, can be deducted from income to reduce the amount of income subject to income.
Items you want to give to the IRS.
A waste of time. Just take the standard deduction.
the same as a standard deduction.
An example of Capital Gains is when
You have an asset that has appreciated in value and you sell it for more than you paid for it.
You sell the Capitol building
You sell your stock for less than you paid for it.
You gain weight after eating at the capital building.
The IRS is the
Internal Reading Skill
Implement Revenue Soon
Implement Real Service
Internal Revenue Service
itemized deductions
Items in your closet
Fixed amount all people are allowed to deduct
Specific expenses that can be deducted from income to reduce taxable income
deductions that are in order.
Another name for take-home pay is
Gross Pay
Salary
Net Pay
Income
By law federal tax returns must be filed by what date?
January 1
December 31
May 2nd
April 15th
Earning income can consist of salaries, wages, tips, and more.
True
False
Taxes help pay for government services like roads, education, the military
True
False
Tax money that is collected, is a major source of:
money to spend on video games
lunch money
state or government revenue
Your employer will send you a _______ form up to a few months before, which has a report of how much you earned that year.
Timesheet
W2
1040
When you file your taxes, you will use a ________ form.
Timesheet
W2
1040
If too many taxes were deducted from your gross pay, the government will send you money back after you file your taxes... This is called a _________.
Pay Period
Timesheet
Tax Return or Tax Refund
Employers ask their employees to fill out these two forms when they are hired
W2 & I-9
I-9 & W-4
W-4 & W-2
1040 & I-9
What is the account called that you put my retirement savings into
savings account
retirement account
401K
1040
What main factor on the W-4 determines the amount of taxes taken from your paycheck?
Your income
how many dependents you have
your deductions
if you are single or married
If your paystub reads that you were paid for January 12-25, what is that time called?
pay period
days worked
days paid
pay day
The amount of money made before taxes and other deductions is called what?
salary
net income
gross income
hourly wages
A federal tax paid for hospital insurance
Medicare tax
Social Security tax
Federal Income tax (FICA)
Tax base
If you file a joint tax return, you can take an exemption for your spouse.
TRUE
FALSE
Jessie did not meet the minimum income requirement to file a tax return. What is one reason for why she should file a tax return anyway?
She could potentially get a refund for the taxes that were withheld from her paycheck.
She still needs to report her income to the Federal government.
She can qualify for a higher tax refund next year.
She is still legally required to file a tax return even if she does not meet the minimum income requirement to owe taxes.
Randall is an employee and had a weekly paycheck of $355.25. How much Social Security would be withheld from his paycheck?
$22.30
$22.03
$27.20
$27.18
Randall had a weekly paycheck of $355.25. How much FICA (Social Security AND Medicare) would be withheld from his paycheck?
$22.30
$22.03
$27.20
$27.18
Stephanie is an employee and had a monthly paycheck of $6,525.00. How much Medicare would be withheld from her paycheck?
$404.55
$809.10
$94.61
$499.16
All of the following are government services EXCEPT
Food Inspectors
FBI
Public schools
Farms
Who is the biggest employer in the nation?
Amazon
The Federal Government
Ford Motor Company
Sales tax is the tax you pay
when you buy something.
when you sell something.
when you barter.
when you give something as a gift.
Not everything is taxed at the same rate. In many states, ___________ are exempt from sales tax.
Clothing
Groceries
Toys
Shoes
Income tax is the tax you pay on money you receive from all of the following sources EXCEPT
your job
rent from tenants
gifts you receive from your friends and relatives
earnings on investments like stocks
This tax helps fund the basic retirement program run by the federal government.
Social Security Tax
Property Tax
Medicare Tax
Sales Tax
Which is true?
The less you make, the more you get taxed.
The more you make, the higher percentage tax is taken out.
The more you make the lower you get taxed.
If you are cool, you don't get taxed at all.
What percent of your earnings goes to Social Security?
1.45%
.0145%
6.2%
.062%
