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Income Quiz

Total questions: 22

Worksheet time: 6hrs 30mins

Name
Class
Date
1.

A deduction is

a)

gross income

b)

money added to your income

c)

net income

d)

money taken out of your income

2.

Gross income is:

a)

the total amount of money BEFORE taxes

b)

the amount of money you receive after decuctions are subtracted

c)

the total amount of money you spend

d)

sales taxes on items you buy

3.

Net income is:

a)

the total amount of money you earn

b)

the amount of money you receive after deductions are subtracted from your gross income

c)

the amount of money that is taken away in the form of taxes

d)

the hourly rate of pay

4.

Payment for a fixed amount of work is...

a)

A Contract

b)

Commission

c)

Income

d)

Minimum Wage

5.

Being paid Bi-Weekly means you get paid every...

a)

Two Days

b)

Two Weeks

c)

Two Months

d)

Two Years

6.

A Salary is...

a)

How much you get paid per HOUR

b)

How much you get paid per WEEK

c)

How much you get paid per YEAR

d)

How much you get paid per MONTH

7.

Michael worked 42 hours last week. His regular pay is $10.00 per hour. He is paid 1 1/2 times his regular pay for overtime hours (in excess of 40 hours). What was his gross pay?

a)

$420

b)

$430

c)

$630

d)

$840

8.

What is Lisa's net monthly income if her monthly income is $1,000 per month and her total deductions are $199.80?

a)

$1,000.00

b)

$800.20

c)

$199.80

d)

None of the above

9.

Tina will be working at the municipal swimming pool as a lifeguard this summer. She will earn $1,000 per month (a total of $3,000 for the whole summer). Tina does not plan to work any other jobs this year.

What is Tina's gross annual income (GAI)?

a)

$1,000

b)

$2,000

c)

$3,000

d)

$12,000

10.

Who pays into Social Security?

a)

Employees

b)

Self-employed

c)

Employers

d)

All of the above

11.

What percent of your earnings goes to Medicare?

a)

1.45%

b)

.0145%

c)

6.2%

d)

.062%

12.

What percent of your earnings goes to Social Security?

a)

1.45%

b)

.0145%

c)

6.2%

d)

.062%

13.

EVERY taxpayer pays the same tax rate for Medicare, no matter how much you make.

a)

True

b)

False

14.

The annual cost for medical insurance is $5000. The company pays 90% of the cost. How much is deducted from your paycheck on a weekly basis?

a)

$500

b)

$9.62

c)

$19.23

d)

$41.67

15.

Which will always be higher? Net pay or Gross pay.

a)

Net pay

b)

Gross pay

16.

The time period in which an employee gets paid is called?

a)

pay check

b)

pay period

c)

time period

d)

none of these

17.

Which are considered mandatory deductions from a paycheck?

a)

social security

b)

medicare

c)

federal income tax

d)

all of these

18.

Which are considered optional deductions from a paycheck?

a)

life insurance

b)

health insurance

c)

union dues

d)

all of these

19.

On what date is John Doe receiving his pay?

a)

September 11

b)

September 7

c)

September 25

d)

September 18

20.
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
21.

How much FICA Medicare tax did John Doe pay in the current pay period?

a)

$58.00

b)

$11.60

c)

$42.25

d)

$48.31

22.

Which of the following is not a mandatory deduction?

a)

Federal and state taxes

b)

FICA (Social Security / Medicare)

c)

Healthcare

d)

Local taxes