WorksheetsTaxes and Paychecks
Total questions: 25
Worksheet time: 25mins
Which of these are "federal taxes" we've discussed?
Federal income tax alone
Federal income tax and FICA
State income tax and FICA
State income tax alone
What section of a paycheck would I look at if I wanted to know how much I've earned from the beginning of the year until that pay date?
"Deductions"
"Year-to-Date"
"Pay date"
"Rate"
The "deductions" section of a paycheck:
Tells me how much I earned before taxes
Shows me how much tax was taken out of my pay
Tells me how much I make per hour
Shows me how many hours I worked that pay period
Why do we fill out the form W-4 (federal) and MW507 (Maryland)?
To prevent the government from taxing us
To let our employer know how much income tax to withhold (set aside) from each paycheck
To inform the IRS how much money we made this year
To request an extension on paying taxes
This tax helps fund the basic retirement program run by the federal government.
Social Security Tax
Property Tax
Medicare Tax
Sales Tax
An excise tax is often called a "hidden" tax because
sellers cut out the tax altogether.
buyers exercise their right to purchase the product.
buyers hide the products in their cart.
sellers usually include the amount of the tax in the price of the item.
Business and people pay income taxes. Both are
regressive taxes
progressive taxes
proportional taxes
personal taxes
This tax helps fund the basic retirement program run by the federal government.
Social Security Tax
Property Tax
Medicare Tax
Sales Tax
Which of these is an example of a progressive tax?
One where higher income earners have a higher percentage of their income taxed than lower income earners
One where higher and lower income earners lose the same percentage of their income to taxes
One where lower income earners have a higher percentage of their income taxed than higher income earners
A tax proposed by the Democratic Party, as opposed to the Republican Party
Net pay means
The money I make before taxes
The money I make after taxes
All the money I've made for the year, before taxes
What's the difference between "gross" and "net" pay?
Net pay is what I earn before taxes come out, gross is what I receive after taxes come out
Gross pay is what I earn before taxes come out, net is what I receive after taxes come out
They are two terms for the same thing
The form W-2...
Informs my employer how much I want to withhold in federal taxes for the coming year
Lets me know how much I earned for the previous year, and how much tax I withheld
Informs my employer how much I want to withhold in state taxes
Is another term for a standard paycheck
What document am I? I am received in January. There is one of me for every job I work. You can tell how much you earned and how much you paid in taxes by reading me
1040
I-9
W-2
W-4
1099
What document am I? I am received in January. You get me if you are not an employee, but were paid by a company. You probably didn’t get taxes withheld if you got me, so you may have a big tax bill coming up
1040
I-9
W-2
W-4
1099
What document am I? I am received whenever you start a job. You list information about yourself and your family on me. I determine how much money gets taken out of each paycheck.
1040
I-9
W-2
W-4
1099
As a teenager or young adult working only part time, what is the benefit of claiming 0 or 1 withholding allowances on the W-4 form you receive when you start your job?
You get more money back in your check each time from less deductions
You'll likely not owe because of low wage earnings, and get a refund on anything you overpaid in taxes
It puts an extra portion of your check into your personal social security account, so you will have more money when you retire
There is no benefit. Don't do it.
Taxable or Not: Tips earned by a server in a fashionable restaurant
Taxable
Nontaxable
This is a possible sample of what type of form?
W-2
W-4
1040
1099
The W-4 form lets...
your employer know how much to withhold from your paycheck
the 3 major credit bureaus know how many dependents you have
you know how much you paid in taxes last year
the government know how much you paid in taxes last year
Jason filed his tax return and owes more than what was taken out of his paychecks for the year. To avoid a fee, when should he pay this amount by? Hint: same as taxes due day
January 1st of the following year
December 31st
October 15th
April 15th
January 28th
If a teen files a tax return, can the parent still claim him/her as a dependent?
Yes, but the parent has to add the teen's income to theirs
No. If a teen files a tax return, he/she cannot be claimed
Yes. All teens are dependents until they are 18 years old
Yes, as long as the teen meets the dependency requirements
What document am I? I am completed every April. Anyone can use me. Beware, there is a LOT to fill out
1040
I-9
W-2
W-4
1099
When you pay your taxes and deductions from your paycheck, what are 2 examples of discretionary spending made by the government with that money? (check 2)
Military
Medicare
Education
Social Security
Not counting 2020 because of COVID-19, this is the last day to e-file or mail federal and state income tax forms or to request an extension (unless it falls on a weekend, then the Monday immediately following).
January 1st
January 28th
April 15th
June 1st
June 15th
Taxes and Paychecks
A) The section of a paycheck that shows the total amount earned before any deductions.
B) The section of a paycheck that shows the total amount earned after all deductions.
C) The section of a paycheck that shows the total amount of taxes withheld.
D) The section of a paycheck that shows the total amount of hours worked.
