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W-4 and Taxes

Total questions: 16

Worksheet time: 8mins

Name
Class
Date
1.

The amount of taxes employers withhold is based on what two things?

a)

how much money an employee earns

b)

the information provided on the W-4 form

c)

How many employees are in the workforce

d)

How much you will rely on social security benefits

2.

Which of these taxes is not withheld from your paycheck?

a)

Federal and state taxes (if your state has state taxes)

b)

Social security taxes

c)

Real estate taxes

d)

Medicare taxes

3.

The money you have left after you pay your taxes and bills is called?

a)

Disposable Income

b)

Gross Income

c)

Federal withholding Income

d)

Exemption Income

4.

When an employee starts a new job, which is legally required to be completed?

a)

a blood test

b)

a W-4 form

c)

prepayment of taxes for the first three months

d)

a complete driver’s license check

5.

The W-4 form is used by employers to determine:

a)

the amount of money an employee should be earning.

b)

the amount of money an employee should be saving from each paycheck.

c)

future retirement money to be saved.

d)

the amount of money to be withheld from an employee to pay taxes.

6.

What form do you complete proving you're a citizen of the U.S.?

a)

W-2

b)

W-4

c)

WD40

d)

I-9

7.

What are 2 of the taxes withheld from your paycheck?

a)

Sales tax

b)

Federal income tax

c)

FICA

d)

Estate tax

8.

What form authorizes an employer to electronically deposit your paycheck into your bank account?

a)

Health authorization form

b)

Direct deposit enrollment

c)

W-4 Withholding certificate

d)

401k Enrollment

9.

What is a dependent in tax terms?

a)

A business that receives government subsidies

b)

A person who files taxes independently

c)

A homeowner who pays property taxes

d)

A person who relies on another for financial support

10.

What should you do with your W-4 form after you fill it out?

a)

Mail it to the IRS for approval

b)

File it with your state tax return for the appropriate tax year

c)

Submit it to your employer so they can withhold the correct amount of taxes

d)

File it with your federal tax return for the appropriate tax year

11.

What is the amount you pay each pay period to maintain health insurance coverage?

a)

Dependent

b)

Premium

c)

Exemption

d)

Allowance

12.

What does FICA consist of?

a)

Federal income tax and state income tax

b)

Social Security tax and Medicare tax

c)

Property tax and sales tax

d)

Unemployment tax and disability tax

13.

What tax is designed to supplement a worker's retirement?

a)

Social Security

b)

Sales tax refunds

c)

Unemployment benefits

d)

Property tax deductions

14.

Co insurance and copay are the same thing

a)

true

b)

false

15.

Your salary is the fixed amount you get paid per year

a)

true

b)

false

16.

Your beneficiary is the person who receives your money when you pass away

a)

true

b)

false