Vocab
Wages
a fixed regular payment, typically paid on a daily or weekly basis, made by an employer to an employee, especially to a manual or unskilled worker.
When do you fill out a W-4
each year and when your personal or financial situation changes.
Equation to calculate gross pay
What is a I-9 Form
Form I-9, officially the Employment Eligibility Verification, is a United States Citizenship and Immigration Services form.
What is itemized deduction
itemized deductions are eligible expenses that individual taxpayers can claim on federal income tax returns
Inheritance
Something that you receive through someone
Purpose of a W-4
Form W-4 tells you, as the employer, the employee's filing status, multiple jobs adjustments, amount of credits, amount of other income, amount of deductions, and any additional amount to withhold from each paycheck to use to compute the amount of federal income tax to deduct and withhold from the employee's pay.
Equation to calculate net pay
Gross pay- Deductions
Name two documents from list A
List A documents establish both identity and authorization to work.
What is standard deduction
a specific dollar amount that reduces the amount of income on which you're taxed.
Benifits
an advantage or profit gained from something.
What does the W-2 report do
shows important information about the income you've earned from your employer, amount of taxes withheld from your paycheck, benefits provided and other information for the year.
What is the average pay for overtime hours
1.5 times the employee's regular pay rate
Name two documents from list B
List B documents establish only identity
Why did the government create itemized deductions
4 Examples
help some taxpayers lower their annual income tax bill more than the standard deduction would provide.
Commissions
an instruction, command, or duty given to a person or group of people.
What time frame does a W-2 cover
12/31/20 thru 12/15/21
How many hours per week is considered Full time
40 Hours
What is the 1040 tax filing form designed for
to file an annual income tax return.
Two mandatory payroll deductions
Federal and state income tax, FICA taxes, and wage garnishments.
Invest Income
The income you get from an investment
Why are W-2 Forms filled out
to file your federal and state taxes.
Max worked 44 hours last week his regularly hour rate is 8$
What is his gross pay
368$=Max's Gross pay
Purpose of a 1040 tax filing form
to file an annual income tax return.
What percentage is taken out of your paycheck for each 2FICA deduction
7.65%