Terms to Know
What is a paycheck?
the payment that your employer will give to you for a set amount of time
How much is federal income taxed?
12%
How often are your paychecks taxed?
every paycheck
What is a pay period?
The set amount of time in which you are receiving compensation for
What does SS stand for?
Social Security
What is an example of what income taxes are used for?
what is gross income?
the amount of money you earn BEFORE anything is taken out?
What does GMP stand for?
Gross Monthly Pay
what do you divide your annual gross salary by when looking for your monthly gross salary?
12
what is income taxes?
the amount of money that a government requires people to pay according to their income, the value of property, etc
Medicare tax %??
1.40%
Is gross or net pay higher?
gross - before taxes are taken out
What is the term for your take home pay?
Net Income
Out of all 4 we have calculated today, what taxes are the highest to pay?
Federal Income Tax
To calculate deduction amount you have to take your monthly gross pay * _______
tax amount as a decimal