Employment Basics
A check for salary or wages made out to an employee
What is Paycheck?
A form employers must send to their employees each year. The form reports the total annual salary and the amount of money withheld from employees’ paychecks.
What is a W-2?
Shows the gross pay in the current pay period.
What is Earnings?
Most states charge income tax on the money you earn while working or through investments. This is separate from, and additional to federal tax.
What is State Income Tax?
An online program that helps an individual complete tax forms that can then be filed with the IRS.
What is Tax Preparation Software?
A set amount of money an individual earns for work completed. This is paid on a regular basis such as daily or weekly.
What is Wages?
A form that the U.S. government requires employers to give their employees. The form tells employers how much money they need to withhold from their paychecks to give to the government for their federal income taxes.
What is a W-4?
Shows the taxes taken out of the paycheck such as federal income tax, FICA (including Medicare and social security), as well as other taxes.
What is Taxes?
This is money that is withheld from an employee’s paycheck and used for federal, state, and local needs. The amount withheld varies based on income and local laws.
What is Income Tax?
A tax break that is given for each qualifying child.
What is Child Tax Credit?
A form of compensation that are in addition to a salary or wage. They can include social security and unemployment payments, different insurance options, company perks, and employee rewards.
What is Benefits?
A tax form that determines the amount of income tax owed in a single year.
What is 1040?
Show money taken out of the paycheck for employee benefits such as insurance or retirement plans.
What is Deductions?
A filing status in which a married couple combines their incomes and files one tax return.
What is Married Jointly?
A filing status for a person who pays more than half the cost of housing and supporting another person.
What is Head of Household?
Any form of money, property, or services that you earn or receive.
What is Income?
To verify the identity and employment authorization of individuals hired for employment in the United States.
What is I-9 Form?
Show how much money is received after taxes and deductions; also known as take-home pay.
What is Net Pay?
A filing status in which a married couple files two tax returns. Each spouse files a return using their own income and deductions. Couples filing as Married Filing Separate are not eligible for certain deductions or credits.
What is Married Filling Separately?
Eligible expenses that individuals claim on tax returns to decrease the amount of their income that can be taxed.
What is Itemized Deductions?
A set amount of money earned per pay period. It is usually described as the amount of money made per year.
What is Salary?
Shows the total amount of benefits you received from us in the previous year so you know how much Social Security income to report to the Internal Revenue Service on your tax return.
What is SSA-1099 Form?
The total amount of money earned before taxes and deductions are taken out of an employee’s paycheck.
What is Gross Pay?
Taxes an owner pays on the value of any owned property, including land, buildings, or houses.
What is Property Tax?
The Internal Revenue Service is a U.S. government agency that is responsible for collecting taxes and enforcing tax laws.
What is IRS?