Intro
Gross pay vs. Net pay
Retirement plans
Taxes and Deductions
Employee Forms
100

Needs

A Basic Need is a need for survival: food, water, shelter, and basic clothing.

100

Definition 


Net pay= Take home pay is your gross income minus payroll deductions 

Gross pay= Amount of earnings before payroll deductions

100

Definition of benefits 

Benefits are things that reduce your tax liability.                                                                                                                                                         

100

Why do we pay taxes

We pay taxes for funding for schools, roads, healthcare, and prisons. The government uses this tax money to make the community better and adds things that citizens won't. 

100

W4

- You fill the forms out

  • W4 Determines the percentage of gross pay that will be withheld for taxes. Use this form for     claim dependents (dependents= a person who relies on the taxpayer for financial support).
200

Wants

Something you desire or something you would like to have or do. 

200

Minimum Wage

The minimum an employer can pay you

200

401k (employer match)         

Retirement savings plan sponsored by the employer. 

200

Types of mandatory tax deductions 

Federal + state income tax, FICA taxes (fund retirement programs), and wage garnishments.
200

I9

  • You fill these forms out
  • I9 Proves that you're eligible to work in the U.S- Must provide forms of identification. 
300

Consumer Needs

Consumer need is the need for the individual consumer. 

300

Overtime Pay Rate

Workers that work over 40 hours are entitled to overtime work pay. 

Calculate it by multiplying 1.5(original salary)

300

Roth IRA (tax advantages)

Person to set aside after-tax income up to a specified amount each year. 

300

Types of voluntary deductions

Life insurance, healthcare, and retirement.

300

W2

  • Filled out by employer
  • Shows taxable income 
  •  Basically shows how much money was taken out of the paycheck
400

SMRT Goals

S- Smart

M- Measurable 

R- Reasonable 

T- Time-bound


For 3 months, I'm going to save 50% of my paycheck to buy new $100 skate shoes. 

400

Example Calculations 

Gross pay - deductions = Net pay

400

Pension

Employer funded plan. The employee receives regular payments in retirement.

400

Excise Tax

Taxes required on certain goods or services. Ex. tobacco, alcohol, and fuel.

400

1040

  • Form that individual taxpayers use to file their annual income tax returns.
500

Lengths of goals 

Short term- one year or less

Medium term- one to five years

Long term- five years or more

500

Examples of types of pay

Wages, overtime pay, salaries, tips, and commissions.

500

IRS

The IRS is a U.S government agency responsible for collecting taxes and enforcing tax laws. The taxes they collect are individual, corporation, estate, gifts, and excise. They also perform tax return, taxpayer service, and enforcement. 

500

Tax avoidance vs. tax evasion

Tax avoidance: Reducing your taxes     by claiming legitimate adjustments, tax deductions, and credits. 

Tax evasion: Failing to declare     all income or falsifying deductions, adjustments, or credits

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