Gross vs. Net Pay
This is the amount you earn before deductions.
Gross pay
A deduction is a ____________ from your paycheck
Withdrawal
What is a budget
A financial plan that tracks your income and expenses
What is entreprenuership?
Starting and managing a business for profit
What do Federal Taxes pay for?
Federal Highways, national parks, military
This is the amount you actually take home after deductions.
Net pay
This deduction goes to the US government to fund programs
Federal tax
What is the difference between a fixed and variable expense?
Fixed - stays the same each month (rent)
variable - changes month to month (groceries)
What are the 4 Ps of marketing?
product
price
place
promotion
What is FICA
Social Security
If your gross pay is $1,284 and your deductions total $297 what is your net pay?
$987
This deduction goes to the government of KS for us
State tax
What is the 50 30 20 rule?
50% of budget pays for needs
30% of budget pays for wants
20% of budget goes to saving
Name three characteristics of entreprenuers?
Answers will vary
What are 2 optional deductions on your paycheck?
Health care, union dues, retirement
If your net pay is $500 and deductions are $120, what is your gross pay?
$620
This deduction funds income for adults over 62 and others who qualify
Social Security
Name two reasons a budget is important
to save for emergencies
to have a plan and make sure you have enough money to pay all of your expenses
A business can have lots of customers and still fail due to poor financial planning.
True or False
True
What are the manditory deductions from your paycheck
FICA
Federal Taxes
State Taxes
Medicare
If your gross pay is $600 and your net pay is $491, what did your deductions total?
$109
This deductions funds health insurance for adults over 65 and others who qualify
Medicare
What is the difference between a budget surplus and a budget deficit?
surplus - money left over after expenses are paid - your income exceeds your expenses
deficit - When you spend more money than you make
What is a target market?
a group of consumers whom a business aims its marketing towards
Figure out your gross pay if you 40 hours and make $20.00 per hour. You also worked 5 hours of overtime.
$850
40 x 20 = $800 20/2 = 10
5 x 10 = 50
800 + 50 = $850