Terms
This is a document that summarizes a person's pay for a specific pay period.
What is Paystub?
This gives you the amount of money you made BEFORE taxes are deducted.
What is gross pay?
Minimum wage in NY
What is $16.50?
The federal agency responsible for collecting income taxes.
What is the IRS?
If you overpaid your taxes throughout the year, you would likely receive this when you submit your tax return.
What is a refund?
This IRS form is used to report income from freelance or contract work, not traditional employment.
What is a 1099 form?
This gives you the amount of money you take home AFTER deductions are subtracted.
What is net pay?
This is when you work 35-40 hour per week
What is Full time?
This form is filled out when you start a job to tell your employer how much to withhold.
What is a W-4?
You are required to file taxes by this date
What is April 15th?
This term refers to a tax that increases as your income increases.
What is a progressive tax?
This tax helps fund retirement benefits and appears on your paystub as "FICA."
What is the Social Security tax?
This is when you work less than 30 hours per week
What is part-time work?
Payments to retired and disabled individuals.
What is Social Security?
This form is most commonly used by individuals to file their federal tax return.
What is the 1040?
An IRS form that tells the employer the correct amount of federal tax to withhold from an employee's paycheck.
What is a W-4?
Another name for withholdings
What is deductions?
When you make money without actively working for it, like through rental properties or dividends, it's called this.
What is passive income?
The Standard Deduction amount for the 2024 tax year.
What is $14,600?
When filing taxes, these reduce the amount of your income that is taxable.
What are deductions?
This is the form your employer gives you at the end of the year showing how much you earned and how much was withheld in taxes.
What is a W-2.
Your total take-home pay for the year so far
What is YTD Net Pay?
Money earned from investing in stocks or savings accounts is called this.
What is unearned income?
A mandatory deduction to pay for Social Security and Medicare
What is FICA?
These reduce the amount of tax you owe directly, dollar for dollar.
What are tax credits?