Income Basic
This term refers to money earned or received as a result of economic activity.
Income
This is the payment received for each hour worked.
Wages
This type of unearned income is received as a cost of lending money.
Interest
What type of tax is based on what you earn?
Income Tax
What tax is applied to the value of real estate?
Property Tax
The two primary types of income?
Earned income and Unearned income
This fixed annual amount is paid to employees in regular increments.
Salary
This payment to shareholders comes from a company's profits or reserves.
Dividends
What two things does FICA fund?
Social Security and Medicare
Who pays the estate taxes and who pays the inheritance taxes?
Estate taxes are paid by the estate; inheritance taxes are paid by the beneficiaries.
Income enables you to save, invest, and plan for this.
Future
In the U.S., employers must pay overtime at this percentage above the regular wage.
50%
This is the profit earned from selling an asset at a higher price than its purchase cost.
Capital Gains
How much does the self-employment person pay for FICA tax?
15.3%
What type of tax is sometimes imposed on the wealthiest citizens?
Wealth Tax
Earned income is considered "active" income, while unearned income is often referred to as this.
Passive Income
This type of payment is a percentage of revenue generated by an employee’s efforts.
Commission
A landlord earns this income from tenants for using their property.
Rent
What tax is applied when you make a purchase?
Sales Tax
Name two of the proceeds of property taxes often used for?
Funding schools, roads, emergency services, libraries, police departments, and fire department
This phrase describes the idea that prior earned income can be invested to generate more income.
It takes money to make money.
Freelancers or contractors earn income through this type of work.
Self-employment
Retired workers often receive income from these financial plans, like 401(k)s or pensions.
Retirement Income
Which state does not charge sales tax?
Delaware
What federal tax provides financial assistance to unemployed workers?
The Federal Unemployment Tax Act (FUTA)