Types of Income
When you are paid hourly, you earn a set rate per hour worked. The more hours worked, the more you earn?
What is Hourly Wage
In America, every state has state taxes. True or False?
False
Define Net Pay
The amount of money you take home after all taxes and deductions are taken out of your paycheck.
P=
Problem
Mr. Neithercut lives in what city
Sugar Hill
Define Salary?
Being paid a salary means that your total yearly earnings are set in a contract. Pay schedules vary, but the paycheck amount is typically fixed per pay period and you do not earn more if you work more hours.
Define Proportional Tax
All taxpayers pay the same percentage of their income
The total amount of money you earn before any taxes or deductions are taken out.
Gross Pay
A=
Alternatives
Coach Pleasant has two daughters. How old are they?
13 and 10
Define Capital Gaines?
When you own shares of stock and sell them at a higher price than the original purchase price, you earn a capital gain. If you sell at a lower price, this would be a capital loss.
Impact of Progressive Tax
People with higher incomes pay a higher percentage than those with lower incomes
The total amount of money taken out of your paychecks so far this year for things like taxes, insurance, and retirement.
Y-T-D Deductions
C=
Criteria
What kind of car did Mr. Neithercut drive before he bought his current car?
Honda Accord
This is the main form people in the United States use to file their federal income taxes with the IRS each year. It reports how much money you earned, what tax credits or deductions you qualify for, and whether you owe taxes or get a refund.
1040 Tax Form
Impact of Regressive Tax
Taxes that are a flat rate are a larger percentage of a lower income level
Define Year-to-Date net pay
The total amount of take-home pay you have received so far this year after all deductions.
E =
Evaluate
Mr. Neithercut has 3 children but how many cats does have?
2
Summarize the purpose of Budgeting
To create a plan for how to use your money so you can cover your needs, control your spending, and save for future goals.
What are some pros and cons of paying taxes?
Taxes help fund services that protect and support society, but they reduce the amount of personal income people keep and can feel unfair or complicated at times.
Explain the importance of reconciling your checking account
It makes you aware of your true finances and helps prevent overdraft fees
D =
Decision
Mr. Neithercut's wife went East Hall High School. True or False.
True.