Tax Forms
What does your employer send you in January that you need for your taxes?
W-2
When does the filing season/tax year begin?
What does FICA stand for?
Federal Insurance Contributions Act
What are the three layers on a paycheck?
Federal income tax, payroll tax (FICA), and State Income Tax
Is it a good thing to get big tax refunds every year?
No, you want your tax returns/refunds as closer to 0 as possible
What type of form do you fill out and give to your employer when you are hired?
W-4 form
When does the tax year end?
Dec 31st
What does it mean to be a dependent of someone for taxes?
It means you rely on someone for financial support and they will claim you as their dependent
How much of your paycheck is taxed for FICA?
7.65%
What are some things our taxes pay for?
Roads, public schools, fire and police departments, health programs, social security, etc.
What is freelancers version of a W-2?
1099-NECs
When are taxes due for people who requested an extension?
Oct 15th
False: Tax extensions don't exempt you from paying by April 15th
How much of your paycheck is taxed for social security?
6.1%
At what age can you no longer be claimed as a dependent?
Hint: there is 2 answers to this question
19+ for people who aren't full time students
24+ for people who were/are full time students
What is the form that tells your employer how much to withhold from your paycheck for taxes?
Hint: this is the answer to multiple questions
W-4
When is your last chance to claim a refund for a return that was never filed?
3 years from the original due date
What does withholding mean in the context of employers and employees?
Employers withholding tax from each paycheck for employees and sending it to the government
How much of your paycheck is taxed for Medicare?
1.45%
If you live with someone, can they automatically claim you as their dependent?
No, they have to pay for at least 50% of your costs, you have to be the age to be claimed, you have to live with them the majority of the year,
What is the information asked on a w-4 form?
Identity, Filing status (single, married), Job count, Dependents, etc.
What are the dates that freelancers typically pay their taxes on?
Hint: there are 4 dates
April 15th, June 15th, September 15th, January 15th
Why is social security important?
Poverty Reduction, Guaranteed Lifetime Income, Inflation Protection, Retirement Support, Broad Family & Disability Protection
Even if you pay no income tax, what are your wages still taxed on?
FICA
Can dependents be claimed multiple times in one tax year (can multiple independents claim the same dependent)?
No, dependent(s) can only be claimed by one indpendent