Personal Finance Chapter 2 Review

Perks provide emotional satisfaction or social status rather than money.

A dividend is money shared with stockholders when a corporation makes profits.

The overtime pay rate for hours worked above 40 hours in one week must be at least

Workers are taxed on most of the benefits they receive from employers.

Taxes & deductions for other items are subtracted from a workers gross pay to calculate net pay

Salaried workers usually do not keep time cards or count hours worked.

The more you pay in taxes, the lower your disposable income.

The following are examples of pay without work except

Perks are benefits that employees find rewarding.

A benefit often received by full-time workers is

The amount of a paycheck after deductions is called

Workers’ compensation is a form of in-cash payment.

The total salary or wages earned during a pay period.

Insurance for illness or injury ( not job related)  which prevents employee from working.

Social security tax

Owning a small business involves hard work but very little risk.

Beginning in 2019 Form 1040 is the tax return form filed by people.

Paid time away from work due to illness is called

Sales taxes are a form of indirect tax.

A person who takes the risks of being self-employed and owning a business

Small businesses employ more workers than all of the country’s large corporations combined.

Workers’ compensation insurance pays same amount to all workers regardless of worker’s earnings

Medicare tax must be paid on all earnings by all employees.

The more exemptions a worker claims, the less tax is withheld from his or her paycheck.

W-4 is used by employees to list their exemptions & det tax withholdings from their paychecks

Most forms of unearned income and variable income are not taxable.

Which payroll deduction is required by law?

Which form do workers have to complete to verify they are eligible to work in the U.S.?

Interest and dividends are forms of unearned income that are taxable.

A percentage of a sale paid to a salesperson is called a

Vacation days, holidays, and sick leave are examples of pay without work.

Programs that reimburse employees for education costs

A dividend is

Portable life insurance means you can take the policy with you when you leave your job.

A fast, safe way to file a federal tax return electronically.

A married person with five children filing a joint tax return may claim

SS & Medicare benefits are entitlements because people have paid into these programs.

Some states have minimum wage laws that set a higher rate than the federal minimum wage rate.

A business that starts small but is designed for unlimited grow is called a ___________

A health flexible spending account allows emp to set aside $ to pay 4 qualified medical expense

The lowest pay rate allowed by law

The minimum wage for large companies and small companies in Mn is:

Which of the following is not true about public goods?

Which of the following type of tax is based on assessed value?

The following are examples of unearned income except

The amount left after all expenses are deducted from the revenues of a business is called

Sales taxes are collected against the final purchaser of goods and services.

A dependent is a person who can be claimed on your tax return for an exemption.