Financial Literacy

What is income?

• A tax on sale of certain goods

• All money earned

• Money your employer takes

What is net income?

• amount of money government requires you to pay

• Tax on your job

• Income after taxes and deductions are taken out of your paycheck

What is gross income?

• Your income before taxes and other deductions are taken out of your paycheck

• Refunds

• 1099

What is sales tax?

• Taxes you pay on goods that you buy

• tax on the net value of an estate

• tax on your job

What is income tax?

• A tax on sales of certain goods and services

• tax on the net value of an estate

• taxes you pay on the money you make through a job

What is estate tax?

• A tax on sales of certain goods and services

• taxes you pay on inheritance you receive when someone passes away

• tax on your job depending on how much you make

What is property tax?

• A tax on sales of certain goods and services

• tax based on your land or property

• tax on your job depending on how much you make

What two types of taxes are always taken out of your paycheck?

• social security and medicare

• property

  income

• estate

  sales

What does the term withholding mean?

• Tax on a job

• Tax on an estate

• How much is taken out of your paycheck for things like taxes and retirement

When do you start paying taxes?

• At age 18

• when you make more than the minimum requirement of $12,550