How do you calculate Net Tax?

Tax before tax credits are removed

When you are paid based on the hours/work completed.

Take home pay

How do you calculate Gross Tax?

Money earned before deductions

How do you calculate Net Income (Take Home Pay)?

Tax payable

How do you calculate rate of tax?

When you are paid a fixed amount regardless on hours/work completed

Pays medical and disability benefits to employees injured on the job

Social security is the tax that pays for medical insurance for older adults.

Withheld from an employee’s wages or salary

Employees who are paid semi-monthly receive 26 paychecks per year.

Pay based on number of hours worked

What are the four most common taxes that come out of a person’s payroll check?

Overtime is calculated at 1.5 times an employee's regular rate of pay.

Tax deductions are calculated as a percentage of net pay.

In most circumstances, which of the following persons can be claimed as a dependent on a Form W-4?

Federal law requires employers to pay a minimum wage.

Employees who are paid biweekly are paid twice a week.

Wages, salary and tips

Income that has not been worked for such as interest, dividends, or gambling winnings

Which form is used to report an employees earnings and taxes paid in a year?

By what date must employers provide, or place in the mail, a wage earner's W-2 statement?

Fixed rate of pay for week, month, or year

What government department collects personal income tax?

What is the deadline for filing personal income tax?

Unearned income is reported on your tax form and taxes must be paid on them.