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CFM

QuestionAnswer
biweekly occurring every two weeks
dependent a person who relies on another, especially a family member, for financial support.
direct deposit the electronic transfer of a payment from the account of the payer to the recipient's account.
earned income money from paid work.
employee a person employed for wages or salary.
employer a person or organization that employs people.
exemptions the process of exempting a person from paying taxes on a specified amount of income for themselves and their dependents.
federal income tax a tax on workers' salaries
fica Federal Insurance Contributions Act - united states payroll tax directed to employees and employers.
fringe benefits an extra benefit supplementing an employee's salary - company car, meals, heathcare.
gross income sum of all wages before any deductions or taxes.
hourly wage the hourly rate an employee is paid.
income tax tax on personal income.
medicare tax tax that goes to medicare.
net income Net income is calculated by subtracting expenses from gross income.
overtime pay money earned at an increased rate for working more than the usual number of hours in one week
profit sharing a system in which the people who work for a company receive a direct share of the profits.
salary a fixed regular payment made by an employer to an employee.
sales commissions The amount of money that an individual receives based on the level of sales made.
social security tax tax that goes to social security program.
tax deduction deduction that lowers a person’s tax liability by lowering his taxable income.
tips money given to a worker from a customer for the work performance.
w2 form it’s the "wage and tax statement" that discloses your taxable income for the year.
w4 form On the form, employees claim withholding allowances.
withholding allowance when you claim an allowance, you’re telling your employerthat you qualify not to pay a certain amount of tax.
Created by: arosario20
 

 



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