Shared Flashcard Set

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Chapter 7
Personal Finance
26
Finance
12th Grade
05/07/2012

Additional Finance Flashcards

 


 

Cards

Term
earned income
Definition
Income from employment
Term
wage
Definition
A payment in exchange for an emplotee's laboror services. This payment, which is usually in money, is paid by the hour, day, or by the piece
Term
minimum wage
Definition
The lowest hourly wage employers can pay most workers by law
Term
piecework income
Definition
A wage that is based on a rate per unit or item completed
Term
salary
Definition
Payment for work that is expressed as an annual figure
Term
comimission
Definition
Income paid as a percentage of sales made by a salesperson
Term
tip
Definition
Money paid for service beyond what is required
Term
bonus
Definition
Money added to an employee's base pay. it is usually a reward for performance or a share of business profits
Term
compensation
Definition
payment and benefits received for work
Term
employee benefit
Definition
A form of nonmonetary compensation received in addition to a wage or salary
Term
gross income
Definition
A worker's earnings before deduction
Term
payroll deduction
Definition
An amount subtracted from gross income
Term
FICA (Federal Insurance Contribution Act)
Definition
The law that requires the collection of social security payroll
Term
net income
Definition
gross income minus payroll deductions
Term
unearned income
Definition
Earnings from sources other than work
Term
interest
Definition
Activities, subjects, ideaas, sports, or hobbies a person enjoys
Term
entitlement
Definition
A government payment or benefit promised by law to eligible citizens, such as Social Security and Medicare benefits, unemployment benefits, veterans' services, food stamps, and housing assistance
Term
Social Security
Definition
The federal governement's program for providing income when earnings are reduced or stopped because of retirement, disability, or death
Term
Medicare
Definition
A federal government program that helsp pay the medical expenses of people 65 and older and others with certain disabilities
Term
disability
Definition
A limitation that affects a person's ability to function in major life activities
Term
Medicaid
Definition
A government administered by the statesd that pay certain health care costs for eligible low-income individuals and families
Term
Form W-2
Definition
A wage and tax statement thay states the amount an employess was paid in the previous year.
Term
Form W-4
Definition
The emploee's withholding allowance certificate that tells how much tax to withhold from an employee's paycheck
Term
tax deduction
Definition
An expense that can be subtracted from a worker's taxable income
Term
exemption
Definition
A tax benefit that reduces the amount of income a person is taxed on
Term
tax credit
Definition
An amount that cna be subtracted from the taxes a worker owes, if eligible
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