Studied by 3 people
wage
The amount paid to an employee for every hour worked.
salary
A fixed annual(yearly) sum of money divided among equal pay periods
commission
A method of paying an employee based on the amount of sales the employee generates. Commissions are normally calculated as a percent of employee sales.
$500
If you sell $5,000 worth of items and earn a 10% commission, how much money would you make?
payroll
The total amount earned by all employees for a pay period.
time clock
A device used to record the dates and times of every employee's arrivals and departures.
pay period
The number of days or weeks of work covered by an employees paycheck.
biweekly
employees are paid every two weeks. 26 times a year
weekly
employees are paid every week. 52 times a year
Medicare Tax
Tax withheld to pay for medical care for retired persons
gross pay, gross wages, or gross earnings
Total earnings.
overtime
pay earned for working more than 40 hours a week.
fair Labor Standards Act
This act requires most businesses involved in interstate commerce to pay employees at least 1½ times the normal hourly rate for hours worked in excess of 40 hours per week.
time and a half
is payment to a worker (or workers) at 1.5 times their usual hourly rate.
Entrepreneur
A person who takes the risks of being self-employed and owning a business
Net pay
The amount an employee receives after deductions have been subtractd
Benefits
Forms of pay other than salary and wages
Disposable Income
Money that is available to spend or save after taxes have been paid
Personal Leave
Paid time away from work for personal reasons
Sick Leave
Paid time away from work due to illness
Dividends
A portion of a corporation's profits shared with stockholders
Excise Taxes
Taxes charged on the purchase of specific good and services
In-cash Payments
Money in the form of a check, debit card, or other direct payment to a person needing assistance
In-kind payments
Payments made indirectly or in a form other than money
Property Taxes
Wealth taxes based on the value of owned real estate
Sales Tax
Taxes added to the purchase price of goods and services
Transfer Payments
Money and benefits received from local, state or federal governments
Unearned Income
Money received from sources other than working
Use Tax
Taxes based on the use of goods and services, such as parks
Dependent
A person who depends on you for more than half of his or her support
FICA
Social Security tax and Medicare combined
Required Taxes
Federal, state, social security and medicare
Retirement Plans
401K and 403B
W-4
Employee's Withholding Allowance Certificate form to be filled out before you start working
I-9
Employment Eligibility Verification form shows that you are eligible to work in the United State
W-2
A form used to report taxable income a worker received during the calendar year.
Exemption
A person claimed as a dependent on a tax return
3
The number of W-2 copies you will receive from your employer
April 15
Tax Day - the last day to file your income tax return
Workers' Compensation
An insurance plan that pays medical and disability benefits to employees who are injured on the job
Note
Flashcard