Everfi Employment & Taxes Basic Banking questions and answers W-4 - correct answer A federal tax form filled out by an employee to indicate the amount that should be withheld from his/her paycheck for taxes.gig economy - correct answer a flexible market that allows you to work short-term independent jobs net pay - correct answer take home pay; the amount of a paycheck after all taxes and deductions have been taken out of your paycheck taxes - correct answer money paid to the Federal, State, and Local governments for schools, parks, roads, emergency services, etc.withholding (tax withheld) - correct answer tax payments taken out of an employee's pay before he or she receives it filing status - correct answer describes your tax-filing group which is based on your marital status (single, married filing separately, married filing jointly) personal allowances - correct answer Items or exemptions you can claim on your W-4 form that reduce the amount of tax taken out of your paycheck gross pay - correct answer the total amount of an employee's earnings before deductions are taken out FICA (Federal Insurance Contributions Act) - correct answer money that goes to Social Security and Medicare programs 1 / 2
Deductions - correct answer money taken out of a paycheck to pay for employee benefits like insurance or retirement plans W-2 - correct answer a form that tells you how much you've made and how much you've paid in taxes in the last year; you will use this to fill out your tax return standard deduction - correct answer an amount of money set by the IRS that is not taxed taxable income - correct answer income on which tax must be paid; total income minus exemptions and deductions 1040 - correct answer A tax form filled out by an individual and filed with the IRS that determines the amount of income tax owed in a single year routing number - correct answer nine digit bank code used in US on bottom left of checks used to identify the financial institution (bank) account number - correct answer the number that identifies a particular bank account benefits - correct answer Compensation in forms other than direct payment (health insurance, paid time off, disability insurance, retirement plan) health insurance - correct answer Provides money to pay for health care for illness or injury disability insurance - correct answer money that replaces some of your lost income if you are injured or sick and can't work retirement savings plan - correct answer an account into which employees contribute a portion of their earnings to save for their retirement; employers may match these contributions
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