Question: Generally, the more education you receive, the higher your lifetime earnings will be.

Answer: True

Question: There is no relationship between the level of education received and lifetime earnings.

Answer: False

Question: Bachelor’s Degree

Answer: a four year degree

Question: Associate’s Degree

Answer: 2 year college degree from a community college, university, college, or technical school. The recipient of an Associate’s Degree can then transfer the credits toward a 4 year Bachelor’s Degree.

Question: Net Pay

Answer: Amount of income left after taxes and deductions have been taken out.

Question: Gross Pay

Answer: the total amount of an employee’s earnings before deductions are taken out

Question: Possible tax deductions

Answer: Federal, State, FICA, Social Security

Question: Examples of taxes that are not deductions:

Answer: sales tax, property tax

Question: W-4 Form

Answer: Purpose is to inform employer of how much federal income tax to withhold from your paycheck.

Question: W-2 Form

Answer: Tells you how much you’ve made and hwo much you’ve paid in taxes in the last year.