Personal Finance (Chapter 2)

What is the net pay after the deductions for Cards 26 - 28?

$1,060.25

How much does Constance earn in a week with benefits?

$10.00 (per hour) * 1.18 (wage + benefits) = $11.80 (Per hour with benefits) $11.80 (per hour) * 35 (hours) = $413.00 (Per work week with benefits)

Constance earns $10.00 per hour. Her benefits package is equal to 18 percent of her hourly wages. Constance works a 35-hour work week. How much does Constance earn in a week without benefits?

$10.00 (per hour) * 35 (hours) = $350.00 (Per week without benefits)

Gross Pay: $576.00 What are the total required deductions for Cards 21 - 23?

$101.66

Gross Pay: $1287.50 Calculate Federal Income Tax (10% of Gross Pay)

$128.75

Tang worked 52 hours last week. His hourly rate is $7.80. How much did he earn in overtime pay?

$140.40

Gross Pay: $1287.50 Calculate Medicare Tax (1.45% of Gross Pay)

$18.67

Tang worked 52 hours last week. His hourly rate is $7.80. What was his salary, not including overtime pay?

$312.00

Charlie worked 38 hours last week. Her hourly rate is $8.25. What was her salary, not including overtime pay?

$313.50

Charlie worked 38 hours last week. Her hourly rate is $8.25. What was his gross pay? (regular pay plus overtime pay)

$313.50

Maureen worked 48 hours last week. Her hourly rate is $8.00. What was her salary, not including overtime pay?

$320.00

Gross Pay: $576.00 Calculate Social Security Tax (6.2% of Gross Pay)

$35.71

Maureen worked 48 hours last week. Her hourly rate is $8.00. What was her gross pay? (regular pay plus overtime pay)

$416.00

Tang worked 52 hours last week. His hourly rate is $7.80. What was his gross pay? (regular pay plus overtime pay)

$452.40

Gross Pay: $576.00 What is the net pay after the deductions for Cards 21 - 23?

$474.34

Gross Pay: $576.00 Calculate Federal Income Tax (10% of Gross Pay)

$57.60

Sam's rate of pay is $7.65 per hour. He worked 32 hours last week. Compute his weekly pay.

$7.65 (pay per hour) X 32 (hours worked last week) = $244.80 (weekly pay)

Claire earns $750 per month. Her monthly job hours are 80. Compute her hourly pay.

$750 (pay per month) / 80 (numbers of hours worked) = $9.375 rounded to $9.38 (pay per hour)

Gross Pay: $1287.50 Calculate Social Security Tax (6.2% of Gross Pay)

$79.83

Gross Pay: $576.00 Calculate Medicare Tax (1.45% of Gross Pay)

$8.35

Jim makes $800 per month. Compute his yearly salary.

$800 (pay per month) X 12 (number of months in a year) = $9600 (yearly salary)

Maureen worked 48 hours last week. Her hourly rate is $8.00. How much did she earn in overtime pay?

$96.00

Bear Market

- May be a good time to purchase stocks because prices are lower - Prices are steadily decreasing - The economy is in a general slowdown

Bull Market

- Profit-taking may cause a temporary drop in some stock prices - It is a period of time when most people are working, wages are rising and most people are optimistic - Prices are steadily increasing

When was the internet bubble?

1995 - 2001

When was the housing market crash?

2008

How many varieties of spaghetti sauce did Howard make and take with him around the US?

45 variaties

Where does your tax money go?

61% - Mandatory Spending (2.5 Trillion) 31% - Discretionary Spending (1.3 Trillion) 8% - Interest on National Debt (325 Billion)

Cafeteria Plan

A benefits package that allows employees to select the options they want from a number of choices

Entrepreneur

A business owner who takes the risk of owning and operating a business

Disposable Income

Money a person has left over to spend or save after taxes have been paid

Transfer Payments

Money or benefits received from government without working for them

Unearned Income

Money received from sources other than working in a job

What was the brand that Howard worked on that caused him to have his big breakthrough? - And what was that breakthrough?

Pepsi and Vlassic Pickle Don't just improve your original - create new flavors. "Look for the perfect Pepsis, not the perfect Pepsi"

What three types of sauces do the typical Americans prefer?

Plain Spicy Extra Chunky

Systematic investing is a _________ approach to making an investment. You start with low risk liquid investments and then go to more risky investments so the principal will grow over time.

Planned

Charlie worked 38 hours last week. Her hourly rate is $8.25. How much did she earn in overtime pay?

$0

Gross Pay: $1287.50 What are the total required deductions for Cards 26 - 28?

$227.25

Tax

A required payment for the support of a government

Non-recession Proof Jobs (5)

Construction and Supporting Industries Home Furnishing Retail Auto dealerships and other motor vehicle sales Vacation travel Printing and Related Services

Paid Holidays

Days a worker is paid for working but does not actually work, such as Memorial Day or Veterans Day

Sick leave

Days for which a worker is paid even though he or she did not work due to illness

Personal leave

Days for which a worker is paid even though she or he is absent from work for personal reasons

Unit 2

Earning Income

Which of the three types of sauces mattered the most? Why?

Extra Chunky It was not available at the time. No one was making it or selling it

A simple federal tax return form designed for uses by single and joint filers with no dependents is...

Form 1040EZ

Benefits

Forms of pay for a job other than salary or wages, such as vacation days and holidays

All of the following are examples of mandatory payroll deductions EXCEPT...?

Health Insurance Premiums

Generally speaking, the more exemptions claimed on the W4, the _______ federal income taxes withheld from one's paycheck.

Less

Recession Proof Jobs (6)

Medical Professional Specialized care, therapy, and counseling Law enforcement Public Utility Services Financial Services Educational Services

Health insurance premiums, dental insurance premiums, and 401K contributions are all examples of _____.

Optional payroll deductions

Overtime

Paid when a person works more than 40 hours a week, but only if they are an hourly employee. Salaried employees do not receive overtime. Rate 1.5 times regular rate of pay

What was the first corporation that asked for Howard's help?

Pepsi

Employee Benefits

Profit sharing Paid vacation and holidays Employee Services Childcare Sick pay Leaves of Absence Insurance Disability insurance Bonuses and Stock options Pensions and saving plans Travel expenses

How is this an example of creativity by an entrepreneur?

Thinking outside the box and putting in the time to query the American people led to a great discovery that helped bolster business sales for Prego.

Money and benefits people receive from local, state, or federal governments are called

Transfer Payments

The I9 Form is completed so an employer can verify that the worker is eligible for employment.

True

Programs that reimburse employees for education costs...

can benefit the company because the worker has better skills

Social Security Tax

provides a system of old-age, survivors, and disability insurance

Who does Malcolm Gladwell talk about in the video?

Howard Moskowitz

Gross Pay

Includes regular hours times regular pay, plus overtime hours times overtime pay.

What was Howard Moskowitz's profession?

Psychophysicist

This form is completed when one is hired to determine how much Federal Income tax should be withheld from one's paycheck.

W4