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The many forms of income
money earned from work
25
Business
10th Grade
05/07/2012

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Term
Earned income
Definition
is the income you receive from employment.
Term
wage
Definition
is a payment for work and is usually computed on an hourly daily or piecework basis
Term
minimum wage
Definition
is the lowest hourly wage employers can pay most workers by law .
Term
piecework income
Definition
is a wage based on a rate per unit of work completed
Term
Salary
Definition
is a payement for workthat is expressed as an annunal figure
Term
Commission
Definition
is income paid as aprecentage of sales made by a salesperson
Term
Tip
Definition
or gratuity is money paid for srvice beyond what is required .
Term
bonus
Definition
is money added to an employee's base pay
Term
Compensation
Definition
is the payment and benefits received for work performed
Term
Employee benefit
Definition
is a fom of nonmonentary compensation received in addition to wage or salary
Term
Gross income
Definition
is wages or salary before income
Term
FICA
Definition
is 7.65 percent of earnings .
Term
Net income
Definition
is your gross income , minus payroll deductions
Term
Unearned income
Definition
is earning from sources other than work .
Term
Intrest
Definition
is paid by financial institutions , businesses, and government in exchange for the use of customers' money
Term
Entitlement
Definition
is a government payment or or benefit promised by law to eligible citizen
Term
Social Security
Definition
s a federal program that provides income when earnings are reduced or stopped because of retirement , serious illness or injury or death .
Term
Medicare
Definition
is a federal program that pays for certain health care expenses for older cititzens and others with disabilites
Term
disability
Definition
is a limitationthat affects a person;s ability to function in amajor life activites .
Term
Medicaid
Definition
is a goverment program that ppays certain health care costs for eligible low income individuals and families.
Term
Form w-4
Definition
when you begin a job they will ask your for this form
Term
form w-2
Definition
from each employer , 7-6 .
Term
Tax deduction
Definition
is an expense that can be subtracted from taxable income
Term
Exemption
Definition
is a tax ing allowable exemptions from your gross income
Term
Tax credit
Definition
is an amont you can subtract from the taxes you owe , if your are eligible .
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