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Income - Head Matters
Page 1 of 1
1. Which factors would likely lead to higher paid jobs? (choose two correct answers):
More qualified workers than jobs.
Job requiring specialized training.
Job requiring advanced education
Job requiring a silly uniform
2. Joe learns that a certain field is red hot. He spends two years and extensive money to prepare for the field. Why might he fail to get a job?:
Many others also trained for the field.
Joe has the certificate but not the aptitude.
All of the answers are correct.
Job market changed.
3. What factors might depress the pay of a job?:
High skill level requirements
High demand.
High labor supply.
4. Which is the better question when choosing a career?
Do I have an aptitude for advancing in the field?
Will the career pay what I hope to make?
5. True or False: More training always leads to more money.
True
False
6. True or False: A high school diploma doesn't increase average pay more than not having one.
False
True
7. True or False: A college graduate with a bachelor's degree earns about 80% more than a high school graduate.
False
True
8. True or False: It is always best to find out the hot job and get training in that field.
False
True
9. True or False: You should choose a career that meets your interests and skills.
False
True
10. True or False: A low skill job may pay more when few people are available.
True
False
11. Common features of all tax-deferred savings plans are (choose two correct answers):
Tax-deferred earnings.
Tax-deferred contributions.
Employer match.
High rates of return.
12. Earnings on most retirement savings investment plans:
Are subject to employer success.
Are always higher than pre-tax earnings.
Are not guaranteed.
Are guaranteed by the federal government.
13. Earnings that are tax-deferred:
Are subject to federal income tax annually.
Must be reported annually.
Will be taxed upon withdrawal.
Earn higher rates of return.
14. Contributions that are tax-deferred (choose the incorrect answer):
Are taxed at a lower rate.
Are not reported as income.
Are taxed upon withdrawal.
Are not taxed annually.
15. The type of employer-sponsored savings plans available to employees:
Are standard options all employers must offer.
Will vary with the type of employer.
Must be made available by all employers.
16. Employer-sponsored tax-deferred savings plans vary by (choose two correct answers):
Who's eligible to contribute.
The maximum amount that may be contributed.
The types of jobs employees have.
The age of the employee.
17. All funds contributed to a tax-deferred savings plan:
Can only be withdrawn when an employee is vested.
Can be withdrawn at any time without penalty.
Can only be withdrawn at retirement.
Will be taxed at some time.
18. The advantages of pre-tax employee contributions to tax-deferred savings plan are (choose two correct answers):
An employee has less taxable income.
An employee has less income tax withheld.
An employee can avoid paying income tax on the savings contribution forever.
An employee will have higher take-home pay.
19. Although future earnings on savings are not often guaranteed, an employee can estimate what they might be. When calculating an estimate of future earnings in savings, certain factors should be considered. What are they?:
Future contributions
Future inflation
Possible rates of return in the future
All of the answers are corrcet.
20. True or False: You should begin to take advantage of any employer-sponsored savings plan offered immediately.
False
True
21. True or False: Gross income includes only wages and salary earnings.
True
False
22. Tax deductions:
Are illegal "loopholes."
Provide an incentive for taxpayers.
Will always raise a tax bill.
Only benefit the rich.
Only benefit the poor.
23. Tax credits:
Are another name for a tax deduction.
Are like tax deductions, they reduce the adjusted gross income.
Directly reduce the amount of taxes owed.
Are used by states but not by the federal government.
Calculating...
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Introduction
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What Affects Income
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Taxes and Benefits
Page 1
Page 2
Employer Savings Plan
Page 1
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Page 3
Career, Education, and Skills
Page 1
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Page 3
Page 4
Summary
Page 1
Introduction
Page 1
Recap Head Matters
Page 1
Examine Irrational Beliefs
Page 1
Page 2
Identify Irrational Beliefs
Page 1
Page 2
Summary
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