chapter 14. what does fica fund? social security and medicare
TRANSCRIPT
Chapter 14
What does FICA fund?
Social Security and Medicare
What determines “means testing?”
income
Taxes that pay for older citizens, people with disabilities, and surviving family members of wage earners are called?
Social Security
What does the government collect from you so it can pay bills as they
come due?
Income taxes
A social welfare program that provides benefits to people who meet a certain
eligibility is called?
Entitlement benefit
A major source of tax revenue for local governments?
Property taxes
If you pay a tax based on the total bill, this is what kind of tax?
proprortional
Sales tax is proportional and this
regressive
How much is your tax if you get taxed 20% of the $40,000 you make?
8,000
Give an example of a tax deduction.
Home mortgage interest, donations, some medical expenses
What does FICA fund?
Social Security and Medicare
Is education spending discretionary or mandatory?
discretionary
A tax on gas is known as an
Excise tax
Give an example of mandatory spending
Social security
What happens to the money your employer takes out of your check?
Your employer sends it to the federal government.
Is a convenience store tax exempt?
no
What types of things does AZ spend tax money on?
State police, campgrounds, water, education
The main source of funding for schools comes from
Property tax
A tax on the value of money a person has when he dies
Estate tax
A tax of the same percentage for all income levels
Flat tax
A tax on money earned
Income tax
Tax on a company’s profit
Corporate income tax
Taking tax out of pay before you get it
withholding
Amounts you can subtract from your income
deductions
Final burden of a tax is also called…
Incidence of a tax
Entitlement program that benefits low income families, people with
disabilities and elderly
medicaid
Land and businesses
Real property
Not subject to taxes is…
Tax exempt
An official who determines the value of property
assessor
Income, property or good subject to a tax
Individual income tax
Form used to file taxes
Tax return
Use of taxation to discourage certain behaviors
Tax incentive
National health insurance to pay for health care for elderly
medicare
Revenue is equal to spending
Balanced budget
Spending on some programs is required by law
Mandatory spending
Spending category where government planners can make choices
Discretionary spending
Tax on imported good
tariff