Financial Literacy 5th grade

Income tax
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Terms in this set (16)
Income tax
money paid to the federal and state government out of a person's income as required by law
Payroll tax
tax an employer or company withholds
from its employees'
paychecks for the federal government as required by law
Sales tax
tax paid on a good or service that you buy from a store in addition to the cost of the item
Property tax
tax paid on the value of home, land, or building that you own as required by law
Income
money earned or received for completing a job or task
Gross income
the total amount of personal income before taxes and deductions
Net income
the total income that is left after taxes and deductions are taken from a person's gross income
Budget
a monthly or yearly spending and savings plan for an individual, family, business, or organization
Balanced budget
achieved when expenses do not exceed income and spending does not exceed savings
Check
a written document telling your financial institution to pay a specific amount to a specific person, business or organization
Debit carda card that is directly linked to your checking account so that a person can withdraw money, make deposits, or make purchasesCredit carda card used to borrow money from financial institutions (banks), stores, or businesses in order to buy products on creditElectronic paymentpayment made through the internet through a secure networkDepositmoney put into an account for spending or savingsWithdrawalmoney taken out of your account for purchases or paymentsExpensepayment for goods or services