Everfi - Financial Literacy Questions and Answers 100% Pass

Everfi - Financial Literacy Questions and Answers 100% Pass W-4 Tells your employer how much federal income tax to withhold from your paychecks to send to the IRS Benefits available from your employer Healthcare, paid time off, disability insurance, and matching contributions to a retirement account Gig Economy A flexible market that allows you to work short-term, independent jobs Possible tax or deduction which may show up on your paycheck Federal income tax, Contributions to retirement savings, FICA What do you need in order to fill out your 1040 W-2, Your routing and bank number, A record of any other supplemental income There is no relationship between the level of education received and lifetime earnings (T/F) False W-2 A document your employer sends you that tells you how much you've made and how much you've paid in taxes in the last year When considering a job offer, you should only consider how much you're being paid before you accept the offer. (T/F) False Net Pay The amount of money you're paid, after all taxes and deductions are taken out of your paycheck is Good ways to track your budget Notebook and pencil, Online software app, Envelope method In your budgeting process, you look at recurring expenses before reviewing your wants (T/F) True Things to consider when creating a budget Charitable donations, entertainment expenses, and financial goals Bank statements, credit statements, and records of cash expenses help you to estimate your __. Expenses Rounding up your expense estimates to add a buffer with help ensure you don't go over your budget (T/F) True Benefits of using a budget Helps keep track of money you receive, helps to prioritize your spending, helps reach short- and long-term financial goals Unexpected expenses should be planned for (T/F) True Emergency Fund Helps you prepare for unexpected expenses What should you consider when setting a budget Needs and wants Going directly to a car dealer for a loan to keep things simple is a... Not great because they typically offer higher interest rates Using a loan could help you purchase a house (T/F) True What is a benefit of having a good credit score? When you need a loan, you'll have more loan offers to pick from To maintain a good credit score you must _____________. Manage your debt wisely A financial institution may offer for you to pay a little now and pay the rest after your next pay day if you are behind on loan payments (T/F) True Credit cards can help build credit history when paid off on time regularly (T/F) True If you are behind on loan payments, a realistic option is for you can ask to get out of your loan (T/F) False Access to investment advice is a common feature of a financial institution (T/F) False To avoid spending more than what is in your bank account, you should keep your own records to compare with your financial institution's records (T/F) True Stock A share of ownership in a corporation. Check cashing companies typically charge low fees (T/F) False If you pay your credit card balance in full each month, it will increase your credit score (T/F) True