Personal Finance Questions and Answers Graded A+

Personal Finance Questions and Answers Graded A+ Know how people develop human capital Increase your skills, knowledge, and experiences Difference between lifestyle and standard of living Standard of living-what you want in the future Lifestyle-what you have now Why is it important to invest in yourself? Increase your earnings, Unemployment decreases What is a transferable skill? Versatile skills that are applied to personal and professional roles, Creativity, cooperation, organization, Listening Difference between formal and informal educational training formal-Learn a specific set of skills usually from experts, Post-secondary education, Workshops Informal- learning that occurs in daily life, Networking, Reading Why is it important to complete a career assessment? To match our skills and abilities with possible careers What is Cost of Living and how do you compare it between cities? Cost of living-Average cost of basic necessities. average 100 more than hundred more expensive less than 100 cheaper What are employee benefits? Products or services provided by an employer that provide extra value beyond wages, Insurance, paid time off, wellness, retirement What taxes are you required to pay? Social Security, Federal, Medicare Commission A fee that a salesperson receives upon completion of a sale Dependent A person who relies on the taxpayer for financial support Direct deposit wages are deposited directly into a depository institution Employee benefits Employers may offer employee benefits in the form of products or services that add extra value for employees beyond earned wages Employer contributions the employer has contributed to various employee benefits Employment Agreement between an employer and employee Form W-4 The form that determines the percentage of an employee's pay that will be withheld for federal taxes Gross income Amount of money earned before payroll taxes Income tax taxes paid to federal,state, and local governments on the amount of money earned Medicare A federal program whose main purpose is to help pay for health care for those over 65 Net income Amount of money left once all deductions have been take from gross income paper paycheck a check written to a worker in the amount of money earned Payroll Card a reloadable debit card onto which worker's pay is loaded Payroll tax Taxes withheld or paid on your behalf by your employer Pay period the regular schedule by which employers pay employees Pay stub Outlines the deductions made to wages Salary Fixed amount of money or compensation paid to an employee by an employer in return for work performed Social Security A federal government program that funds retirement accounts, financially supports citizens who have experienced profound disability, the premature death of a parent(if under the age of 18), or the premature death of a spouse in a family with children Tax Liability Total tax bill Unemployment Insurance A source of income for workers who have lost their jobs through no fault of their own Workers' Compensation A state-sponsered system that pays monetary benefits to workers who become injured or disabled on the job Career A lifetime journey of building and applying skills, knowledge, and experiences in paid employment positions Career Cluster Grouping of occupations and industries based on the knowledge and skills required Formal continuing education Training for a specific set of new skills provided by experts in a particular field Human capital The skills, knowledge, and experiences possessed by an individual Industry group of establishments that produce similar products or provide similar services Informal continuing Education occurs through social interactions, networking, life's experiences, and reading Job an activity through which an individual can earn money Lifestyle your habits attitudes, tastes, moral standard and the amount of goods and services that you consume Occupation grouping of jobs that perform similar tasks Standard of living the level of material comfort as measured by the goods, services, and luxuries your to purchase Transferable skills Versatile skills that are applied to personal and professional roles Cost of living the average cost of basic necessities, such as housing and food