| A | B |
|---|
| salary | set amount of money earned by an employee per year or other fixed length of time |
| wages | employee earnings that are paid by the hour, day, or item |
| piecework | wages are based on the number of items or pieces produced |
| commission | fixed percentage or amount of profit given to an employee in exchange for making a sale |
| tips | money given to an employee by customers in exchange for a service |
| minimum wage | the lowest hourly rate an employer may legally pay most workers |
| overtime | work in excess of 40 hours per week |
| vested | entitle to some or all of his money in the retirement plan when leaving the company |
| direct deposit | pay is electronically transferred directly into the employees bank account |
| gross pay | total amount of money earned for working during the pay period |
| deduction | anything that is subtracted from gross pay |
| net pay | the amount of pay an employee is left with after taxes and other deductions are subtracted from gross pay |
| allowances | factors that affect the amount of income tax withholding |
| dependent | someone who is supported by a taxpayer's income |
| tax deduction | reduces the amount of income that is taxed |
| itemized deduction | amounts actually spent on tax-deductible expenses during the year |
| standard deduction | a set amount the IRS allos without listing actual expenses |
| tax credit | subtracted directly from the amount of tax owed |
