| A | B |
|---|
| Gross Pay | The total amount a worker is paid before any required or voluntary deductions are made |
| Net Pay | The amount a person receives when he or she cashes or deposits a check. |
| Federal Tax | The amount required by law for employers to withhold from earned wages to pay for federal taxes |
| State Tax | The amount required by law for employers to withhold from earned wages to pay for state taxes |
| Local Tax | A tax assessed and levied by a local authority such as a county or municipality |
| Social Security | Also called FICA, provides benefits for employees and their dependents: retired benefits, benefits for the dependents of retired workers, benefits for the disabled and their dependents |
| Medicare | The federal health insurance program for people who are 65 or older. |
| Year to Date | Describes the return so far this year |
| Leave Time | A scheduled time a person can leave |
| Childcare Assistance | This helps family pay for child care so parents can work, look for a job or attend school |
| Direct Deposit | The electronic transfer of a payment directly from the account of the payer to the recipients account |
| Allowances | The amount of something that is permitted, especially within a set of regulations or for a specified purpose |
| Dependent | Someone who is supported by a taxpayers inomce |
| Exemptions | Income that allows to be excused from a tax |
| Tax Deduction | This reduces the amount of income that is taxed. |
| Tax Credit | A tax incentive which allows certain taxpayers to subtract the amount of the credit from the total they owe to the state. |
