Taxes, Salary, Growth and Money

Choices
Part 1: What are Taxes
Answer the following questions and fill out the tables below.
1. What are Federal Taxes? A federal income tax is a tax levied by the United States
2.
3.
4.

5.

6.

Internal Revenue Service (IRS) on the annual earnings of individuals, corporations,

trusts and other legal entities.
What are State Taxes? Some local governments also impose an income tax, often based
on state income tax calculations.
Why do we have to pay taxes? The government uses taxes to pay for things that most
people use, such as roads, schools, libraries, police and fire protection.
What is the 16th amendment to the Constitution? The Sixteenth
Amendment (Amendment XVI) to the United States Constitution allows the Congress
to levy an income tax without apportioning it among the states or basing it on the United
States Census.
What is Gross Income/Salary? In the United States income tax system, adjusted gross
income (AGI) is an individual's total gross income minus specific deductions. Taxable
income is adjusted gross income minus allowances for personal exemptions and
itemized deductions.
What is Net Income? Net income (NI) is a company's total earnings (or profit). Net
income is calculated by taking revenues and adjusting for the cost of doing business,
depreciation, interest, taxes and other expenses.

Part 2: Salary and Taxes

CAcareerzone
Occupation

Lowest
Gross
Salary

Federal
Deduction
%

State
Deductio
n%

Annual
Net
Salary

Nurse

$69,110

-$17277.5

-$6427.23

$45405.27

Engineer

$43,850

-$10962.5

-$3508

$29379.5

Monthly
Net
salary
$3783.77
25
$2448.29
166

Taxes, Salary, Growth and Money

Choices
Part 3: Occupation Projections 2012-2022
1. Look up the top 5 highest, fastest and New Jobs in the U.S and list them
below

1
2
3
4

Physicians and surgeons, all other

Wind turbine service technicians

Personal care aides

Anesthesiologists

Occupational therapy assistants

Registered nurses

Orthodontists

Physical therapist assistants

Home health aides

Internists, general

Physical therapist aides

Combined food preparation and

serving workers, including fast
food

Obstetricians and gynecologists

Home health aides

Retail salespersons

2. Are any of your occupations in any of these categories?

Part 4: Make Money Choices

Taxes, Salary, Growth and Money

Choices

Taxes, Salary, Growth and Money

Choices