Everfi Module 7 Insurance And Taxes

Young, inexperienced drivers

You own a home.

You have health insurance with a $500 deductible.

Both A and B (Health Insurance and Retirement Savings)

Net Pay is how much you've made during a pay period, YTD Net Pay is how you've made this year.

W-4

financially protect against unexpected accidents

Jan pays $70 each month for her auto insurance policy. This regular payment is called a:

Your yearly earnings.

Sales tax

$700

Either A or B (High deductible plan and Low deductible plan)

Capital Gains Tax

Taxes at the local, state and federal level are all equal

Low deductible plan

A tree branch breaks your bedroom window during a storm.

Sales Tax

An end-of-year tax form that is used to determine the amount of income tax owed to the IRS. If your tax situation is simpler, you can fill out a 1040EZ form - which can be submitted by paper or online.

This form determines how much money will be withheld from your paycheck for taxes.

Which shows you how much you made and how much you owe in taxes; comes from employer on January 31st

The amount you have earned in the year so far

Amount taken out of your paycheck to pay for taxes

A tax that pays for the retirement benefits for people who are currently retired and for future retired

An optional retirement savings plan sponsored by your employer

Based on how much money you earn each year; the fed. govt. charges income tax to everyone who earns money (is deducted from your paycheck and is paid to the state and federal govt)

Based on how much you earn annually; the percentage of your income that is taxed varies between states The income tax paid to the state you live and/or work in. The amount of income tax varies by state, and some states don't have income tax at all!

Based on the value of owned property, like land, buildings, or houses. The property tax rate depends on your state, local jurisdiction, and the value of your property (is usually collected by local govt and supports local things)

Charged on any profit you make from selling something at a higher price than you bought it; usually from the sale of stocks, bonds, or property

A tax on a sale of merchandise or services (only used in some states)

Are required charges from the government that pay for certain government services, like the fire department, public schools or police protection.

monthly cost for insurance

Amount you must pay before you begin receiving any benefits from your insurance company

Driving records, tickets, types of cars, grades

The less your insurance policy will cost.

Refers to how much protection you are eligible to receive under your insurance plan. It is more expensive to have more of this

The request you make to your insurance company for payment based on the terms of your insurance

Term used in medical insurance. It is a fixed fee that you pay for covered medical services

Protects other people and their cars, is required in most states

Homeowners overs home and possessions, renters only insures items in your home

insures cost of any medical expense, but the amount of coverage depends on the type of insurance policy

helps cover lost income when an illness or injury prevents you from working

Ensures that another person (your beneficiary) will be financially protected if you pass way

Is a way of managing risk. Without insurance, when bad things happen, you have to pay for all costs out-of-pocket.

Insurance is a way of managing risk. Without insurance, when bad things happen, you have to pay for all costs out-of-pocket.

Auto insurance is required by law in most states for those who drive, because it protects you and other drivers on the road. If you cause an accident, your insurance will pay for some or all of the damage caused to others and their vehicles.

Can protect you from paying for damages in the case of a burglary, fire, or other incident at your home. Homeowners insurance covers your home as well as your possessions inside it, while renters insurance only covers the items in your home.

Health insurance helps cover the cost of any medical expenses, including doctor visits, prescriptions, trips to the emergency room or stays in the hospital. The amount of coverage depends on the type of insurance policy you have.

Disability insurance helps cover lost income when an illness or injury prevents you from working.

Life insurance ensures that another person (your beneficiary) will be financially protected if you pass away. The beneficiary can be a spouse, child, parent, or another designated person or legal entity.

Coverage refers to the range of protection you are eligible to receive from your insurance plan.

The premium is the amount you pay the insurance company for coverage. Premium payments may be due all at once or divided and paid on a regular basis, usually monthly.

A claim is the request you make to your insurance company for payment based on the terms of your insurance. If you get into a car accident, you may submit a claim to your auto insurance company to request they pay the repair bill for you.

The deductible is the amount you are personally required to pay "out-of-pocket" toward each claim before your insurance kicks in. The cost of your deductible is in addition to your premium.

Co-pay is a term used in medical insurance. It is a fixed fee that you pay for covered medical services. For example, your insurance plan may require you to pay a small sum, which is your co-pay, when you visit the doctor's office.

co-pay

premium

deductible

premium

Coverage refers to how much protection you are eligible to receive under your insurance plan. Generally, it is more expensive to have more coverage.

An insurance policy requires that you pay a premium for coverage. The deductible is the amount you must pay in the event of an accident or other claim. In general, the higher your deductible, the less your insurance policy will cost. This is because you are covering more of the cost of a potential claim.

low deductible

low deductible plan and high deductible plan

no insurance, low deductible plan, and high deductible plan

Local, state, and federal taxes are required charges from the government that pay for certain government services, like the fire department, public schools or police protection.

Based on how much money you earn each year. The federal government charges income tax for everyone who earns money.

Based on how much money you earn annually. The percentage of your income that is taxed varies between states. Some states don't charge a state income tax.

Charged on items you purchase. Most states charge sales tax every time you buy something. The sales tax percentage varies across states.

Based on the value of owned property, like land, buildings, or houses. The property tax rate depends on your state, local jurisdiction, and the value of your property.

Charged on any profit you make from selling something at a higher price than you bought it. Capital gains are usually from the sale of stocks, bonds, or property.

When starting a new job, you will fill out the W-4 tax form. This form determines how much money will be withheld from your paycheck for taxes. At the end of the year, your employer will send you a W-2 form. You can use this to complete and submit your taxes to the IRS.

income

Unless you make more than $1,500 in interest from bank accounts and other investments this year, this line will be zero.

Unless you have lived in Alaska for over a year and have received unemployment compensation this year, this line will be zero.

This is what you get if you add lines 1, 2 and 3. Line 4 = Line 1 + Line 2 + Line 3 Line 4 = 48,500 + 0 + 0 Line 4 = 48,500

Until you get married, you should check the "You" box and write the amount for a single person. In this case, $10,000.

To fill out line 6, subtract line 5 from line 4. Click on the amount you should write on line 6.

Unless you are over 25, or have a child, you should write down "zero" for this line.

This number is found by looking up your taxable income in line 6 in a tax table that comes with the 1040EZ form. For your income, the amount is $5,560.

To fill out line 9, add line 7 and line 8a together. Click on the amount you should write on line 9.

Sales Tax

Health insurance with $500 deductible

$300

Taxes at the local, state, federal levels are all equal

W-4

$700

Sales Tax

Young, inexperienced drivers

Unexpected accidents

Premium

Coverage premium claim deductible co pay

Refers to range of protection you are eligible to receive from your insurance plan

Amount you pay the insurance company for coverage. Premium payments may be due all at once or divided and paid on a regular basis usually monthly

Request you make to ur insurance company for payment based on the terms of your insurance

Amount you are personally required to pay out of pocket toward each claim before your insurance kicks in

A fixed fee that you pay for covered medical services

The insurance company balances low risk drivers with high risk drivers. The insurance company charges higher rates to higher risk drivers

Federal income tax state income tax sales tax property tax capital gains tax

Based on how much money you earn each year the federal gov charges income tax for everyone who earns money

Based on how much you earn annually the percentage of your income tax that is taxed varies between states some states don't charge a state income tax

Charged on items you purchase. Most states charge sales tax every time you buy something. The sales tax percentage varies across states

Based on the value of owned property like land buildings or houses the property tax rate depends on your state loan cap jurisdiction and the value of your property

Charged on any profit you make from selling something at a higher price than you bought it capital gains are usually from the sale of stocks bonds or property

Sales tax

Tax that pays for the retirement benefits for people who are currently retired and for the future retired population

The income tax paid to the state you live and or work in the amount of income tax varies by state and some states don't have income tax at all

Amounts other than taxes that have been taken out of your paycheck such as health insurance or retirement

Tax that pays for health care for people aged 65 and older

Optional retirement savings plan sponsored by your employer

Coverage premium claim deductible co pay

Refers to range of protection you are eligible to receive from your insurance plan

Amount you pay the insurance company for coverage. Premium payments may be due all at once or divided and paid on a regular basis usually monthly

Request you make to ur insurance company for payment based on the terms of your insurance

Amount you are personally required to pay out of pocket toward each claim before your insurance kicks in

A fixed fee that you pay for covered medical services

The insurance company balances low risk drivers with high risk drivers. The insurance company charges higher rates to higher risk drivers

Federal income tax state income tax sales tax property tax capital gains tax

Based on how much money you earn each year the federal gov charges income tax for everyone who earns money

Based on how much you earn annually the percentage of your income tax that is taxed varies between states some states don't charge a state income tax

Charged on items you purchase. Most states charge sales tax every time you buy something. The sales tax percentage varies across states

Based on the value of owned property like land buildings or houses the property tax rate depends on your state loan cap jurisdiction and the value of your property

Charged on any profit you make from selling something at a higher price than you bought it capital gains are usually from the sale of stocks bonds or property

Sales tax

Tax that pays for the retirement benefits for people who are currently retired and for the future retired population

The income tax paid to the state you live and or work in the amount of income tax varies by state and some states don't have income tax at all

Amounts other than taxes that have been taken out of your paycheck such as health insurance or retirement

Tax that pays for health care for people aged 65 and older

Optional retirement savings plan sponsored by your employer