Chapter 23 Vocabulary

1. IRS- The agency that collects federal taxes and oversees the federal tax system.
- I had to call the IRS because of an error on my W-2.

2. Withhold- to take out, money from your paychecks to pay income tax due on your wages.
- My employer withholds money to pay for social security.

3. Income tax return- a form that shows how much you earned from working and made from other sources.
- I recieved my income tax return a few weeks ago, filed for my return, and will be recieving my check on tuesday.

4. Exemption- A fixed amount of money that is excused from taxes.
- Since I am under age, and my mom is claming me, there were no exemptions on my taxes.

5. Deduction- An expense that you are allowed to subtract from your income.
- There were no deductions on my tax retuen either.

6. Work Credits- measurements of how long you've worked.
At the Children's Courtyard, my director keeps track of work credits earned.

7. Disabled Worker- someone who cannot work because of a physical or mental condition.
- A co-worker of mine had her finger smashed in the door by a child, and cannot work for a while because of it. This makes her a disabled worker.

8. Medicare- A form of health insurance benefits which are paid to people who need hospitalization or other medical care.
- At my job, an employee must be "full-time" before recieving medicare benefits.

9. Unemployment Insurance- provides temporary income to workers who have lost their jobs.
- My grandfather lost his job last year and recieved a monthly check until he found another job to replace the old one.

10. Worker's Compensation- Benefits that are paid to workers who were injured on the job and to dependents of workers killed on the job.
-My co-worker that hurt her finger, is using workmens compensation to help pay for the medical bills.