1. Which of these are benefits of a job as the term is used in this lesson?
a 401(k) plan
2. Which of these might workers’ compensation provide in at least some circumstances?
training to prepare an employee who was disabled by a workplace accident
3. What is an advantage of investing pre-tax dollars in a retirement account?
If you withdraw the saved money after retirement, you will most likely pay a lower tax rate on it.
4. Last year, $3,155.24 was withheld from your pay for federal taxes. When you calculate the amount of federal tax you owe, it comes to $2,791.80. What does this mean?
You will get $363.44 refund from the government.
5. What is the role of Medicare today?
to provide medical coverage for people over the age of 65
1. The benefit of a job that includes a 401(k) plan is that it allows employees to contribute a portion of their pre-tax income towards their retirement savings. This means that the money is deducted from their paycheck before taxes are applied, which can provide a tax advantage and potentially lower their overall taxable income.
To determine if a job offers a 401(k) plan, you can look at the employee benefits package provided by the company. This is usually included in the job offer letter or can be found in the company's employee handbook or benefits website. If you are already employed, you can ask your HR department or supervisor about the available retirement savings options.
2. Workers' compensation is a form of insurance that provides benefits to employees who suffer work-related injuries or illnesses. In some cases, workers' compensation may offer training to help an employee who was disabled by a workplace accident regain skills or acquire new ones.
To find out what benefits are provided by workers' compensation, you can review your company's workers' compensation policy. This will outline the specific benefits and services available to employees who are injured on the job. You can also consult with your HR department or supervisor for more information.
3. One advantage of investing pre-tax dollars in a retirement account is that it allows you to lower your current taxable income. By contributing to a retirement account with pre-tax dollars, you reduce the amount of income that is subject to income tax. This can potentially lower your overall tax liability in the present.
To take advantage of this benefit, you can enroll in a retirement account that offers pre-tax contributions, such as a traditional 401(k) or Individual Retirement Account (IRA). Your employer may offer a 401(k) plan, and if so, you can typically sign up for it during the onboarding process or through your HR department. If you are not eligible for an employer-sponsored retirement plan, you can open an IRA through a financial institution or brokerage firm.
4. If $3,155.24 was withheld from your pay for federal taxes, but you calculate that you owe $2,791.80 in federal taxes, this means that you have overpaid your taxes by $363.44. The excess amount will be refunded to you by the government.
To understand your tax situation and determine the amount of federal tax you owe, you can use tax software or consult with a tax professional. This will help you calculate your taxable income, deductions, and credits, which are used to determine your final tax liability. Once you have calculated your federal tax owed, you can compare it to the amount that was withheld from your paycheck to determine if you are owed a refund or if you need to make an additional payment.
5. The role of Medicare today is to provide medical coverage for eligible individuals who are 65 years or older, as well as certain younger individuals with disabilities. Medicare is a federal health insurance program that helps cover the costs of hospitalization, medical services, and prescription drugs for eligible beneficiaries.
To access Medicare benefits, individuals must meet certain eligibility requirements. This typically includes being a U.S. citizen or permanent resident, reaching the age of 65, and having paid into the Medicare system through payroll taxes during their working years. To enroll in Medicare, individuals can apply online through the official Medicare website or contact the Social Security Administration for assistance.