1. EARNED INCOME 2016

2. #1 WHERE DO PEOPLE RECEIVE MONEY?  Working  Investments  Government transfer payments

3. TYPES OF EARNED INCOME  Tax: a required payment for the support of a government.  #2 & #3 Wages  Minimum wage: the lowest pay rate allowed by law for each hour of work.  Overtime pay: when employees who are paid by the hour they are entitled to extra pay, at least 1 ½ times regular pay above 40 hours in a week.  #4Salaries  A set payment amount distributed over the course of a month or a year.  Workers do not keep time cards or count hours  Often have to work more than 40 hours per week NEVADA: $8.25

5. TYPES OF EARNED INCOME CONTINUED  #5  Tip: often a percentage of the total bill or a gift given to a person for performing a service  #6  Commission: a set fee or a percentage of a sale paid to a salesperson instead of or in addition to salary or wages.  What types of jobs earn commission?

6. SELF EMPLOYMENT  #7 WORKING FOR YOURSELF!  Entrepreneur: a person who takes the risks of being self-employed and owning a business  Profit: the amount left after all costs are deducted from the income of a business

7. EMPLOYEE BENEFITS  #8  Benefits: forms of pay other than salary or wages. ie: paid vacation and holidays  Cafeteria plan: a benefit plan that allows workers to choose from a number of options.  #9  Disposable income: the money a person has available to spend or safe after takes have been paid.  #10  Benefits are also important to workers for several other reasons:  *46 million people in the US are uninsured  The working poor  People working part-time who have no insurance coverage.

8. READ THE CHAPTER AND EXPLAIN THE FOLLOWING  Pay without work  Paid holidays  Sick leave  Personal leave  Educational Reimbursement  Perks  Insurance  Retirement Plans  Profit-sharing plans  Stock option plans  Health Flexible Spending Arrangements

10. EMPLOYEE BENEFITS CONTINUED  PAID TIME OFF!  #11  Paid holidays: Getting paid on a day you do not have to work. Typically working on holidays pays two times the regular rate of pay.  #12  Sick leave: covers days the worker is paid even though she or he is not at work due to illness  #13  Personal leave: time away from work for personal reasons.

11. EDUCATIONAL REIMBURSEMENT #13  Employers pay for you to get more education!

12. PERKS #14  Range from good benefits and high wages to a company car! THE BELLS AND WHISTLES YOU GET OUT OF THE JOB

13. INSURANCE  #15Health insurance  Premium: the price paid for health insurance, typically paid by employers and employees together.  Life insurance  #16Disability insurance: provides payments to replace income lost when illness or injury prevents the employee from working  #17 Workers compensation: an insurance plan that employers are required to provide for employees for getting hurt on the job.