Gross vs Net Income Review

Last updated 7 months ago
10 questions
1

Net income is a larger amount than gross income.

1

Gross income is all of the money earned, including taxes.

1

When a person receives their pay check, the amount paid is the net income.

1

You can find the gross income by adding the net Income to the taxes and deductions withheld from the check.

1

A deduction is subtracted from the net income.

1

The deductions and taxes plus the gross income equals the net income.

1

If an employee earned $600, but had to pay $65 in taxes and deductions, his gross income would be $665.

1

The gross income is the sum of the income taxes and payroll taxes.

1

If an employee earned $600, but had to pay $65 in deductions, and taxes, his net income would be $535.

1

Taxes and deductions are subtracted from the net income.