Name: _______________________ _____ /20

CALM 20 – Quiz

Multiple Choice: For each of the following questions, select the letter of the answer that best
answers the question.

1) What is a Canadian Pension?

a) A yearly benefit that you get after you retire.
b) A monthly, taxable benefit that replaces part of your income when you retire
c) A tax on your pay cheques that goes towards retirement communities
d) A charge that retired people pay to the government because they are not working.

2) What is Employment Insurance?

a) Money that employees pay to give them job insurance
b) A tax that employees get charged that go towards insurance for the company they work for
c) Provides temporary income support to unemployed workers while they look for employment or
to upgrade their skills
d) Money that goes to your boss because they employed you and you do not want to loose your job

3) What is income tax?

a) Tax levied by a government directly on income, especially an annual tax on personal income
b) Tax you pay to the your company for giving you an income
c) Tax that you pay if you do not have a job or income
d) Tax that your company takes from your pay cheque

4) What are Union Dues?

a) Money that is taxed onto a union
b) Monthly income that your union gives you because you work for them
c) Money that people take from a union when they do not have a job
d) Monthly contributions members make to the union based on their working status.

5) Who has to pay Union Dues?

a) Professional jobs
b) Health Care jobs
c) Education jobs
d) Labourers
e) A, B, C
f) B, C, D
g) None of the above
Short Answer: Answer the following questions in sentence form. Only 1-2 sentences needed for
each (feel free to write more if needed). Check how much the question is worth to ensure you
have enough information written for full marks.

1) What does gross income mean? What does net income mean? What is the difference between the
two? 3 marks

2) What is the difference between a fixed expense and a variable expense? (*Hint – define them). 2
marks

3) What is the difference between a need and a want? 2 marks

4) You just got a job that pays $56,000 yearly before taxes. Figure out your Federal Tax Deduction, and
Provincial Tax Deduction, using the charts below. 7 marks

Federal -

Federal Tax on Taxable Income Manual Calculation Table

If your taxable income is $47,630 or less:
Enter your gross yearly income Line 1
Base Amount -0.00 Line 2
Line 1 minus line 2 = Line 3
Federal Tax Rate X 15% Line 4
Multiply the amount on line 3 by tax rate on line 4 = Line 5
Tax on the amount from line 2 -1721.00 Line 6
Add lines 4 & 5 = Line 7
If your taxable income is $47,629, but not more than $95,259:
Enter your gross yearly income Line 1
Base Amount - 47,629.00 Line 2
Line 1 minus line 2 (This amount cannot be negative) = Line 3
Federal Tax Rate X 20.5% Line 4
Multiply the amount on line 3 by tax rate on line 4 = Line 5
Tax on amount from line 2 + 5071.00 Line 6
Add lines 5 & 6 = Line 7

Provincial -

Alberta Tax on Taxable Income Manual Calculation Table

If your taxable income is $131,220 or less:
Enter your gross yearly income = Line 1
Provincial Tax Rate X 10% Line 2
= Line 3
Subtract Base Amount -1845.00 Line 4
Alberta Provincial Tax Amount = Line 5

5) What are your thoughts on the Twenty-Something Project so far? Do you find it helpful? Realistic?
Please share your thoughts below and explain. 1 mark