A fuller guide to this term is on the way. In the meantime, the related terms below explain the ideas around it.
Related MoneyPedia terms
- Self-Employment TaxThe Social Security and Medicare tax that self-employed people pay to cover both the employee and employer shares.
- 1099A family of forms reporting income you earned outside a regular job, such as freelance work or investment payouts.
- WithholdingMoney your employer takes out of each paycheck and sends to the government toward your expected tax bill.
- Underpayment PenaltyA charge for paying too little tax during the year through withholding or estimated payments.
- Taxable IncomeThe portion of your income left after deductions that the government actually applies tax rates to.
More in Taxes
Adjusted Gross Income (AGI)Alternative Minimum Tax (AMT)Capital Gains TaxChild Tax CreditDependentDividend Tax
Plain-English education — not personalized legal, tax, or investment advice.