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
- W-2A form your employer sends each year showing how much you earned and how much tax was withheld from your pay.
- WithholdingMoney your employer takes out of each paycheck and sends to the government toward your expected tax bill.
- Filing StatusA category based on your marital and household situation that affects your tax rates, deductions, and eligibility.
- Tax RefundMoney the government returns to you when you paid more tax during the year than you actually owed.
- Payroll TaxTaxes taken out of wages to fund programs like Social Security and Medicare, paid by both worker and employer.
More in Taxes
1099Adjusted Gross Income (AGI)Alternative Minimum Tax (AMT)Capital Gains TaxChild Tax CreditDependent
Plain-English education — not personalized legal, tax, or investment advice.