Gross Income The amount of a person's income before all deductions
before taking deductions or taxes into account. Maria’s gross income as
a day care worker was $1,500/month. Money earned before taxes
Net Income The amount of a person's income after taxes and other
deductions have been removed. Maria’s net income, her take home pay, as
a day care worker was $1,125/month. “Take Home Pay”
Interest Rate The percent interest that you can earn by leaving your
money in a savings account or checking account. The interest rate on my
savings account is 1.5 %
City Sales Tax The tax rate you have to pay when you purchase an item in a
specific city. The sales tax in Chicago is 10.25 %
Annual Salary The amount of money you earn per year. Maria’s annual
salary as a day care worker was $18,000/year.
