The Social Security Retirement Program Is Financed by a 10

question 559

Multiple Choice

The Social Security retirement program is financed by a 10.6 percent payroll tax that applies to earnings up to an income cutoff that is adjusted upward annually by the growth rate of nominal wages. As of 2011, the income cutoff was

• A) $15,000.
• B) $32,700.
• C) $106,800.
• D) $250,000.

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Definitions:

Mechanics

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Transitions

In writing or speech, transitions are words or phrases that connect ideas and sections smoothly, guiding the reader or listener from one idea to the next.

Biased Language

Language that reflects a prejudgment or partiality towards a certain viewpoint or group.

Goodwill

The positive reputation and supportive relationship a business or individual possesses, often considered as an intangible asset.