COPYRIGHTED MATERIAL
ANSWER KEY
went to college/got educated, what they majored in, what their first job was, what experiences helped them the most, where they worked, what associations, organizations and clubs they are part of… A 10. C 11. D 12. A 13. Students should indicate that on a resume, your objective is a short statement 9. 14. D 15. Acceptable answers include: community college, Career Technical Education, Academy/conservatory, military, overseas college 16. Acceptable answers include: imagine her ideal future life, research the career of someone whose career she admires, research professions that align with her interests, make a list of careers she knows she does not want, use cluster maps to find out what industries are dominant in areas that she wants to live ; identify industries that interest her. Beverly is Befuddled by Benefits 1. Base salary refers to what Beverly will earn, not including commission, bonus, or overtime. This indicates there is a possibility of earning more through commission, bonus or overtime. Contributions to the Social Security fund are not reserved in an account for the benefit of the employee. They are immediately paid out in benefits to currently retired workers all over America. Everything a company provides to an employee in exchange for working, includes base salary and employee benefits. If the job pays a bonus, overtime, or commission they are part of the compensation package. No. All employers are required by law to maintain workers compensation insurance for the benefit of their employees and must 2. 3. 4. describing how you can be of value to your employer, not how the job can be of value to you. 17. F 18. C 19. A 20. D
allow employees time off for jury duty and voting. Under the Affordable Care Act, Beverly is personally responsible for obtaining coverage if she works for a company that doesn’t have insurance. If this is her dream job she can take it and get her own coverage at healthcare.gov. Students should stay abreast of potential changes to the Affordable Care Act. 6. Employee Stock Ownership Plan; This is a benefit whereby an employer provides employees with an ownership interest in the company through a stock purchase plan. Stock is contributed to an account. The shares are allocated to individual employees. When employees leave the company, they receive their stock, which the company must buy back from them. Both are retirement plans. A defined benefit plan promises a specified monthly retirement benefit. It is a pension plan. With a defined contribution plan like a 401K, the employee, employer, or both, contribute money each pay period to the employee’s account and the contributions are invested for the employee’s retirement. Family and Medical Leave Act; This is a law that requires an employer to provide 12 weeks of unpaid time off to employees in the event of illness, the birth of a child, adoption, foster of a child, or to care for a sick family member; Company B does not have to comply with FMLA as it has less than 50 employees. Company A (California); State Disability Insurance aka SDI. 10. Company A because it has 12 paid days plus FMLA. 11. A 401K is a retirement plan. An employee makes pretax contributions which are often matched by their employer. The ability to pay in pretax dollars reduces the amount of taxes the employee pays. Participating in a retirement plan is very important to Beverly’s wealth building and future financial stability. 12. This is a popular employee benefit whereby an employee may contribute up to $2550 of their pretax salary into a designated account also called a flexible spending account (FSA). The account can be used for a variety of purposes such as childcare expenses or medical costs not covered by insurance. 5. 8. 9.
health, dental and vision care insurance plans which would otherwise be too costly; they are key to an employees ability to build wealth; they improve an employee’s quality of life; in the case of a retirement fund they are a major means of wealth-building for a secure financial future; they enable an employee to recover from an illness or take care of a sick family member without the fear of being fired. 14. A freelancer is an independent contractor — a self-employed person who provides goods or services to a company according to a contract. They are not an employee. An independent contractor provides some specialized skill or expertise the employer needs on a short term or project-to-project basis and receives no employee benefits from an employer. Currently, Beverly must obtain medical coverage under the Affordable Care Act or through a spouse’s health insurance plan. She may create her own retirement benefits through a Solo 401K or IRA. 15. Industry standard. Some industries have a tight labor market so employers must go all- out to compete for talent. Barney probably has in-demand skills in a tight labor market. 16. COLA stands for Cost of Living Adjustment. Her base salary will adjust periodically in the event of inflation as indicated by the Consumer Price Index which tracks the rise in the costs of consumer goods and services in the U.S. BONUS: Both base salaries are equal. Company A has a COLA, a Pension, healthcare insurance, FMLA, SDI, more sick leave, and a flexible spending account. If she works for Company B or freelances she must get her own healthcare coverage. Company B has fewer (6) paid sick days and no FMLA, but it does have a 401K As a freelancer she can set up a retirement account but she will have no paid sick days. Company A appears to be somewhat the better choice.
7. PRODUCT PREVIEW
Job Interview Practice
Student’s discretion.
Marcus’ Mumble & Fumble Job Interview
Student’s discretion.
13. They reduce the amount of taxes an
employee pays if paid with pretax dollars; they enable participation in plans such as
Answer Key 372
Made with FlippingBook - Online catalogs