Economics of Energy and Employment (Physics-Econ Project)
Investigating Taxes and Energy Tax Credits: Steps to Becoming Independent
Understanding taxes and withholding
1 and 2) Do Modules #1 and #2 on basic types of taxes and withholding
apps.irs.gov/app/understandingTaxes/student/tax_tutorials.jsp
3 and 4) Do tax simulations #1 and #2 on how to fill out W-4 and 1040EZ forms
apps.irs.gov/app/understandingTaxes/student/simulations.jsp
**In your class notebook/binder, write down 1 question you have about EACH "module" or simulation. At the end, you should have 4 questions written down**
Careers
5) Look up starting salary on one of the following assigned STEM-related careers. Write down in your notebook the starting salary.
www.payscale.com/research/US/Country=United_States/Salary
Student A - High school diploma only (go to
www.bls.gov/ooh/, and choose "high school diploma or equivalent" under the drop-down menu for Entry Level Education, and "None" for On-the-job training. Pick a job from that list.)
Student B - Job: Nurse or Pharmacist
Student C - Degree: Chemistry
Student D - Degree: Computer Science
6) Then, using the same sites, look up more detailed salary information on your personal career choice in 5 years. Write down in your notebook the starting salary for that job.
Energy credits
7) Research on one possible IRS energy credit, Solar Power, and do a cost benefit analysis on solar power to see if it is an option for your own home
Calculate whether solar power is cost effective for your own home:
8) Explore different energy credits by IRS
turbotax.intuit.com/tax-tools/tax-tips/Home-Ownership/Which-Home-Improvements-Qualify-/INF12111.html
www.irs.gov/uac/Cut-Taxes-and-Save-on-Energy-Bills-with-Home-Energy-Credits
www.energystar.gov/about/federal_tax_credits
Hybrid cars: www.fueleconomy.gov/feg/taxevb.shtml
Student A – Getting solar panels installed
Student B – Buying a Prius Hybrid
Student C – Buying a Plug-in Prius
Student D – Buying a Tesla Model 3
9) Research on energy subsidies and see why/if we need them
www.economist.com/blogs/economist-explains/2015/07/economist-explains-19
blogs.wsj.com/experts/2015/09/14/why-renewable-energy-still-needs-subsidies/
10) Additional Reading: Economics of Renewable Energy and Cost Benefit Analysis (see the section on subsidies beginning page 27)
www.ase.tufts.edu/gdae/education_materials/modules/renewableenergyecon.pdf
11) With your personal career choice and its starting salary, look up the current tax rate and tax brackets.
Write it down in your notebook .
taxfoundation.org/2017-tax-brackets
12) Practice filling out W-4 and 1040EZ forms using the W2 of Billy H Dumb
Copy of the W-4 Form and Worksheet
Copy of 1040EZ Form and Worksheet
p.18 Earned Income Credit Table (for line 7 of your tax form)
p.33 Tax Table (for line 10 of your tax form)
www.irs.gov/pub/irs-pdf/i1040ez.pdf
