The first thing that I learned in financial literacy is about taxes. I learned about the different types of taxes, and how it effects your monthly pay. There are three kinds of tax: Progressive, Regresive, and Flat tax. Progressive tax is a tax that helps out poorer people because as your income goes up, so does your percent of tax you have to pay, so if you are making very little then you pay very little. An example of a progressive tax is Federal Income Tax. Next, a regressive tax is a tax that hurts poorer people because the tax rate effects you less as your income goes up, so it hurts poor people, while helps richer people. An example of a regressive tax is a sales tax. Finally a flat tax is a tax in which everyone pays the same amount of tax, however this may hurt poor people also because it would be a lot of their income, while very little income for rich people. A state tax is an example of a flat tax. A final tax is an excise tax, which is a tax on items the goverment doesn't want you to buy, such as cigarettes, liqour, gas, and large amounts of fountain drinks.