Payroll Basics
This is the total amount an employee earns before any deductions.
What is gross pay?
This federal tax funds Social Security and Medicare.
What is FICA?
Starting in 2026, this will be the only Payroll vendor in NAM.
Who is ADP?
This type of deduction is required by law.
What is a mandatory deduction?
A worker paid a fixed amount annually is earning this.
What is a salary?
This document shows an employee’s earnings and deductions.
What is a pay stub?
This form is used to report annual wages and taxes to employees.
What is Form W-2?
This is the term for directly depositing employee pay into a bank account.
What is direct deposit?
Health insurance premiums are this type of deduction.
What is a voluntary deduction?
An employee paid per hour receives this kind of wage.
What is hourly pay?
The number of pay periods in a biweekly payroll schedule each year.
What is 26?
The percentage withheld for Social Security tax (as of recent rates).
What is 6.2%?
This is the name for storing payroll data on secure, remote servers.
What is cloud-based payroll?
These deductions reduce taxable income.
What are pre-tax deductions?
Earnings tied to employee performance, like sales, are this.
What is commission?
The term for the money an employee takes home after deductions.
What is net pay?
This form is filled out by employees to determine tax withholdings.
What is Form W-4?
This type of system combines payroll, HR, and timekeeping in one.
What is an HCM (Human Capital Management) system?
These post-tax deductions do not reduce taxable wages.
What are after-tax deductions?
This term refers to extra pay for working outside normal hours.
What is overtime pay?
The official term for money owed to employees that hasn't been paid yet.
What is accrued payroll?
This unemployment tax is paid only by the employer.
What is FUTA?
A payroll integration must ensure this type of data privacy law compliance.
What is data protection (e.g., PII, HIPAA, state laws like CCPA)?
Court-ordered deductions like child support are known as this.
What is a wage garnishment?
A one-time bonus payment is considered this type of pay.
What is supplemental income?