The total pay due for a pay period before deductions is called:
a. gross earnings.
b. total expense.
c. regular earnings.
d. net pay.
a. gross earnings.
100
A deduction from total earnings for each person legally supported by a taxpayer, including the employee, is called a
a. tax credit.
b. deduction credit.
c. withholding allowance.
d. marriage allowance.
c. withholding allowance.
100
The amount on the employee earnings record used to determine if certain payroll taxes apply to an employee’s earnings is
a. net pay.
b. accumulated earnings.
c. gross earnings.
d. social security taxes.
b. accumulated earnings.
100
If employee Rick Selby participates in EFT, does he receive a paycheck?
a. Yes.
b. No.
b. No.
100
An employee is paid 1 1/2 times the regular wage is paid at this:
What is overtime?
200
The amount of time for which an employee is paid called the:
a. payment term.
b. salary duration.
c. pay period.
d. expense period.
c. pay period.
200
The social security tax is calculated by
a. multiplying total earnings by the tax rate.
b. multiplying net earnings by the tax rate.
c. using a tax table.
d. none of these.
a. multiplying total earnings by the tax rate.
200
The Accumulated Earnings column of the employee earnings record
a. shows net pay for the year.
b. is the total earnings since the first of the year.
c. shows net pay for one quarter.
d. is the gross earnings for one quarter.
b. is the total earnings since the first of the year.
200
A paycheck was written to Rick Selby for a given pay period. What dollar amount was the check written for?
a. His overtime earnings.
b. His net pay.
c. His regular earnings.
d. His regular and overtime earnings.
b. His net pay.
200
The amount deducted from gross earnings for federal income tax each pay period depends on the total earnings, marital status, and the number of _________ an employee claims on Form W-4
What are exemptions?
300
A list of employees in a business and the earnings due to each employee for a specific period of time:
a. cash expense.
b. payroll.
c. business allowance.
d. work fee.
b. payroll.
300
All employees must report their withholding allowances on a
a. payroll register.
b. memorandum.
c. Form W-4.
d. Form W-2.
c. Form W-4.
300
A business form used to record details affecting payments made to an employee is
a. an employee earnings record.
b. a payroll journal.
c. an employee accounts payable record.
d. a tax withholding form.
a. an employee earnings record.
300
A check written from the company's general checking account to cover payroll is for what dollar amount from the payroll register?
a. Total Earnings.
b. Total Net Pay.
c. Total Regular Earnings.
d. Total Overtime Earnings.
b. Total Net Pay.
300
The amount subtracted from gross earnings is:
What is a deduction?
400
The fixed amount of money paid to an employee each pay period is a
a. gift.
b. allowance.
c. cash payment.
d. salary.
d. salary.
400
The withholding allowances of an employee affect:
a. social security tax withheld.
b. federal income tax withheld.
c. federal unemployment tax owed.
d. state unemployment tax owed.
b. federal income tax withheld.
400
The total earnings paid to an employee after payroll taxes and other deductions is recorded in the payroll register’s
a. Gross Pay column.
b. Total Earnings column.
c. Net Pay column.
d. Total Deductions column.
c. Net Pay column.
400
Some businesses deposit employee net pay directly to each employee bank account by using
a. payroll checks.
b. payroll registers.
c. EFT.
d. none of these.
c. EFT.
400
An example of a voluntary deduction is one for:
a. Health insurance
b. Union Dues
c. Savings plan
d. All of the above.
d. All of the above.
500
Employee regular earnings are calculated as:
a. regular hours times regular rate.
b. total hours divided by regular rate.
c. total hours plus overtime rate.
d. overtime hours minus overtime rate.
a. regular hours times regular rate.
500
Federal income tax is withheld from employee earnings
a. only in those states electing to do so.
b. in all states with over 10,000,000 population.
c. only in states where a state income tax is levied.
d. in all 50 states.
d. in all 50 states.
500
Each employee name is listed in a payroll register along with
a. employee number.
b. marital status.
c. withholding allowances.
d. all of these.
d. all of these.
500
In a large business individual payroll checks are usually written on
a. a company’s regular checking account.
b. a special payroll checking account.
c. a special purposes account.
d. an employee earnings account.
b. a special payroll checking account.
500
T or F: The social security system was established by the Federal Insurance Commission Act.