Payroll-CPP: Certified Payroll Professional

Payroll-CPP: Certified Payroll Professional practice questions, page 7 of 8, with answer review and explanations.

Question 31

A retiree is collecting social security benefits. The individual has been hired as an employee with an annual salary of $200,000.00. Which of the following taxes MUST be withheld from the first biweekly paycheck?

  1. FIT only
  2. Medicare only
  3. FIT and Medicare only
  4. FIT, social security, and Medicare

Question 32

All of the following results are benefits of documenting policies and procedures EXCEPT:

  1. reference tools.
  2. simplified training.
  3. uniform processes.
  4. progress monitoring.

Question 33

Proper documentation enhances Payroll Department performance in all the following ways EXCEPT by:

  1. simplifying training.
  2. improving uniformity.
  3. reducing internal conflict.
  4. providing reference tools.

Question 34

The KEY issue in common paymaster determination is:

  1. sequential employment for related companies within the same year.
  2. concurrent employment by related companies.
  3. employment in multiple states with the same employer.
  4. same federal identification numbers for related companies.

Question 35

What is the MAXIMUM amount that can be collected from a previous employee for continuation of coverage of health insurance under COBRA?

  1. 95% of the actual cost of premium
  2. 100% of the actual cost of premium
  3. 100% of the amount actually charged to active employees
  4. 102% of the actual cost of premium