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National Payroll Institute Payroll Fundamentals 1Exam Sample Questions:

1. Phan was employed fromMarch 1, 1992throughJanuary 10, 2007. He was not a member of the organization' s pension plan. Calculate the number of years eligible for the$1,500.00portion of a retiring allowance.

A) 1
B) 5
C) 2
D) 0

2. When is the government-prescribed rate of interest set?

A) Semi-annually
B) Annually
C) The first of each month
D) Each calendar quarter

3. Expense reimbursements are:

A) Values attributed to something the employer has either provided to an employee or paid for on an employee's behalf
B) Dollar amounts paid to employees to cover expenses that they incur while performing their job
C) Dollar amounts the employer pays for the work an employee performs
D) Dollar amounts paid to employees for the use of their personal property for business purposes

4. Which of the following is not correct?

A) Severance payments and retiring allowances are not reported in Block 15B
B) Block 15B is not completed when insurable earnings are reported in Block 15C
C) Bonus payments reported in Block 17C are also reported in Block 15B
D) Vacation pay reported in Block 17A is reported in Block 15B

5. Elodie is paid her commissions together with her bi-weekly salary of $1,000.00. This pay period her commissions are $4,300.00. Calculate her Quebec Pension Plan (QPP) contribution for this pay period.

Solutions: