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National Payroll Institute Payroll Fundamentals 1Exam Sample Questions:

1. In Block 6 of the Record of Employment, what pay period type is entered for employees who are paid salary plus regularly paid commission?

A) Depends on the pay period frequency
B) Irregular
C) Weekly
D) Monthly

2. 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) Vacation pay reported in Block 17A is reported in Block 15B
D) Bonus payments reported in Block 17C are also reported in Block 15B

3. Charlene receives $50.00 each pay for her meals. This is an example of:

A) A benefit
B) None of the above
C) A reimbursement
D) An allowance

4. How many pay periods will be used to calculate insurable earnings inBlock 15Bon the Record of Employment if the employee is paidweekly?

A) Last27pay periods (or less if period of employment is shorter)
B) Last14pay periods (or less if period of employment is shorter)
C) Last13pay periods (or less if period of employment is shorter)
D) Last7pay periods (or less if period of employment is shorter)

5. Dollar values attributed to something the employer has either provided to an employee or paid for on an employee's behalf are:

A) Expense reimbursements
B) Benefits
C) Allowances
D) Earnings

Solutions: