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National Payroll Institute Payroll Fundamentals 1Exam Sample Questions:

1. Ursula is 17 years old, works in Quebec and earns $750.00 weekly. Ursula pays weekly union dues of $18.00 along with a special weekly union assessment of $10.00 for construction of a new union hall for its members.
Ursula also has registered pension plan (RPP) contributions of $20.00 deducted from each pay. Calculate Ursula's net federal taxable income.

2. Helen is reimbursed for the cost of the protective clothing that is legally required for her job. The clothing she bought isnot supported by receiptsand is a reasonable reimbursement amount. This is considered:

A) A non-taxable allowance
B) A cash taxable benefit
C) A taxable allowance
D) None of the above

3. The formula for calculating net pay is:

A) Pensionable earnings minus total deductions
B) Gross earnings minus total deductions
C) Gross earnings minus total tax
D) Net taxable income minus total deductions

4. Which of the following deductions would be the last payroll withholding in order of priority?

A) Requirement to Pay
B) Voluntary insurance coverage
C) The organization's pension plan
D) Third Party Demand

5. The Canada Revenue Agency form that is completed to allow a commissioned employee to claim non- reimbursed expenses at source is a:

A) TD1X
B) TP-1015.R.13.1-V
C) TD1
D) T777

Solutions: