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CPP - CERTIFIED PAYROLL PROFESSIONAL EXAM FOR 2024/2025 LIMITS GRADED A+. $17.99   Add to cart
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CPP - CERTIFIED PAYROLL PROFESSIONAL EXAM FOR 2024/2025 LIMITS GRADED A+.
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CPP - CERTIFIED PAYROLL PROFESSIONAL EXAM FOR 2024/2025 LIMITS GRADED A+. Counselinglislappropriatelwhen: rieslhavelbeenlfrozen. oducinglalnewlprocedure. ainingltaxllawlchanges. ntinglnewlemployees.l-lCORRECTlANSWER-rieslhavelbeenlfrozen. Inladditionltolthelaccuracyrelatedlpenaltylforlund...

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  • September 16, 2024
  • 17
  • 2024/2025
  • Exam (elaborations)
  • Questions & answers

Subjects

  • cpp
  • cpp certified payroll professional exam
  • cpp certified payroll professional exam for 202
  • cpp certified payroll professional
  • certified payroll professional exam

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  • CPP
  • CPP

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CPP - CERTIFIED PAYROLL
PROFESSIONAL EXAM FOR 2024/2025
LIMITS GRADED A+.

Counselinglislappropriatelwhen:
a.lsalarieslhavelbeenlfrozen.
b.lintroducinglalnewlprocedure.
c.lexplainingltaxllawlchanges.
d.lorientinglnewlemployees.l-lCORRECTlANSWER-a.lsalarieslhavelbeenlfrozen.

Inladditionltolthelaccuracy-
relatedlpenaltylforlunderpaymentlofltaxes,liflthelunderpaymentlofltaxeslisldueltolfraud,lthelIR
Slmaylasseslanladditionallpenaltylof:l-lCORRECTlANSWER-75%

Iflanlemployer'sltotalltaxlliabilitylforlthellookbacklperiodlisl$75,000.00,laltaxlliabilityllesslthanl
$100,000lmustlbeldepositedlnollaterlthan:l-lCORRECTlANSWER-
WednesdaylorlFridaylunderlthelsemiweeklylrules.

Alcompanylhaslaccruedl$23,665.00loflvacationlpayltolalliabilitylaccount.lWhenlemployeesla
relpaidlthelvacationlamountldue,lthelentriesltolthelvacationlliabilitylaccountlwilllbelrecordedla
sla:l-lCORRECTlANSWER-debitltolthelliabilitylaccount.

UnderlthelFLSA,lwhenlalhighlylcompensatedlexemptlemployeelreceivesllesslthanl$100,00
0.00linlcompensationlduringlthelyear,lthelemployerlmay:l-lCORRECTlANSWER-
withinlonelmonthlafterlthelendloflthelyear,lmakelalfinallpaymentltolthelemployeeltolreachl$10
0,000.00linlannuallcompensation.

Cafeterialplanslandlotherlflexiblelbenefitlplanslarelgenerallylfundedlbyleitherloflthelfollowingl
mechanisms:l-lCORRECTlANSWER-
"flexldollars"lorl"flexlcredits",lsalarylreduction,lorlafterltaxlcontributions.

IRCl§125lCafeterialplanslarelgenerallylfundedlbylallloflthelfollowinglmechanismslEXCEPT:
a.lflexldollars".
b.lCOBRA.
c.lafter-taxlemployeelcontributions.
d.lsalarylreduction.l-lCORRECTlANSWER-b.lCOBRA.

FormlW-4Slallowslthelthird-partylsicklpaylproviderltolwithholdlfederallincomeltaxlbasedlon:l-
lCORRECTlANSWER-alflatlamount.

,AlNationallMedicallSupportlNoticelrequireslanlemployerlto:l-lCORRECTlANSWER-
honorlthelqualifiedlmedicallchildlsupportlorder.

Anlemployeelwithlyear-to-
datelwageslofl$25,000.00lwasldisabledlforlfourlmonthslandlwaslpaidl$6,200.00lbylalthird-
partylinsurer.lTheldisabilitylplanlpremiumslarelpaidlentirelylbylthelemployer.lNolFormlW-
4Slwaslprovidedltolthelinsurer.lCalculatelthelamountloflfederallincome,lsociallsecurity,landl
Medicareltaxeslthelthirdlpartylpayerlmustlwithhold.l-lCORRECTlANSWER-$474.30l-
lSociallsecuritylandlMedicareltaxeslarelwithheldlforlsixlcalendarlmonthslafterlthelemployee's

llastldayloflwork.



Iflanlemployerlsellslorltransferslitslbusiness:l-lCORRECTlANSWER-
Forml941lmustlbelfiledlbylbothlthelpreviouslandlcurrentlownerslforlthelquarterlduringlwhichlt
helsaleltooklplace.lEachlemployerlmustlreportlonlylthelwageslitlpaidlandltaxeslitlwithheld.

Iflanlemployerlgoesloutloflbusiness,lcompletionloflPartl3loflForml941lislrequiredlwithlthelfinall
datelitlpaidlwages.lThislactionlalsolacceleratesltheldatelthelFormslW-2lareldueltolSSAlto:l-
lCORRECTlANSWER-

thelendloflthelsecondlmonthlfollowinglthelquarterlthelbusinesslclosed.

Anlemployeelearnsl$1,000.00lsemimonthly.lDeductionslincludel$235.00lforlfederallincome
,lsociallsecurity,lMedicare,landlstateltaxeslandl$300.00linlchildlsupport.lCalculatelthelamou
ntlthatlcanlbeldeductedlforlalcreditorlgarnishment.l-lCORRECTlANSWER-
UnderlthelCCPAlforlalcreditorlgarnishment,lanlemployerlmustlwithholdlthellesserlofl25%loflt
helemployee'sldisposablelearningslorltheldifferencelbetweenlthelemployee'sldisposablelea
rningslandl30ltimeslthelminimumlwageltolsatisfylthelcreditorlgarnishment.lIflanlemployeelha
slanlinvoluntaryldeductionlwithlalhigherlpriorityldeductionlthanlthelCCPAllimitlforlcreditorlgar
nishments,lnothinglwilllbelwithheld.

WhatlislalLock-Inlletter?l-lCORRECTlANSWER-
AlletterlfromlthelIRSlthatlrequireslthelemployerltolchangelthelwithlholdingslforlfederalltax.

HowllongldolIRSlPayrolllrecordslneedltolbelsaved?l-lCORRECTlANSWER-
4lyearslafterltheltaxlreturnsldueldate.l(iel940,l941,lW-2landlW-3)

Whatlislthelallowableltiplcredit?l-lCORRECTlANSWER-Nolmorelthanl$5.12lperlhour

Minimumlwagelforltippedlemployeesl-lCORRECTlANSWER-
$2.13lperlhourl(combinedlwithltipslmustlequall$7.25)

SociallSecuritylWagelTaxlLimitl-lCORRECTlANSWER-$132,900

WhatlislthelMandatorylFlatlRatelforlsupplementallpay?l-lCORRECTlANSWER-
Exceedingl$1lMillionlisl37%

, WhatlislthelOptionallFlatlRatelforlSupplementallPay?l-lCORRECTlANSWER-
NotlExceedingl$1lMillionlisl22%

IflformlW-4lislincomplete,lthelemployerlmust:l-lCORRECTlANSWER-Rejectlthelform

UnderlthelFLSA,lanlemployeelwortltimelendslwhenlthelemployee:l-lCORRECTlANSWER-
ceaseslperforminglprincipallactivities

Whenlanlemployeelwantsltolcontinuelherlexemptlstatuslthelnextlyear,lshelmustlfilelalnewlW-
4lformlby:l-lCORRECTlANSWER-Februaryl15.

Counselinglislappropriatelwhen:l-lCORRECTlANSWER-
anlemployeelfeelslinsecurelaboutlworklperformance.

WhatlisltheldefinitionloflImputedlIncome?l-lCORRECTlANSWER-
Taxablelvalueloflnoncashlbenefitslthelemployeelrecieves.

Whatlmustlbelspecifiedlatltheltimeloflthelemployeeslelectionltoldeferlintolalnon-
qualifiedlplan?l-lCORRECTlANSWER-theltimelandlformlofldistributions

SchedulelRl(Forml941)lislusedlto:l-lCORRECTlANSWER-
allocatelthelaggregatelinformationlreportedlonlForml941lbylanlagentltoleachlclient.

ThelPrimarylpurposeloflbatchlcontrolslislto:l-lCORRECTlANSWER-validatelentrylaccuracy

Whenlislforml1042-SlrequiredltolbelprovidedltolthelIRS?l-lCORRECTlANSWER-Marchl15th

457bl-lCORRECTlANSWER-Employeelpre-
taxldollarsldivertedlintolinvestmentlaccountlforlgovernmentallemployees

UnderlthelIRSlRules,lanlemployer'sl401(k)lplanlmaylmeetlthelADPlnondiscriminationltesting
lrequirementslbylmatching:l-lCORRECTlANSWER-

100%loflelectiveldeferralsltol3%loflcompensationland
50%lofldeferralsloverl3%ltol5%loflcompensation

ThelFLSA'slminimumlsalarylforlexemptlemployeesldoeslnotlapplylto:l-
lCORRECTlANSWER-attorneys,lphysicianslandlteachers.



Alnonresidentlalienlwishingltolclaimlanlexemptionlfromlincomeltaxlonlwageslpaidlbylthelemp
loyerlbasedlonlalhomelcountrylincomeltaxltreatylmustlprovidelthelemployerlwithlForm:l-
lCORRECTlANSWER-8233



Anlemployee'slprimaryljobldutieslincludelmanaginglaldepartmentlwithlthreelfull-
timelemployees.lUnderlthelFLSA,lthelemployeelislanlexempt:l-lCORRECTlANSWER-
executivelemployee.

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