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National Payroll Institute Payroll Fundamentals 1Exam Sample Questions:

1. Feraz Dalia is due $12,523.00 in legislated wages in lieu of notice that will be added to his last weekly pay of
$1,080.00. Calculate Feraz's Employment Insurance (EI) premium, if his employer is situated in Saskatchewan and the yearly maximum contribution will not be exceeded.

2. Michael is an employee in Alberta who is paid bi-weekly and earns $1,600.00 per pay period. He has a taxable meal allowance of $30.00 per pay period. His federal and provincial TD1s on file show a claim code
2. Michael already reached the annual maximum first and second Canada Pension Plan (CPP) contributions before this pay. Calculate his total federal and provincial income taxes.

3. Which of the following types of earnings are not considered income from employment?

A) Regular salary
B) Severance pay
C) Commissions
D) Vacation pay

4. Dollar amounts that are paid to an employee to cover expenses that they incurred while performing their job, but are not considered in the calculation of an employee's earnings are:

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

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

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

Solutions: