CEBS GBA EXAM 1 BANK ACCURATE
CURRENTLY TESTING EXAM 3 VERSIONS
WITH 740 ACTUAL QUESTIONS AND
DETAILED ANSWERS / CEBS - GBA 1 -
PRACTICE EXAM EXPERT ALREADY
GRADED A+ 2026-2027.
Broad view of Employee Benefits (Mod 1.1) - ANSWER-Considers Employee
Benefits to be virtually any form of compensation other than direct wages
paid to Employees (Ex: WC, Unemployment, State DI, SS, Vacation, Holidays,
401K/Retirement, Employer share of Medical, Severance Pay, Child Care, etc..)
Narrow view of Employee Benefits (Mod 1.1) - ANSWER-Any type of plan
sponsored or initiated by Employees and Employers and engaged in providing
benefits that result from the employment relationship and that are not
,underwritten or paid directly by the government; (Ex: Benefits excluded
include those legally mandated - WC, SS).
Impact of Labor Unions on Employee Benefits (Mod 1.2) - ANSWER-Through
Collective Bargaining, Employee Benefit Plans have been impacted. In 1948
ruling states that the duty to bargain in good faith over wages also included
insurance and fringes (pension). In WW Cross & Co, NLRB ruled wages
included health and accident plan.
What is the Taft-Hartley Act? (Mod 1.2) - ANSWER-The Labor Management
Relations Act of 1947 is a United States federal law that restricts the activities
and power of labor unions. This set forth good-faith collective bargaining over
wages, hours, terms of employment and benefits.
,3 Examples of Tax Advantages of Employee Benefit Plans (Mod 1.2) - ANSWER-
1: Employer Contributions are Tax Deductible
2: Employer Contributions are not considered income to Employees
3: Certain Retirement Benefits Accumulate Tax-Free until distributed.
Examples of Questions that should be addressed when creating benefit
objectives (Mod 1.3) - ANSWER-Ex: What benefits should be provided? Who
should be covered? Should Employees have options? How should plan be
financed? How should plan be administered? How should plan be
communicated to Employees?
What is the Functional Approach to Employee Benefit Planning? (Mod 1.4) -
ANSWER-Application of a systematic method of analysis to an Employer's Total
Employee Benefits Program. It analyzes the organization's EBP as a whole in
, terms of its ability to meet various employee's needs and to manage loss
exposures within the overall compensation goals and parameters.
Why is the Functional Approach appropriate when planning, designing and
administering Employee Benefits? (Mod 1.4) - ANSWER-1: EE Benefits
Significant Element of EE Comp and are a Tax-Effective Way to Compensate
2: EE Benefit Represent Large Labor Cost, so ER's should effectively plan/cost-
control
3: In the past, EE Benefits were adopted on piece-meal basis; helps to now fill
gaps/overlap
4: Systematic Approach to planning helps to keep the EBP current,
competitive and in compliance with updated requirements (ACA)
5: Benefits to be integrated properly together
CURRENTLY TESTING EXAM 3 VERSIONS
WITH 740 ACTUAL QUESTIONS AND
DETAILED ANSWERS / CEBS - GBA 1 -
PRACTICE EXAM EXPERT ALREADY
GRADED A+ 2026-2027.
Broad view of Employee Benefits (Mod 1.1) - ANSWER-Considers Employee
Benefits to be virtually any form of compensation other than direct wages
paid to Employees (Ex: WC, Unemployment, State DI, SS, Vacation, Holidays,
401K/Retirement, Employer share of Medical, Severance Pay, Child Care, etc..)
Narrow view of Employee Benefits (Mod 1.1) - ANSWER-Any type of plan
sponsored or initiated by Employees and Employers and engaged in providing
benefits that result from the employment relationship and that are not
,underwritten or paid directly by the government; (Ex: Benefits excluded
include those legally mandated - WC, SS).
Impact of Labor Unions on Employee Benefits (Mod 1.2) - ANSWER-Through
Collective Bargaining, Employee Benefit Plans have been impacted. In 1948
ruling states that the duty to bargain in good faith over wages also included
insurance and fringes (pension). In WW Cross & Co, NLRB ruled wages
included health and accident plan.
What is the Taft-Hartley Act? (Mod 1.2) - ANSWER-The Labor Management
Relations Act of 1947 is a United States federal law that restricts the activities
and power of labor unions. This set forth good-faith collective bargaining over
wages, hours, terms of employment and benefits.
,3 Examples of Tax Advantages of Employee Benefit Plans (Mod 1.2) - ANSWER-
1: Employer Contributions are Tax Deductible
2: Employer Contributions are not considered income to Employees
3: Certain Retirement Benefits Accumulate Tax-Free until distributed.
Examples of Questions that should be addressed when creating benefit
objectives (Mod 1.3) - ANSWER-Ex: What benefits should be provided? Who
should be covered? Should Employees have options? How should plan be
financed? How should plan be administered? How should plan be
communicated to Employees?
What is the Functional Approach to Employee Benefit Planning? (Mod 1.4) -
ANSWER-Application of a systematic method of analysis to an Employer's Total
Employee Benefits Program. It analyzes the organization's EBP as a whole in
, terms of its ability to meet various employee's needs and to manage loss
exposures within the overall compensation goals and parameters.
Why is the Functional Approach appropriate when planning, designing and
administering Employee Benefits? (Mod 1.4) - ANSWER-1: EE Benefits
Significant Element of EE Comp and are a Tax-Effective Way to Compensate
2: EE Benefit Represent Large Labor Cost, so ER's should effectively plan/cost-
control
3: In the past, EE Benefits were adopted on piece-meal basis; helps to now fill
gaps/overlap
4: Systematic Approach to planning helps to keep the EBP current,
competitive and in compliance with updated requirements (ACA)
5: Benefits to be integrated properly together
