Payroll Final Exam Questions with 100%
Correct Answers Graded A+ 2026
Only six states do not impose a state unemployment tax on employers in their state. -
Correct Answer ✔-False
Under the Family and Medical Leave Act, employers can exempt an employee who has
not worked for the employer for at least one year and has worked for the company for
at least 1,250 hours in the last year. -Correct Answer ✔-True
Which of the following is not part of the social security program? -Correct Answer ✔-
Federal Income Tax Law
An exception to the protection that the Age Discrimination in Employment Act provides
for all workers over 40 involves executives who are 65 or older and who have held high
policy-making positions during the two-year period prior to retirement. -Correct Answer
✔-true
The employer is required by the FLSA to display a poster that informs employees of the
provisions of the law. -Correct Answer ✔-True
Pre-hire questions pertaining to religion, gender, national origin, or age are allowed if: -
Correct Answer ✔-these factors are bona fide occupational qualifications for the job.
Form I-9 must be completed by each new hire. -Correct Answer ✔-True
Title VII of the Civil Rights Act protects all employees from arbitrary dismissal -Correct
Answer ✔-False
The amounts needed for the payroll entries in the journal come from the employee's
earnings record. -Correct Answer ✔-False
Under the Federal Insurance Contributions Act, the Medicare portion of the tax is only
paid by the employer. -Correct Answer ✔-False
The Age Discrimination in Employment Act provides protection to virtually all workers
over the age of: -Correct Answer ✔-No age Limit
, Under the Civil Rights Act of 1964, the U.S. government is classified as an exempt
employer. -Correct Answer ✔-True
The FLSA provides health insurance for the aged and disabled (Medicare). -Correct
Answer ✔-False
All states have set their minimum wage to be the same as the federal government. -
Correct Answer ✔-False
Under the Federal Personal Responsibility and Work Opportunity Reconciliation Act,
every employer is required to report the name, address, and social security number of
each new employee to the appropriate state agency. -Correct Answer ✔-True
Under ERISA, vesting conveys to employees the right to share in a retirement fund in the
event they are terminated before the normal retirement age -Correct Answer ✔-True
The total cost of workers' compensation insurance is borne by the employees. -Correct
Answer ✔-False
One of the provisions of coverage of the Civil Rights Act is that the employer must have
15 or more workers. -Correct Answer ✔-True
The tax paid to the federal government for unemployment taxes is used for paying state
and federal administrative expenses of the unemployment program. -Correct Answer ✔-
True
Under ERISA, if there is a pension plan, every employee is eligible after reaching age 21
or completing one year of service, whichever is later. -Correct Answer ✔-True
The FLSA imposes no recordkeeping requirements on employers. -Correct Answer ✔-
False
ERISA provides for full vesting of the employer's contributions in three years or gradually
over six. -Correct Answer ✔-True
Employers not subject to Title VII coverage may come within the scope of the Civil Rights
Act by reason of a contract or subcontract involving federal funds. -Correct Answer ✔-
True
Correct Answers Graded A+ 2026
Only six states do not impose a state unemployment tax on employers in their state. -
Correct Answer ✔-False
Under the Family and Medical Leave Act, employers can exempt an employee who has
not worked for the employer for at least one year and has worked for the company for
at least 1,250 hours in the last year. -Correct Answer ✔-True
Which of the following is not part of the social security program? -Correct Answer ✔-
Federal Income Tax Law
An exception to the protection that the Age Discrimination in Employment Act provides
for all workers over 40 involves executives who are 65 or older and who have held high
policy-making positions during the two-year period prior to retirement. -Correct Answer
✔-true
The employer is required by the FLSA to display a poster that informs employees of the
provisions of the law. -Correct Answer ✔-True
Pre-hire questions pertaining to religion, gender, national origin, or age are allowed if: -
Correct Answer ✔-these factors are bona fide occupational qualifications for the job.
Form I-9 must be completed by each new hire. -Correct Answer ✔-True
Title VII of the Civil Rights Act protects all employees from arbitrary dismissal -Correct
Answer ✔-False
The amounts needed for the payroll entries in the journal come from the employee's
earnings record. -Correct Answer ✔-False
Under the Federal Insurance Contributions Act, the Medicare portion of the tax is only
paid by the employer. -Correct Answer ✔-False
The Age Discrimination in Employment Act provides protection to virtually all workers
over the age of: -Correct Answer ✔-No age Limit
, Under the Civil Rights Act of 1964, the U.S. government is classified as an exempt
employer. -Correct Answer ✔-True
The FLSA provides health insurance for the aged and disabled (Medicare). -Correct
Answer ✔-False
All states have set their minimum wage to be the same as the federal government. -
Correct Answer ✔-False
Under the Federal Personal Responsibility and Work Opportunity Reconciliation Act,
every employer is required to report the name, address, and social security number of
each new employee to the appropriate state agency. -Correct Answer ✔-True
Under ERISA, vesting conveys to employees the right to share in a retirement fund in the
event they are terminated before the normal retirement age -Correct Answer ✔-True
The total cost of workers' compensation insurance is borne by the employees. -Correct
Answer ✔-False
One of the provisions of coverage of the Civil Rights Act is that the employer must have
15 or more workers. -Correct Answer ✔-True
The tax paid to the federal government for unemployment taxes is used for paying state
and federal administrative expenses of the unemployment program. -Correct Answer ✔-
True
Under ERISA, if there is a pension plan, every employee is eligible after reaching age 21
or completing one year of service, whichever is later. -Correct Answer ✔-True
The FLSA imposes no recordkeeping requirements on employers. -Correct Answer ✔-
False
ERISA provides for full vesting of the employer's contributions in three years or gradually
over six. -Correct Answer ✔-True
Employers not subject to Title VII coverage may come within the scope of the Civil Rights
Act by reason of a contract or subcontract involving federal funds. -Correct Answer ✔-
True
