FPC Exam UPDATED ACTUAL Exam
Questions and CORRECT Answers
SS8 - CORRECT ANSWER - Determination of worker status for purposes of federal
employment taxes and income tax withholding; requests clarification on worker status
Acceptable work time rounding practices - CORRECT ANSWER - Can round to the
nearest quarter hour or 15 minutes; 1 to 7 minutes can be rounded down, 8 to 14 minutes must be
rounded up
Exempt employee classification - CORRECT ANSWER - Not entitled to the benefits and
protections of the FLSA. May not have to be paid minimum-wage
White collar exemption classifications - CORRECT ANSWER - Executive, administrative,
and professional
14 and 15-year-olds child labor restrictions - CORRECT ANSWER - Nonschool days less
than eight hours; during the school week no more than 18 hours; no more than 40 hours when
school is out
FUTA Rate - CORRECT ANSWER - Rate is set at 6% of the first 7000$ and employer in
a year
FUTA Credit - CORRECT ANSWER - The credit claimed cannot exceed 5.4% whenever
the maximum credit is applied against the federal rate, the effective rate will fall to 0.6%
2023 social security wage base - CORRECT ANSWER - $160,200
Medicare tax withholding rate - CORRECT ANSWER - 1.45% over $200,000 add extra
0.9%
, Back up withholding - CORRECT ANSWER - Withholding on taxes on certain type of
income if the employee does not provide his or her Social Security number rate of 28%
Form 940 - CORRECT ANSWER - Employers annual federal unemployment tax return;
to report the annual federal unemployment tax liabilities for employers subject to FUTA
Form 941 - CORRECT ANSWER - Employers quarterly federal tax return; it's to report by
employers to the IRS the total amount of wages paid, income taxes withheld, and Social Security
and Medicare taxes due (both portions).
Form 941 - CORRECT ANSWER - Due date is the end of the month which follows the
end of each quarter. However, if all amounts due are timely deposited in the quarter, an automatic
extension of 10 days is added.
Schedule B - CORRECT ANSWER - Of form 941 is intended to reconcile the tax liability
amount for so called semi weekly depositors.
Form 943 - CORRECT ANSWER - Employers annual federal tax return for agricultural
employees
Form 944 - CORRECT ANSWER - Employers annual federal tax return those with A
combined annual liability for income, Social Security and Medicare taxes of no more than
$1000; IRS does not notify eligible employers
Form 945 - CORRECT ANSWER - Annual return of withheld federal income tax, is for
payers to report to the IRS the amount of federal income tax withheld on non payroll payments
ex: pensions, military retirement, Indian gaming profits, voluntary withholding, back up
withholding
Form W3 - CORRECT ANSWER - Transmittal of wage and tax statements; to summarize
the transmittal of paper copies of form W-2; only required when submitting via paper forms
Questions and CORRECT Answers
SS8 - CORRECT ANSWER - Determination of worker status for purposes of federal
employment taxes and income tax withholding; requests clarification on worker status
Acceptable work time rounding practices - CORRECT ANSWER - Can round to the
nearest quarter hour or 15 minutes; 1 to 7 minutes can be rounded down, 8 to 14 minutes must be
rounded up
Exempt employee classification - CORRECT ANSWER - Not entitled to the benefits and
protections of the FLSA. May not have to be paid minimum-wage
White collar exemption classifications - CORRECT ANSWER - Executive, administrative,
and professional
14 and 15-year-olds child labor restrictions - CORRECT ANSWER - Nonschool days less
than eight hours; during the school week no more than 18 hours; no more than 40 hours when
school is out
FUTA Rate - CORRECT ANSWER - Rate is set at 6% of the first 7000$ and employer in
a year
FUTA Credit - CORRECT ANSWER - The credit claimed cannot exceed 5.4% whenever
the maximum credit is applied against the federal rate, the effective rate will fall to 0.6%
2023 social security wage base - CORRECT ANSWER - $160,200
Medicare tax withholding rate - CORRECT ANSWER - 1.45% over $200,000 add extra
0.9%
, Back up withholding - CORRECT ANSWER - Withholding on taxes on certain type of
income if the employee does not provide his or her Social Security number rate of 28%
Form 940 - CORRECT ANSWER - Employers annual federal unemployment tax return;
to report the annual federal unemployment tax liabilities for employers subject to FUTA
Form 941 - CORRECT ANSWER - Employers quarterly federal tax return; it's to report by
employers to the IRS the total amount of wages paid, income taxes withheld, and Social Security
and Medicare taxes due (both portions).
Form 941 - CORRECT ANSWER - Due date is the end of the month which follows the
end of each quarter. However, if all amounts due are timely deposited in the quarter, an automatic
extension of 10 days is added.
Schedule B - CORRECT ANSWER - Of form 941 is intended to reconcile the tax liability
amount for so called semi weekly depositors.
Form 943 - CORRECT ANSWER - Employers annual federal tax return for agricultural
employees
Form 944 - CORRECT ANSWER - Employers annual federal tax return those with A
combined annual liability for income, Social Security and Medicare taxes of no more than
$1000; IRS does not notify eligible employers
Form 945 - CORRECT ANSWER - Annual return of withheld federal income tax, is for
payers to report to the IRS the amount of federal income tax withheld on non payroll payments
ex: pensions, military retirement, Indian gaming profits, voluntary withholding, back up
withholding
Form W3 - CORRECT ANSWER - Transmittal of wage and tax statements; to summarize
the transmittal of paper copies of form W-2; only required when submitting via paper forms
