Practice Free FPC-REMOTE Exam Online Questions
One of the options in an employee’s cafeteria benefit plan is a dependent care flexible spending account. He earnmarked $100 per month to the account to pay for child care but spent only $1000 by the end of the plans grace period.
At the end of the grace period, what happens to the $200 left in the account?
- A . the amount is forfeited
- B . it will be added to his taxable income
- C . he can use it to buy an additional benefits
- D . it will carry over to the next year
When an employee lives and works in the same state, the employer withholds income tax for that state.
- A . TRUE
- B . False
How long should employers keep payroll records beyond legal requirements
- A . 2 years
- B . 3 years
- C . 4 years
- D . as long as the company needs the records
An employer contributes $175 per month to an employee’s cafeteria plan. since her husband has medical/dental coverage through his employer, she wants to take the $175 per month in cash.
Which of the following statements is true?
- A . this option is not available; if the amount is not spent, it is lost
- B . the $175 becomes taxable income
- C . only social security tax and medicare tax are withheld from the $175 per month.
- D . the $175 is a tax free benefit to her.
What does an employer use to calculate the amount to withhold for a child support withholding order?
- A . disposable pay
- B . net pay
- C . take home pay
- D . taxable wages
when a payroll department does not respond promptly to a penalty notice from a governmental agency against an employee, this is an example of:
- A . poor problem solving
- B . breaching confidentiality
- C . lack of compliance
- D . responding to higher priorities
A receptionist has agreed to work afternoons at the company until the company can find a full time replacement. what is the receptionists status?
- A . independent contractor under common law
- B . independent contractor under reasonable basis
- C . employee
A semiweekly depositor has a liability of $79,000 from Weds payday and a liability of $50,000 from Friday’s payday. The deposit is due by the:
- A . next monday
- B . next weds
- C . next friday
- D . 15th of the month
An employer may provide all of the following features in a 401k plan except:
- A . matching contributions
- B . lower ceilings on contributions
- C . higher benefits for highly compensated employees
- D . catch up contribution
a retail sales clerk took advantage of the company’s employee discount program to purchase clothes at 10% off the normal retail price. this service represents:
- A . taxable compensation
- B . a qualified employee discount
- C . a working condition fringe
- D . a no-additional cost service