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What are the four categories of employment income?
 Earnings
 Allowances
 Benefits
 Taxable Expense Reimbursements

List five methods an employer can use to pay earnings.
 a salary
 a rate for each hour worked
 a rate per piece of goods produced or picked
 a disability payment for time off work due to illness
 a payment for vacation time
 a premium payment for overtime hours worked
 a premium payment for hours worked on shift

What are allowances?
Allowances are additional dollar amounts paid to employees for the use, or anticipated use, of their personal property for business purposes.

Give an example of an allowance.
The most common types of allowances cover the costs incurred by the employee for car, meals, uniforms, safety shoes or other particular types of clothing, for business reasons.

What are benefits?
Benefits are dollar values attributed to something the employer has either provided to an employee or paid for on an employee's behalf.

Give an example of a benefit.
A benefit could be a companyleased automobile given to the employee for both business and personal use or group term life insurance premiums.

What are expense reimbursements?
Expense reimbursements are dollar amounts paid to employees to cover expenses that they incur while performing their jobs.

Which jurisdiction(s) have employment standards legislation that requires that employes must receive their pay at least monthly?
 Alberta
 Northwest Territories
 Nunavut

List two of the most common types of pay period frequencies?
 Weekly  52 pp per year (53 every seven years)
 Biweekly  26 pp per year (27 every eleven years)
 Semimonthly  24 pp per year
 Monthly  12 pp per year

What are wages?
Earnings based on the amount of time worked, usually at an hourly or daily rate

What is overtime pay?
Earnings paid for hours worked in excess of the legislated standards.

What is SelfInsured Disability earnings?
Earnings paid to an employee who is absent from work due to illness or accident.

What is Salary?
A fixed amount of earnings paid to an employee per pay period, regardless of the hours worked or production accomplished. (like exception time auto generated REG)

What are Piecework earnings?
A rate of pay earned per unit of production.

Jameel earns an annual salary of $32,032 and works 86.67 hours per semimonthly pay period. Calculate her semimonthly per pay period salary, hourly rate, and daily rate. (260 days per year)
 $32,032/24 = $1,334,67 per pay period
 $1334.67/86.67 hrs = $15.40/hr
 $32,032/260 days per year = $123.20 daily rate

Rudy earns an annual salary of $26,000 and works 40 hours per weekly pay period. Calculate her weekly per pay period salary, hourly rate, and daily rate. (260 days per year)
 26,000/52 = $500 per pay period
 500/40 hrs = $12.50/hr
 26,000/260 days per year = $100

Shanti earns an annual salary of $71,175 and works 162.5 hours per monthly pay period. Calculate her monthly per pay period salary, hourly rate, and daily rate. (260 days per year)
 71,175/12 = $5931.25 per pay period
 5931.25/162.5 hrs = $36.5/hr
 71,175/260 days per year = $273.75

Claire earns an annual salary of $46,312.50 and works 75 hours per biweekly pay period. Calculate her biweekly per pay period salary, hourly rate, and daily rate. (260 days per year)
 46,312.50/26 = $1781.25
 1781.25/75 hrs = $23.75/hr
 46,312.50/260 days per year = $178.13

Jody produced 220 pieces @ $2.25 rate per piece. Calculate her regular earnings.
Regular Earnings = 220 x 2.25 = $495

Roger worked 80 hrs @ $13.70 and worked 13 hours overtime @ 1.5 times regular rate. Calculate his regular earnings, overtime earnings, and total earnings.
 Regular Earnings = 13.70 x 80 = $1096.00
 Overtime Earnings = (13.70 x 1.5) x 13 = $267.15
 Total Earnings = $1363.15

Julie worked 12 days @ $290 per day. Calculate her regular earnings.
Regular earnings = 290 x 12 = $3480

Mary worked 37.5 hours @ $17 per hour, and 37.5 hours shift premium @ 7% of regular hrly rate. Calculate her regular earnings, shift earnings, and total earnings.
 Regular earnings = 17 x 37.5 = $637.50
 Overtime earnings = (17 x .07) x 37.5 = $44.63
 Total earnings = $682.13

True or False. Paid sick leave is legislated in Quebec, Saskatchewan, and Nova Scotia.
False. Paid sick leave is not legislated in ANY jurisdiction.

What are the payroll practitioner's responsibilities when the organization offers a disbility plan?
For all disability plans, whether selfinsured or covered by a third party, the payroll practitioner is responsible for accurately tracking plan participants and their preleave earnings to establish the amount of any possible disability payments.

Helena works in Alberta, gets 3 weeks vacation, and her vacationable earnings are $37,250. Calculate her vacation pay.
37,250 x .06 = $2235.00

Troy works in Ontario, gets 2 weeks vacation, and her vacationable earnings are $42,000. Calculate her vacation pay.
42,000 x .04 = $1680

Alain works in Nova Scotia, gets 1 weeks vacation, and her vacationable earnings are $26,918. Calculate her vacation pay.
26,918 x .02 = $538.36

Sally works in Alberta, gets 4 weeks vacation, and her vacationable earnings are $65,130. Calculate her vacation pay.
65,130 x 4/52 = $5010

Louise works in Quebec. List the order of priority that her statutory deductions would be deducted.
 1st = QPP
 2nd = EI
 3rd = QPIP
 4th = Federal/Provincial Income Taxes

Clifford works in New Brunswick. List the order of priority that her statutory deductions would be deducted.
 1st = CPP
 2nd = EI
 3rd = Federal/Provincial Income Taxes

Jason works in Nunavut. List the order of priority that her statutory deductions would be deducted.
 1st = CPP
 2nd = EI
 3rd = Federal/Provincial Income Taxes
 4th = Nunavut payroll taxes

Jerome is a Quebec employee, earning $18.70 per hour, paid on a biweekly basis. In this pay period, Jerome worked 80 regular hours and 10 overtime hours. The overtime is paid at 1.5 times his regular rate. Jerome's TD1 claim code is 2 and his TP1015.3V deduction code is B.
Calculate the employee's gross pensionable/taxable income, gross insurable earnings, net taxable income, and statutory withholdings.
Gross Pensionable/Taxable Income = 1496 regular + 280.50 overtime = $1776.50
QPP = (1776.50  134.61) x 0.05025 = $82.50
Gross Insurable Earnings = 1496 + 280.5 = $1776.50
EI = 1776.50 x 0.0147 = $26.11
QPIP = 1776.50 x 0.00559 = $9.93
Net Federal Taxable Income = 1496 + 280.5 = $1776.50
Federal Income Tax = $212.85
Net Quebec Taxable Income = 1496 + 280.5 = $1776.50
Quebec Income Tax = $274.98

Helen, an Alberta employee, earns $65,040 annually and is paid on a semimonthly basis. Her claim codes on her federal and provincial TD

Helen, an Alberta employee, earns $65,040 annually and is paid on a semimonthly basis. Her TD1 claim code is 1.
Calculate the employee's gross pensionable/taxable income, gross insurable earnings, net taxable income, and statutory withholdings.
Gross Pensionable/Taxable Income = $2710
CPP = (2710  145.83) x 0.0495 = $126.93
Gross Insurable Earnings = $2710
EI = 2710 x 0.0183 = $49.59
Net Taxable Income (federal and nonQuebec provincial) = $2710
 Federal Income Tax = $459.70
 Alberta Income Tax = $218.80

Bonita works for a company in Alberta. She is paid $23.50 per hour, and worked 75 hours in this biweekly pay period. Following the steps in the payroll calculation template, calculate her net pay, using TD1 claim code 3.
1) Gross Earnings = $1762.50
2) Non Cash Taxable Benefits = 0.00
 3) Gross Pensionable/Taxable Income = 1762.50
 CPP = $80.58
 4) Gross Insurable Earnings = 1762.50
 EI = $32.25
5) QPIP = N/A since Bonita is an Alberta employee
 6) Net Taxable Income = $1762.50
 Federal Tax = $241.30
 Provincial Tax = $111.90
7) North West Territories/Nunavut Payroll Tax = N/A since Bonita is Alberta ee
8) Total Deductions = $466.03
9) Net Pay = $1296.47

Gilles, a Quebec employee, earns an annual salary of $54,000, paid on a semimonthly basis. She has a TD1 claim code of 2, and a TP1015.3V deduction code of B.
Following the steps in the payroll calculation template, calculate her net pay.
1) Gross Earnings = $2250
2) NonCash Taxable Benefit = 0.00
 3) Gross Pensionable/Taxable Income = 2250
 QPP = $105.73
 4) Gross Insurable Earnings = 2250
 EI = $33.08
 5) Gross Insurable Earnings = 2250
 QPIP = $12.58
 6) Net Taxable Income (Federal) = 2250
 Federal Tax = $288.45
 Net Taxable Income (Quebec) = 2250
 Quebec Income Tax = $376.04
7) NT/NU Payroll Tax = 0.00 N/A for Quebec
8) Total Deductions = $815.88
9) Net Pay = $1434.12

