Question 1

FUTA was designed to ensure that workers who are covered by pension plans receive benefits from those plans.

Accepted Answer

FUTA (Federal Unemployment Tax Act) was designed to provide funding for state unemployment insurance programs, not pension plans.

Question 2

If an investigative consumer report is being issued, the applicant must be given a written notice that the information obtained will be used in the employment decision.

Accepted Answer

According to the Fair Credit Reporting Act (FCRA), if an investigative consumer report is being issued, the applicant must be given a written notice that the information obtained will be used in the employment decision.

Question 3

The trend toward outsourcing of payroll operations has weakened in recent years.

Accepted Answer

The trend toward outsourcing payroll operations has actually strengthened in recent years, as more companies seek to streamline operations, reduce costs, and benefit from the expertise of specialized payroll service providers.

Question 4

The amounts needed for the payroll entries in the journal come from the employee's earnings record .

Accepted Answer

The answer of The amounts needed for the payroll entries...

Question 5

Questions pertaining to religion, gender, national origin, or age are allowed on application forms when these are bona fide occupational qualifications for a job.

Accepted Answer

According to the guidelines established by the U.S. Equal Employment Opportunity Commission, questions about religion, gender, national origin, or age may be included on an application form if they are necessary for a job and are considered bona fide occupational qualifications. However, employers should avoid asking about these factors unless they are essential to the job in question.

Question 6

There are no states that allow employees to access their personnel files.

Accepted Answer

Some states such as California, Colorado and Wisconsin allow employees to access their personnel files under certain circumstances. However, the access may be limited and there may be restrictions on what information can be accessed.

Question 7

A payroll register lists all employees who have earned remuneration, the amount of remuneration, the deductions, and the net amount paid for each pay period.

Accepted Answer

This is a correct description of what a payroll register is.

Question 8

Under FMLA, the time off must be used in one uninterrupted period of  time.

Accepted Answer

Under FMLA, time off can be taken intermittently or on a reduced schedule basis if it is medically necessary for the employee or if the employee needs to care for a family member with a serious health condition.

Question 9

The payroll register is a separate payroll record that is kept on each employee.

Accepted Answer

The payroll register is a comprehensive document or ledger that records all payroll details for all employees during a specific pay period, not a separate record for each individual employee.

Question 10

Employment application forms are usually discarded when the applicant is hired.

Accepted Answer

Employment application forms are usually kept on file for future reference, and may be used for verification of employment, background checks, or legal purposes.

Question 11

Asking applicants for their arrest records is illegal.

Accepted Answer

Asking about an applicant's arrest record is considered discrimination based on criminal history, which is prohibited by the Equal Employment Opportunity Commission (EEOC). It is only legal to ask about convictions or pending criminal charges that are job-related.

Question 12

The total cost of workers' compensation insurance is borne by the employees.

Accepted Answer

The total cost of workers' compensation insurance is typically paid by the employer, not the employees.

Question 13

ERISA provides for full vesting of the employer's contributions in three years or gradually over six.

Accepted Answer

According to ERISA, employer contributions must vest fully within three years of the participant beginning to accrue benefits in the plan or gradually over six years. However, certain employer contributions, such as safe harbor contributions, may have immediate vesting.

Question 14

Only one state has passed a law to provide disability benefits to employees absent from their jobs due to illness, accident, or disease not arising out of their employment.

Accepted Answer

Multiple states in the United States have passed laws to provide disability benefits to employees who are absent from their jobs due to illness, accident, or disease not arising out of their employment, not just one state. These programs are often referred to as state disability insurance (SDI) or temporary disability insurance (TDI) programs.

Question 15

The Affordable Care Act does not make a distinction between large and small employers.

Accepted Answer

The Affordable Care Act (ACA) makes a distinction between large and small employers, primarily in its employer mandate, which requires only large employers (those with 50 or more full-time equivalent employees) to offer health insurance to their full-time employees or face penalties.

Question 16

Under the Affordable Care Act, employers with 50 or more full-time employees during the previous year are required to provide health insurance coverage for all full-time employees.

Accepted Answer

The Affordable Care Act does require employers with 50 or more full-time employees to provide health insurance coverage for all full-time employees, or face penalties.

Question 17

Workers' compensation insurance premiums for employers vary according to the different degrees of danger in various classes of jobs and the employers' accident experience rate.

Accepted Answer

Workers' compensation insurance premiums for employers are based on the degree of danger in different job classes and the employers' accident experience rate.

Question 18

The requisition for personnel form is sent to the Payroll Department so that the new employee can be properly added to the payroll.

Accepted Answer

The requisition for personnel form is typically sent to the Human Resources Department to initiate the hiring process, not directly to the Payroll Department for adding to payroll.

Question 19

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.

Accepted Answer

This is a correct statement about the eligibility requirements for FMLA.

Question 20

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.

Accepted Answer

Vesting under ERISA grants employees the right to a portion of their retirement plan contributions, even if they are terminated from their job before reaching the normal retirement age.

Quiz 1: The Need for Payroll and Personnel Records