FREE ADP Payroll Processing Questions and Answers
What information is required to set up a new employee in the ADP payroll system?
To set up a new employee in ADP, you must collect their SSN, bank details (for direct deposit), job-specific information, and tax-related details like marital status and withholding allowances. This ensures accurate payroll and tax compliance.
How do you handle a payroll error after processing has completed?
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Depending on the nature of the error, you might need to reverse the batch, correct the issue with a manual check or correction, or contact ADP for support. Ignoring payroll errors is never acceptable due to compliance risks.
What happens if payroll taxes are filed late?
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Filing payroll taxes late can result in penalties, interest charges, and potential audits from tax authorities. ADP can assist with timely tax filing to avoid these issues.
Which report is used to verify employee hours before processing payroll?
The Timecard Summary Report is used to review employee hours, ensuring accuracy before payroll is processed. This step minimizes errors in pay calculation. Question 5: When processing payroll, how does ADP ensure tax compliance? A) By automatically applying the latest federal, state, and local tax rates. B) By generating and filing all required tax forms (e.g., W-2, 941). C) By reminding employers of upcoming tax deadlines. D) By allowing employers to manually enter tax rates. Correct Answers: A, B, C Explanation: ADP’s payroll systems are updated with the latest tax rates, generate and file necessary forms, and provide alerts for tax deadlines. While employers can adjust some settings, ADP's automation reduces manual intervention and errors. Would you like additional sample questions or further explanation of any concept?
When processing payroll, how does ADP ensure tax compliance?
Please select 3 correct answers
ADP’s payroll systems are updated with the latest tax rates, generate and file necessary forms, and provide alerts for tax deadlines. While employers can adjust some settings, ADP's automation reduces manual intervention and errors.