CPM Compliance and Legal Requirements 3

Question 1

Under the Family and Medical Leave Act (FMLA), what is the maximum leave entitlement for a covered employee caring for a servicemember with a serious injury or illness?

Accepted Answer

26 weeks

Answer

Military caregiver leave under FMLA allows up to 26 workweeks in a single 12-month period for eligible employees.

Question 2

Which IRS form must an employer file to report nonpayroll federal income tax withholding (e.g., backup withholding on dividends)?

Accepted Answer

Form 945

Answer

Form 945 is used to report withheld federal income tax from nonpayroll payments such as pensions, gambling winnings, and backup withholding.

Question 3

Under the Immigration Reform and Control Act (IRCA), within how many business days of hire must an employee complete Section 1 of Form I-9?

Accepted Answer

On or before the first day of employment

Answer

Employees must complete Section 1 of Form I-9 no later than the first day of employment for pay.

Question 4

Which FLSA exemption applies to employees in administrative roles who primarily perform office work directly related to management or general business operations AND exercise discretion and independent judgment?

Accepted Answer

Administrative exemption

Answer

The administrative exemption requires the employee to exercise discretion and independent judgment with respect to matters of significance.

Question 5

An employee subject to state income tax moves mid-year from California to Nevada, which has no state income tax. How should the employer handle state withholding for the year?

Accepted Answer

Withhold California tax for the period worked in California and no state tax after the move date

Answer

Wages are generally taxable by the state where the work is performed, so California withholding applies only to the portion of wages earned while the employee lived and worked there.

(CPM) Certified Payroll Manager Practice Test

(CPM) Certified Payroll Manager Practice Test

CPM Compliance and Legal Requirements 3