CPP Basic 4

Question 1

Which federal agency enforces the Fair Labor Standards Act (FLSA)?

Accepted Answer

Department of Labor Wage and Hour Division

Answer

The Wage and Hour Division (WHD) of the U.S. Department of Labor is responsible for enforcing the FLSA.

Question 2

What is the Social Security wage base for 2024?

Accepted Answer

$168,600

Answer

The Social Security (OASDI) wage base for 2024 is $168,600; earnings above this amount are not subject to the 6.2% Social Security tax.

Question 3

A tipped employee earns $2.13/hr in direct wages. If their total tips plus direct wages do not reach federal minimum wage, what must the employer do?

Accepted Answer

Make up the difference so total hourly earnings equal at least the federal minimum wage

Answer

If the tip credit does not bring the employee's total hourly earnings up to the federal minimum wage ($7.25), the employer must pay the difference.

Question 4

Which form must employers use to verify that new hires are legally authorized to work in the United States?

Accepted Answer

Form I-9

Answer

Form I-9 (Employment Eligibility Verification) must be completed by all new hires to confirm identity and work authorization.

Question 5

Under FLSA, what is the minimum salary threshold for white-collar overtime exemptions as updated in 2024?

Accepted Answer

$844 per week

Answer

Effective July 1, 2024, the DOL raised the white-collar exemption salary threshold to $844 per week ($43,888 annually).

CPP - Certified Payroll Professional Practice Test