Fundamental Payroll Certification Cheat Sheet 2026

The 30 highest-yield Fundamental Payroll Certification facts, distilled from real exam questions. Print it, save it as a PDF, or study it here — free, no sign-up.

1. Which copy of Form W-2 must be filed with the Social Security Administration? → Copy A
2. A Health Savings Account (HSA) can only be opened by an employee enrolled in which type of health plan? → High-Deductible Health Plan (HDHP)
3. Which employees of a corporation must adhere to a confidentiality agreement respecting personnel records? → Human Resources and Payroll
4. Which of the following is NOT required under the FLSA? → Vacation Pay
5. Which form is furnished to each full-time employee to report health coverage offers under the Affordable Care Act? → Form 1095-C
6. If an employee has not received Form W-2 by February 15, what is the recommended course of action? → Contact the employer first, then the IRS if still unresolved
7. Under Section 125, a cafeteria plan allows employees to choose between which of the following? → Taxable cash and qualified non-taxable benefits
8. Which IRS form is used to request an extension of time to file information returns such as W-2s with the SSA? → Form 8809
9. Except for whom of the following are all non-exempt workers? → A person whose primary job is to index computer files continuously
10. Under COBRA, who is responsible for paying the premium for continuation coverage? → The former employee, up to 102% of the group plan cost
11. What two forms must be completed before you may get paid? → Form W-4 and Employee's Withholding Allowance Certificate
12. What class of worker is not covered by the Fair Labor Standards Act (FLSA)? → All of the above
13. What situation can lead an employee to file a lawsuit against an employer for breaking the Americans with Disabilities Act? → The confidentiality of an employee's medical records is compromised
14. Which regulation may lead to the ownership of unpaid wages when an employer records an employee's start and stop timings using rounding practices? → The seven-minute rule
15. What is the deadline for filing W-2 forms with the SSA, whether submitted on paper or electronically? → January 31
16. A SIMPLE IRA plan may be established by employers with no more than how many employees? → 100
17. Which aspect affects whether an employee contributes to Social Security and Medicare? → The income is considered taxable under Federal Insurance Contribution Act (FICA) rules
18. Which of the following factors does the IRS take into account when deciding whether a person should be correctly classified as an independent contractor? → Whether the individual controls how the work will be done
19. What is the primary purpose of an employee completing IRS Form W-4, Employee's Withholding Certificate? → To allow the employer to determine the correct amount of federal income tax to withhold.
20. When an employee has personal use of a company-provided vehicle, the value of that personal use is: → Taxable compensation included in gross income
21. How many hours a 14- to 15-year-old may work each week while school is in session? → 15
22. How are taxes withheld when supplemental wages are paid concurrently with regular wages? → Withholding taxes are based on the total of the wagers and supplemental wages
23. What does Code D in Box 12 of Form W-2 represent? → Elective deferrals to a 401(k) plan
24. In most states, State Unemployment Insurance (SUI) taxes are paid by: → Employers only
25. The 'physical presence test' for multi-state payroll withholding generally means: → Withholding is required in any state where the employee physically performs work
26. By what date must employers furnish Form W-2 to employees? → January 31
27. In payroll, 'imputed income' refers to: → The taxable value of non-cash benefits included in gross income
28. Which form might an employee use to report tips received to an employer? → Form 4070
29. Pennsylvania's local Earned Income Tax (EIT) is administered by: → Local tax collectors or tax collection districts
30. Which type of retirement plan guarantees a specific monthly benefit at retirement based on salary and years of service? → Defined benefit plan