Fundamental Payroll Certification Fundamental Payroll Core Payroll Concepts 5

Question 1

Employers must furnish W-2 forms to employees by what deadline each year?

Accepted Answer

January 31

Answer

Employers must provide W-2 forms to employees (and file copies with the SSA) by January 31 of the year following the calendar year covered.

Question 2

Which box on Form W-2 reports the total Social Security wages subject to the Social Security tax?

Accepted Answer

Box 3

Answer

Box 3 of Form W-2 shows Social Security wages, which may differ from Box 1 (federal wages) because certain pre-tax deductions reduce Box 1 but not Box 3.

Question 3

Form 941 (Employer's Quarterly Federal Tax Return) is generally due:

Accepted Answer

By the last day of the month following the end of the quarter

Answer

Form 941 is due by the last day of the month following the end of each quarter (April 30, July 31, October 31, January 31), with a 10-day extension if deposits are timely.

Question 4

Under IRS rules, how long must employers generally retain payroll records (including W-4 forms and wage records)?

Accepted Answer

3 years

Answer

The IRS requires employers to keep employment tax records for at least 4 years after the tax is due or paid (whichever is later), but the FLSA requires wage records for 3 years — commonly employers retain for 4+ years to satisfy all requirements.

Question 5

An employee who is a new hire must have their Form I-9 completed no later than:

Accepted Answer

Within 3 business days of their first day of work

Answer

Section 1 of Form I-9 must be completed by the employee no later than the first day of employment, while the employer must complete Section 2 within 3 business days of the employee's first day.

Fundamental Payroll Certification Practice Test

Fundamental Payroll Certification Practice Test

Fundamental Payroll Certification Fundamental Payroll Core Payroll Concepts 5