Match each payroll item that follows to the one item (a–f) that best describes its characteristics.          -           a.           b.           c.           d.           e.           f.       Federal income tax          -           a.           b.           c.           d.           e.           f.       FICA —Social security          -           a.           b.           c.           d.           e.           f.       FICA —Medicare          -           a.           b.           c.           d.           e.           f.       Federal unemployment compensation tax (FUTA)          -           a.           b.           c.           d.           e.           f.       State unemployment compensation tax (SUTA) a. Amount is limited, withheld from employee only b. Amount is limited, withheld from employee and matched by employer c. Amount is limited, paid by employer only d. Amount is not limited, withheld from employee only e. Amount is not limited, withheld from employee and matched by employer f. Amount is not limited, paid by employer only

Lois works for Marian Transport in Québec and is paid $2,541.13 semi-monthly. Her employer provides group term life insurance coverage and pays 100% of the premiums for Lois's coverage. This non-cash taxable benefit is $24.00 per pay. She contributes 5% of her gross earnings to the company's Registered Pension Plan each pay and pays $20.00 semi-monthly for union dues. Her federal TD1 claim code is 1 and her provincial TP-1015.3-V deduction code is A. Lois will not reach the Québec Pension Plan, Employment Insurance or Québec Parental Insurance Plan annual maximums this pay period. Calculate Lois's net pay, following the steps in the payroll calculation template.

1. Who assigns the SUTA tax rate to an employer? Answer:   A.    The Internal Revenue Service     B.    The state in which the employer is located     C.    The Social Security Administration     D.    The American Payroll Association 2. What is the due date for the first quarter FUTA tax? Answer:   A.    April 30     B.    March 30     C.    April 15     D.    None of these options 3. Match each tax with its associated feature. SUTA Self-employment Social Security and Medicare       The employer presently matches the amount employees pay. If net SE income is below $400, no tax is due. The number of laid-off employees may affect it.

Which of the following is not an item deducted from salary expense to arrive at net pay? Multiple Choice O O FICA tax for Social Security FICA tax for Medicare These answer choices are all deducted from salary expense to arrive at net pay Federal unemployment tax