Payroll

Question 1

Payroll deductions

Answer 1

Amounts deducted from an employees pay, usually based on the gross pay

Question 2

Personal tax credits

Answer 2

Amounts that may be deducted from a persons income taxes and that determine the amount of income taxes to be withheld.

Question 3

TD1

Answer 3

A form known as the Personal Tax Credit Return that determines how much income tax is to be withheld by the employer based on the employee’s exemptions

Question 4

Canada Pension Plan

Answer 4

A national contributory retirement pension scheme.

Question 5

Employment Insurance

Answer 5

An employee/employer-financed unemployment insurance plan.

Question 6

Employee fringe benefits

Answer 6

Payments by an employer, on top of wages and salaries, made to acquire employee benefits such as insurance coverage and retirement income.

Question 7

Wage bracket withholding table

Answer 7

A table showing the amounts to be withheld from an employees’ wages at various levels of earnings.