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National Payroll Institute PF1 Exam Syllabus Topics:

National Payroll Institute Payroll Fundamentals 1Exam Sample Questions:

1. Anne Massy works for Liberty Promotions in Nunavut and is provided with a company-leased automobile.
The automobile was in Anne's possession for 365 days. Of the 34,134 kilometres driven, 15,805 kilometres were for business purposes. The monthly lease cost of the vehicle was $198.60, excluding GST calculated at
5%. Anne requested in writing that Liberty Promotions use the optional operating cost method if all conditions apply. She did not reimburse the company for any of the expenses associated with the automobile.
Calculate Anne's annual automobile taxable benefit.

2. Duncan Drapak was employed in Ontario. Upon termination of his employment, he will be paid $7,760.00 legislated wages in lieu of notice together with his final weekly pay of $875.00. Calculate Duncan's Canada Pension Plan (CPP) contribution if the yearly maximum contribution will not be exceeded.

3. An interruption of earnings occurs when there is a period of how many days with no insurable earnings?

A) Five business days
B) Seven business days
C) Five calendar days
D) Seven calendar days

4. Dollar amounts that are paid to an employee to cover expenses that they incurred while performing their job, but are not considered in the calculation of an employee's earnings are:

A) Benefits
B) Expense reimbursements
C) Earnings
D) Allowances

5. The formula for calculating net pay is:

A) Gross earnings minus total tax
B) Gross earnings minus total deductions
C) Pensionable earnings minus total deductions
D) Net taxable income minus total deductions

Solutions: