Payroll

Interactive learning module - Fill in the blanks to test your knowledge

Instructions

Fill in the blanks in the statements below to test your knowledge. Click "Check Answers" to see your results. If in doubt, you should go back to your BPP Interactive Text and revise first.

Basic Payroll Concepts

A payroll is a list of employees and what they are.

pay is what the employee earns andNet pay pay is what they actually receive in cash or by transfer to their bank account.

pay is the rate for the job, before overtime and bonuses.

Payroll Deductions

Payroll deductions include

deductions (income tax,

contributions) and other deductions (pension contributions, savings schemes, trade union subscriptions).

Payslip Requirements

By law, a payslip must show:

Gross pay
Net pay
Employer's name
Employee's name

Payments and Records

Wages can be paid automatically to employees by(Bankers Automated Clearing Service).

Payroll records will come under the provisions oflegislation.

TRY QUESTIONS 4.1 TO 4.11

Possible Pitfalls

Mistakes you know you should avoid:

Assuming payroll doesn't matter
Ignoring the role of the personnel department
Not being sure how to calculate the various elements of pay
Not being sure how to deal with deductions