Reference no: EM133148166

FNSTPB402 Establish and maintain payroll systems

Assessment Task 1: Written Questions

Provide answers to all of the questions below:

Question 1. List a useful source of information for keeping up to date with Modern Award changes to ensure that your payroll is correctly maintained.

Question 2. Bee Enterprises has an enterprise agreement with staff. Assume that in the role of the new payroll officer, you are reviewing employee payments and discover that wage rates are now less than the current award rates, which changed recently. Explain if this is allowed under the Fair Work Act 2009 and give a reason for your answer.

Question 3. Outline the payroll category in MYOB that can be adjusted based on an employee's award or agreement.

Question 4. Explain why is important for organisations to have confidentiality/privacy policies and procedures in place and what a payroll officer needs to be aware of when dealing with personal information?

Question 5. Give at least two payroll actions that a payroll officer would need to get authorisation for.

Question 6. Explain the term "structure of authority' as used in organisations in relation to payroll functions within an organisation.

Question 7. Outline two instances in which a payroll service provider does not need to register as a tax agent or BAS agent, as set out in the Payroll Service Providers Information Sheet issued by the Tax Practitioners Board according to the Tax Agent Services Act 2009.

Question 8. Assume that a client of yours is trying to decide whether to continue using their manual payroll system or to upgrade to a computerised system. To help them make the choice, explain the differences between manual and computerised payroll system, including at least two features and two advantages and disadvantages of each type of system.

Question 9. Explain why it is important for a payroll officer to understand the Fair Work Act 2009 and the National Employment Standards.

Question 10. Under the Fair Work Act, how much annual leave is an employee entitled to.

Question 11. Explain the superannuation guarantee scheme, including employee eligibility for superannuation under the Superannuation Guarantee Act.

Question 12. What allowances are there for employees with regard to voluntary contributions for superannuation?

Question 13. What tax benefits does payment of voluntary superannuation provide?

Question 14. Explain the circumstances in which an employer must pay a super guarantee charge.

Question 15. According to the Corporations Act, how long should business records be retained? What happens if a business does not retain required records?

Question 16. Explain the purpose of workplace/occupational health and safety legislation. Give an example of a safe work practice for a payroll officer needs to implement.

Question 17. Explain workers' compensation and give an example of an adjustment that may need to be made to a payroll system if an employee is entitled to worker's compensation.

Question 18. Explain why businesses have to pay payroll tax and identify thresholds and rates for businesses for the state or territory in which you are living.

Question 19. How long does the ATO require small businesses to keep records for? Give two examples of records that must be kept.

Question 20. Explain the importance of keeping payroll information confidential.

Question 21. Outline three areas that an organisation must address in regard to procedures around collection of personal information of employees to ensure it complies with the Australian Privacy principles.

Question 22. Outline the ATO requirements in relation to repayments of a higher education loan program (HELP).

Question 23. Explain the purpose of the Medicare levy and identify the rate at which it is levied.

Question 24. Explain the purpose of modern awards within the national workplace relations system and give an example of a modern award.

Question 25. Explain the purpose of enterprise bargaining and give an example of an enterprise agreement.

Question 26. Explain whether an employment contract can provide for less than the legal minimum under the NES.

Question 27. Under the Fair Work Act 2009, how much sick leave are employees entitled to.

Question 28. Explain the minimum legal requirements for long service leave.

Question 29. Outline the four main items that must be recorded against an employee's payroll record when they commence employment with a company to ensure they receive their correct salary and entitlements and their details are reported correctly to the ATO.

Question 30. Explain the purpose of the Australian Bureau of Statistics (ABS) Act and briefly explain how statistics produced by the ABS can be used by a business.

Question 31. List three entities who are entitled to an ABN

Question 32. Explain an employer's obligation regarding PAYG withholding tax and outline when PAYG withholding amounts must be paid for small withholders (individual or business that withholds amounts under 25,000), for a medium withholder (individual or business that withholds amounts of $25,0001 to 1 million) and large withholders (individual or business that withholds amounts totalling more than $1 million).

Question 33. Who is responsible for paying fringe benefits tax, and what is the FBT Rate for the financial year ending March 2015 and the financial years ending 2016 and 2017.

Question 34. What is fringe benefit in tax terms and two examples of fringe benefits and two examples of items used for work that would not be classified as fringe benefits.

Question 35. Give three examples of information that is reported on an Instalment Activity Statement (IAS)?

Question 36. In your own words, explain each principle of the TPB Code of Professional Conduct (Code) for all registered tax agents, BAS agents and tax (financial) advisers.

Question 37. What is an Early Termination Payment and when must it be made to be considered as an Early Termination Payment?

Question 38. How are Early Termination Payment made outside the permitted period taxed?

Question 39. Explain the concept of salary packaging and give two examples of common items that can be salary packaged.