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Test your basic knowledge |
Human Resources Management: Compensation
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Study First
Subject
:
business-skills
Instructions:
Answer 50 questions in 15 minutes.
If you are not ready to take this test, you can
study here
.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.
This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. Purchaes health-care plans for large groups of employers to provide small businesses the economic advantages large companies have
Call-Back Pay
Health Insurance purchasing cooperative (HIPC)
CPI (Consumer Price Index)
Variable pay
2. Health-care plan in which the employer assumes the risk of high health-care costs and hires an independent claims department to handle claims
TPA (third-party administrator) health-care plan
Employees
Individual retirement accounts (IRAs)
Hay Plan
3. Written benefit plans maintained by the employer that allow employees to use pretax dollars to pay for certain qualified benefits
Savings Incentive Match Plan for employees (SIMPLE)
Section 125 benefit plans
Excess Group-Term Life Insurance
Reporting pay
4. Collect information on prevailing market rates and include topics such as incentive plans - overtime pay - base pay - and vacation and holiday practices.
Pay surveys
Comission
FSA's (Flexible Spending Accounts)
Market-based evaluation
5. Work having equal skills - equal effort - equal responsibility - and equal working conditions - all performed at the same location
Equal Work
Incentive pay
Modified-duty programs
Comparable Worth
6. Form of base pay that is dependent on the number of hours worked
In loco parentis
Paired-comparison method
Hourly wage
Health Insurance Portability and Accountability Act(HIPAA)
7. Requires administrators of defined contribution plans to provide notice of covered blackout periods; provides whistle-blower protection for employees
Sarbanes-Oxley Act (SOX)
Maturity curves
Base Pay
Productivity-based pay
8. Correlate pay with time spent in a professional field such as teaching or research
Welfare-to-Work Tax Credit
Excess Deferral Plans
Medicare Part B
Maturity curves
9. One-time payment made to an employee - also called a performance bonus
Cliff Vesting
ADEA (Age Discrimination in Employment Act)
Supplemental wages
LSI (lump-sum increase)
10. Large bank of time comprising all an employee's paid time off (i.e. - vacation - sick leave - and holidays) that the employee can use as they see fit
Excess Deferral Plans
Sarbanes-Oxley Act (SOX)
EGTRRA (Economic Growth & Tax Relief Reconciliation Act)
Paid-time-off (PTO) bank
11. Act that established the prevailing wage and fringe benefit requirements for contractors on federally funded construction projects
Davis-Bacon Act
Individual retirement accounts (IRAs)
Fully Insured Health-Care Plan
Point-factor method
12. Jobs used as reference points when setting up a job classification system and when designing or modifying a pay structure
Davis-Bacon Act
Golden Parachutes
Benchmark Jobs
Variable pay
13. Type of Section 125 plan that allows employees to pay for certain qualified benefits with pretax dollars
OWBPA (older worker's benefit protection act)
Voluntary deductions
Job classification
POPS(premium-only plans)
14. Act that established the basic uniform standards that must be met by employer-sponsored pension - health and welfare benefit programs
Utilization review
EGTRRA (Economic Growth & Tax Relief Reconciliation Act)
ERISA (Employee Retirement Income Security Act)
Flat-Dollar Formula
15. System that shows preference to employees with the longest service
Preexisting conditions
Savings Incentive Match Plan for employees (SIMPLE)
Red-circle rates
Seniority
16. Plans in which employers make mandatory payments (a fixed percentage of an eligible employee's compensation) to a retirement plan.
Savings Incentive Match Plan for employees (SIMPLE)
Money purchase plans
Travel pay
Top hat plan
17. Bilateral social security agreements that coordinate the U.S. Social Security program with the comparable programs of other countries; also known as international social security agreements
Maturity curves
Money purchase plans
IRS 20-Factor Test
Totalization agreements
18. Pay systems in which employee characteristics - rather than the job - determine pay.
Portal-to-portal act
457 Plans
Performance-based pay
SEP(Simplified Employee Pension)
19. 'In place of a parent'; term used in expansion of FMLA coverage to employees who stand in place of a parent with day-to-day responsibilities to care for and financially support a child or who have a day-to day responsibility to care for or financiall
In loco parentis
COLA (Cost of Living Adjustment)
Green-Circle Rates
SEP(Simplified Employee Pension)
20. Clauses written into executive contracts that provide special payments ot key executives who might lose their position or be otherwise disadvantaged if another company took control of the organization through a merger or acquisition; also known as go
General Scheduled (GS) System
Comparable Worth
Prudent person rule
Parachutes
21. Income deferral benefit offered to a select group of management or highly compensated employees in the organization
Indirect compensation
Defense Authorization Bill
Nonqualified deferred compensation plan
Improshare plan
22. States that an ERISA plan fiduciary has legal and financial obligations not to take more risks when investing employee benefit program funds than a reasonably knowledgeable - prudent investor would under similar circumstances.
Prudent person rule
Line-of-sight
Golden Parachutes
Medicare carve-out
23. Refers to insurance coverage that provides a daily monetary benefit to people who are chronically ill and who require living assistance either at home or in a residential facility
Pay surveys
IRS 20-Factor Test
TPA (third-party administrator) health-care plan
Long-term care insurance
24. Determined by an array of issues such as business ownership (employee owns more than 5% of the firm) and/or salary (for 2003 - and 2004 - $90 - 000)
Modified-duty programs
Draw
Deductible
HCE(Highly compensated employee)
25. Refers to all forms of financial returns that employees receive from their employers
Time-based differential pay
Total Compensation
MHPA (Mental Health Parity Act)
Experience Rating
26. Group incentive plan developed by Joseph Scanlon; workers earn a bonus for increasing productivity
Voluntary deductions
Scanlon Plan
Indirect compensation
Nonqualified deferred compensation plan
27. Distribute a portion of an organization's profits to its employees
Guide Chart-Profile
Comission
HMOs(Health maintenace organizations)
Profit-sharing plans
28. Plan in which the employer and sometimes the employee make an annual payment to the employee's retirement plan account
403B Plans
Unemployment insurance
Scanlon Plan
Defined Contribution Plan
29. Create or recognize the right of an alternative payee to receive all or a portion of the benefits under a pension plan
QDROs(qualified domestic relations orders)
External Equity
Percentiles
Graded Vesting
30. Health plan where benefits are reduced for employees eligible for Medicare; Medicare becomes the primary provider
Experience Rating
Profit-sharing plans
Capitated Health Care Plan
Medicare carve-out
31. Pay that employees receive when they are called back for an extra shift in the same workday
Expatriates
Call-Back Pay
Performance-based pay
Involuntary deductions
32. Type of health-care plan in which the physician is paid on a per capita (per head) basis rather than for actual treatment provided
Walsh-Healey Act
Capitated Health Care Plan
SUB (supplemental unemployment benefits)
General Scheduled (GS) System
33. Occurs when there is only a small difference in pay between employees regardless of their skills - experience - or seniority; also known as salary compression
Overtime pay
Internal equity
Pay compression
Medicare supplement
34. Nonqualified deferred compensation plan designed to provide retirement benefits to a select group of management or highly compensated employees
HCE(Highly compensated employee)
Prudent person rule
Vesting
Top hat plan
35. Listing of grouped data - from lowest to highest
Frequency Distribution
Indirect compensation
Long-term disability(LTD) coverage
On-call pay
36. Pay based on the quantity of work and outputs that can be accurately measured
Self-insured health-care plan
Utilization review
Reasonable and customary
Productivity-based pay
37. Includes all renumeration for services (including noncash benefits) and wages - which are taxable when paid
Guide Chart-Profile
Taxable Wages
Point-factor method
Tax and Trade Relief Extension Act
38. Employees who are excluded from FLSA minimum wage and overtime pay requirements
Uniformed Services Employment and Reemployment Rights Act (USERRA)
Exempt Employees
Indirect compensation
Welfare-to-Work Tax Credit
39. Form of health care that provides services for a fixed period on a prepaid basis
Tax Reform Act
Gross Earnings
Base Pay
HMOs(Health maintenace organizations)
40. Concept that states that jobs filled primarily by women should have the same job classification and salary as similar jobs filled by men
Comparable Worth
Preexisting conditions
Job evaluation
OBRA (omnibus budget reconciliation act)
41. Employees covered under FLSA regulations - including minimum wage and overtime pay requirements
Private-letter rulings
Experience Rating
Nonexempt employees
OBRA (omnibus budget reconciliation act)
42. Act that prohibits wage discrimination by requiring equal pay for equal work
EPA (Equal Pay Act)
Dual-Ladder Career Progression
SEP(Simplified Employee Pension)
Benchmark Jobs
43. Rulings issued by the IRS to specific taxpayers or organizations who request an interpretation of the law
QDROs(qualified domestic relations orders)
Self-insured health-care plan
Private-letter rulings
401K Plans
44. Act that prohibits federal contractors from receiving kickbacks from employees or subcontractors for wages earned on federal projects
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45. Type of insurance that provides regular payments to the surviving spouse and dependent
Percentiles
Compensable Factors
457 Plans
Salary continuation
46. Act that made changes to improve health-care coverage portability and accessibility
Health Insurance Portability and Accountability Act(HIPAA)
Nonduplication of benefits
Coordination of Benefits
Long-term care insurance
47. Replaces a portion of an employee's lost income after short-term disability coverage ends; may be combined with Social Security disability
Direct Compensation
Long-term disability(LTD) coverage
Excess Group-Term Life Insurance
Final-Pay Formula
48. Payroll deductions such as tax levies and court-ordered child support that an employee must pay; withheld from paychecks before voluntary deductions
Involuntary deductions
Cash Profit-Sharing Plans
Geographic Differential Pay
POPS(premium-only plans)
49. Form of defined benefit plan that defines the promised benefit in terms of a hypothetical account balance and features benefit portability
Flat-Dollar Formula
Cash Balance Plan
Market-based evaluation
Pay compression
50. Persons who live in one country and are employed by an organization based in another country; also called international assignees
International assignees
Pay compression
401K Plans
Expatriates