Test your basic knowledge |

Human Resources Management: Compensation

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. Social Security Administration program that provides medical care for the aged; is taxed with no yearly maximum and is matched by the employer






2. Act that made changes to rules regarding the ability of tax-exempt organizations to institute retirement plans modeled after 401(k) and IRA accounts and to the definition of highly compensated employees






3. Basic compensation an employee receives - usually as a wage or salary






4. Evaluation method that establishes a hierarchy of jobs from lowest to highest based on overall importance to the organization






5. Rulings issued by the IRS to specific taxpayers or organizations who request an interpretation of the law






6. Pay adjustment given to employees regardless of their performance or company profitability; usually linked to inflation; also referred to as a standard percentage raise






7. Health plan that covers specific expenses not covered by Medicare






8. Act that added two sections to the Tax Code: Section 125 and Section 401(k)






9. Type of health-care plan in which the physician is paid on a per capita (per head) basis rather than for actual treatment provided






10. Describes the extra pay that employees receive when they are called into work during an emergency (e.g. power outage)






11. Act that adjusts certain minimum vesting schedules - increases retirement plan compensation and contribution limits - permits catch-up contributions by participants over age 50 in certain retirement plans - and modifies distribution and rollover r






12. Premium ammount that a company pays on behalf of an employee; the employee does not receive the benefit in dollars but does pay taxes on it






13. Plan in which the employer and sometimes the employee make an annual payment to the employee's retirement plan account






14. Income tax credit to encourage employers to hire long-term welfare recipients






15. Systematic determination of the relative worth of jobs within an organization






16. Point-factor job evaluation system developed by Hay Associates - a large consulting organization; also known as the Guide Chart-Profile






17. Form of insurance carried by employers for their employees that provides a lump-sum payment to the employee's beneficiaries






18. Amendment to the Portal to Portal Act; Clarifies that commuting time is not paid working time






19. General term for a medical plan that seeks to ensure that the treatments a person receives are medically necessary and provided in a cost-effective manner.






20. Required for nonexempt workers under FLSA at 1.5 times the regular rate of pay for hours over 40 in a workweek.






21. 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






22. Payroll deductions such as tax levies and court-ordered child support that an employee must pay; withheld from paychecks before voluntary deductions






23. Benefits paid to unemployed workers beyond required government unemployment benefits






24. Jobs used as reference points when setting up a job classification system and when designing or modifying a pay structure






25. Individual - usually a primary-care physician - who is given control of patient access to specialists and services in a managed care organization






26. Instrument that measures change over time for costs of a group of goods and services






27. Act that prohibits wage discrimination by requiring equal pay for equal work






28. Act that regulated 'insider trading'






29. Stock bonus plans by which employees gain ownership in the organization for which they work


30. The pay level divided by the midpoint of the pay range






31. Extra pay for working holidays or vacation days.






32. Rulings published by the IRS as general guidelines to all taxpayers






33. Job comparison method that involves the ranking of each job by each selected compensable factor and then identifying dollar values to develop a pay rate






34. Type of Section 125 plan that allows employees to pay for certain qualified benefits with pretax dollars






35. Collect information on prevailing market rates and include topics such as incentive plans - overtime pay - base pay - and vacation and holiday practices.






36. Occurs when there is only a small difference in pay between employees regardless of their skills - experience - or seniority; also known as salary compression






37. Tax-deferred accounts to which wage earners can contribute an amount up to a yearly maximum






38. System used by federal government to classify jobs






39. Act that requires benefit continuation and crediting of service while an employee is on military active duty






40. Includes all renumeration for services (including noncash benefits) and wages - which are taxable when paid






41. Type of formula used to determine retirement plan payments based on the average earnings during a specified number of years






42. Payment paid to salespeople - usually calculated as a percentage of sales






43. One-time payment made to an employee - also called a performance bonus






44. Typically paid to nonexempt workers for the time they spend traveling to or between work assignments






45. Form of compensation commonly referred to as benefits






46. Plans that allow employees to make tax-favored pay deferrals toward retirement savings through a payroll deduction plan






47. A system by which qualified retirement plan participants become incrementally vested over a period of years of service






48. Specified percentage (typically 20-30%) of covered medical expenses that employee pays or the fixed dollar amount that a covered person pays each time he or she visits a physician; also known as coinsurance






49. Under COBRA - an event - such as termination for reasons other than gross misconduct - that allows employees to continue their group health-care coverage for a specified period of time






50. The total earnings before taxes; includes regular wages plus additional earnings such as tips - bonuses and overtime pay