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Accounting ch 8

College Accounting ch 8

QuestionAnswer
Direct Deposit A payroll method in which the employee does not handle the paycheck; payment is made by the employer directly to the employee's bank.
Electronic System A computer system based on a software package that performs all payroll record keeping and prepares payroll checks.
Employee Someone who works under the control and direction of an employer.
Employee Earnings Record A separate record of each employee's earnings.
Fair Labor Standards Act (FLSA) Payroll taxes withheld to provide Social Security and Medicare benefits.
Gross Pay Anemployee's total earnings.
Independent Contractor Someone who performs a service for a fee and does not work under the control and direction of the company paying for the service.
Manual System Payroll system in which all records are preparedby hand.
Net Pay Gross pay less mandatory and voluntary deductions.
Payroll Processing Center A business that sells payroll record-keeping services.
Payroll Register A form used to assemble the data required at the end of each payroll period.
Salary Compensation for managerial or administrative services.
Wage-Bracket Method A method of determining the amount to withhold from an employee's gross pay for a specific time period. Wage-bracket tables are provided by Internal Revenue Service.
Wages Compensation for skilled or unskilled labor.
Withholding Allowance A specific dollar amount of an employee's gross pay that is exempt from federal income tax withholding.
Created by: dengler
 

 



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