HUMR-1007 Payroll and Taxable Benefits

Case Study 2

Total Marks /63

For the following employee:

1. Complete a current year Federal and Provincial TD1 form for the employee. And use these totals to identify the claim code for Federal and Provincial tax.

(6 Marks)

Note: Include these as additional attachments in the LEARN Dropbox (either image file or document file). Fillable forms are available on the CRA website.

2. Calculate the net payable, using the format below, for the last three bi-weekly pay periods (note: each pay period covers a Sunday - Saturday period with the last period in August covering August 13 August 26, showing all the appropriate sub-calculations of gross pays and deductions.

(39 Marks)

3. Linda Buckley has accepted an offer of employment with one of Diverses competitors. Linda's last day at Diverse was September 1^st. Linda has not taken any vacation. Prepare a Record of Employment for the employee. Hint: Use a calendar to help calculate all the required pay periods gross earnings and hours.

(18 Marks)

Note: Include this as additional attachment in the LEARN Dropbox (either image file or document file). Fillable forms are available in the Case Study 2 content section in LEARN.

Information:

Province of employment: Manitoba

Employer: Diverse Enterprises Inc.

123 Street.

Winnipeg, Manitoba, R2R 2R2

Employer RCT No.: 102 345 678 RP0001

Employee Name: Linda Buckley

420 Ash St

Wpg, MB R3R 1C1

Position: Technician

Birth Date: August 21, 1992

SIN: 627-673-327

Pay method: Salary

Pay frequency: Bi-weekly

Number of hours worked per pay period 80/8 hours per day

Pay rate: $42,000 annually

Start Date: March 22, 2021

Termination Date: September 1, 2021

Last pay period ending date: September 11, 2021

Miscellaneous deductions:

Extended Health Benefits $10.00 per pay

Dental premium $14.00 per pay

Registered Co. Pension Plan 1.6% of gross pay per pay

Additional information:

• Monthly downtown parking fees of $63.00 (includes GST) are paid by the employer and a prorated taxable benefit is included on each pay.

• Diverse Enterprises was closed for the Civic Holiday in August and all salaried employees were paid for their regular hours/pay for the day.

• Employees at Diverse work a Monday to Friday work week.

• Linda Buckley is married and is supporting her husband who currently has no income. Linda claims her spouse on both her TD1 forms.

• Lindas final pay included her vacation pay and regular pay.

_______________________________________________________________

Question 1:

Include TD1 forms as additional attachments in the LEARN Dropbox.

Question 2:

Period covered: July 30 - August 12

Regular hours hours____ X _______ = ______________

Total Gross Pay ___________________________________

Tax Ben _______ ___________________________________

Gross Taxable ___________________________________

_______________ ___________________________________

Net Taxable ___________________________________

CPP ___________________________________

EI _______________________________________

FED TAX (CC____) ___________________________________

PROV TAX (CC____) ___________________________________

________________ ___________________________________

________________ ___________________________________

________________ ___________________________________

Net Pay ___________________________________

Period covered: August 13 August 26

Regular hours hours____ X _______ = ______________

Total Gross Pay ___________________________________

Tax Ben _______ ___________________________________

Gross Taxable ___________________________________

_______________ ___________________________________

Net Taxable ___________________________________

CPP ___________________________________

EI _______________________________________

FED TAX (CC____) ___________________________________

PROV TAX (CC____) ___________________________________

________________ ___________________________________

________________ ___________________________________

________________ ___________________________________

Net Pay ___________________________________

Period covered: August 27 September 9

Regular hours hours____ X _______ = ______________

Vacation Pay ______________________________

Total Gross Pay ___________________________________

Tax Ben _______ ___________________________________

Gross Taxable ___________________________________

_______________ ___________________________________

Net Taxable ___________________________________

CPP ___________________________________

EI _______________________________________

FED TAX (CC____) ___________________________________

PROV TAX (CC____) ___________________________________

________________ ___________________________________

________________ ___________________________________

________________ ___________________________________

Net Pay ___________________________________