ABKA214 - Payroll Fundamentals Assessment Questions 2026 |  The Career Academy AU

Payroll Fundamentals

Read through the requirements below, complete all parts of the assessment and then save your work as either a Word document or a PDF file. Once you have saved your work dick on the Assessment submission link within this course and upload your completed assessment to your tutor for marking.

Required

In your own words provide answers to each of the following:

Question One

Explain the importance of payroll security, including comments on the role that control measures play in payroll security.

Organisations are bound by the requirements of privacy legislation to ensure confidentiality of payroll information. They are also required to comply with the privacy principles when collecting any personal information gathered from staff.✔

All roles within payroll having clearly defined responsibilities will assist in avoiding and eliminating security breaches and loopholes in payroll processing. Payroll procedures must be thoroughly documented and enforced to ensure the security of the payroll process and staff.

Question Two

Explain the purpose of checking payroll data, and how to reconcile payroll information.

Failure to check payroll data adequately could result in inaccurate payroll records and calculations, payment for work not preformed, overpayment, superannuation, PAYG Withholding, Fringe Benefits Tax costs being incorrectly calculated. ✔

When reconciling payroll amounts you need to verify that all the accounts affected by the payroll transactions agree and total the gross amount used in calculating the payroll amount.✔

Question Three

Explain what PAYG Withholding tax is, including how to register for PAYG Withholding, and how the PAYG rate of an employee is determined.

PAYG Withholding tax is used to incrementally put aside portions of tax throughout the financial year towards the employee's expected liability at year's end.✔

You can register for PAYG Withholding online, your tax or BAS agent, using your Standard Business Reporting software, calling the ATO office or by complating a paper form. ✔

Information obtained from an employee's tax declaration is used to ascertain the correct withholding rate of tax.✔

Question Four

Explain what the National Employment Standards (NES) and Modern Awards are, and how these relate to wage payments.
Employers and employees in the national workplace system are covered by the NES. Under NES, employees have certain minimum conditions and together with modern awards and minimum wage orders, the NES makes up the safety net that cannot be altered to the disadvantage of the employee.✔

Modern awards are industry or occupation-based minimum employment standards which apply in addition to the NES and a minimum wage is an employee's base rate of pay for ordinary hours worked and it works in correlation with a modern award or registered agreements,✔.

Question Five

Explain what is meant by the term "Protected Earnings Amount (PEA)".

The PEA is a set minimum amount that must be left after tax and child support is deducted from a persons wage. ✔

Question Six

Using the information provided below calculate the net pay to the employes, Paul Brown.

Paul Brown's weekly gross pay is $945. The PAYG withheld from this is $145. The employer (you) has been asked by the CSA to deduct $275 in child support each week. What is the weekly net pay for Paul? Show all workings.

Question Seven

Using the information provided below determine the PAYG to be deducted from the employee's annual leave, and the net pay she will receive using the NAT 1005 tax table.

Jennifer Long has worked for ABC Pty Ltd for the past 18 months, in a full time capacity as a receptionist. She is an Australian resident for tax purposes and receives an annual salary of $39,000. She is paid weekly and has no HELP, SSL or TSL debt. Jennifer is paid a weekly wage of $750 before tax, and she opted to take advantage of the tax free threshold when she completed the tax declaration form. No loading applies to annual leave taken by Jennifer.

Next week, Jennifer will take two weeks annual leave. Determine the PAYG to be deducted from the employee's annual leave, and the net pay she will receive. Show all workings.

Question Eight

Using the information provided below determine the PAYG to be deducted from the employee's annual leave, and the net pay he will receive using the NAT 1006 tax table.

Swanson Prior has worked for XYZ Pty Ltd for the past 4 years in a full time capacity as an architect. He is an Australian resident for tax purposes and receives an annual salary of $96,200.