Answer:
Explanation:
1. Deductions
Deductions are amounts deducted from a gross amount. These deductions include both mandatory deductions that are required by law, and voluntary deductions are not legally required.
2. methods of paying employees
You can pay them by cash or direct bank transfer. But direct bank transfer is more secure way for payments.
3. commission
Commission is a sum of money that is paid to an employee upon completion of a task, usually the task of selling a certain amount of goods or services. It can be paid as a percentage of the sale or as a flat dollar amount based on sales volume.
4. hourly rate
A fixed hourly rate of pay means you have a set amount you're paid for each hour of work you perform. Unlike a salary where you make the same amount regardless of how much time you work, hourly workers are paid for exactly the amount of time they spend working
5. salary
Salary is a fixed amount of money or compensation paid to an employee by an employer in return for work performed. Salary is commonly paid in fixed intervals, for example, monthly payments of one-twelfth of the annual salary.
6. standard deductions
Standard deductions are the portion of income not subject to tax that can be used to reduce your tax payable. It is a dollar amount that is subtracted from their income before income tax is calculated. It reduces your total tax payable.
7. withholdings
Withholding is the portion of an employee's wages that is not included in his or her paycheck but is instead remitted directly to the federal, state, or local tax authorities. Withholding reduces the amount of tax employees must pay when they submit their annual tax returns. It is basically the amount deducted from the gross pay and usually paid to statutory authorities.
8. specific required deductions
These are mandatory deductions required to be deducted from employees gross pay. Employer has to deduct them from every employee.
9. voluntary deductions
Voluntary deductions are amounts which an employee has elected to have subtracted from gross pay. You are not required by law to deduct them unless employees opts them. Examples are group life insurance, healthcare, accident, disability and life insurance; retirement plan, and/or other benefit deductions.
10. payroll register
A payroll register is the record for a pay period that lists employee hours worked, gross pay, net pay, deductions, and payroll date. In other words, a payroll register is the document that records all of the details about employees' payroll during a period.
