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Form W-4 is the Employee’s Withholding Certificate. Payroll uses this form to determine the amount of federal income tax to withhold from wages.

Regular = 40 × $30 = $1,200. Overtime = 8 × ($30 × 1.5) = $360. Total = $1,560 (Correction: none of the provided answers match). Payroll must carefully apply overtime multipliers.

The Social Security Act of 1935 established retirement, disability, and survivor benefits funded by payroll taxes (FICA). Payroll plays a key role in withholding and remitting contributions.

Regular = 40 × $25 = $1,000. Overtime = 4 × ($25 × 1.5) = $150. Total = $1,150 (Correction: Answer not listed, should be $1,150). Payroll must calculate overtime carefully to ensure compliance.

The Internal Revenue Code (IRC), enforced by the IRS, governs federal tax withholding, deposits, and reporting. Payroll professionals must comply with IRC requirements to avoid penalties.