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Section 3 of 7

CSLB Payroll Practice Questions

10 free practice questions on payroll, part of the Employment Requirements section (about 20% of the exam). Try each one, then open the answer: every choice is explained and the law is quoted.

Questions and answers

  1. Employment Requirements

    1. A contractor fires (discharges) an employee on a Tuesday afternoon. Under Labor Code section 201, when are the employee's earned and unpaid wages due?

    • A. Within 72 hours after the discharge
    • B. Immediately, at the time of discharge
    • C. On the next regular payday
    • D. Within 7 calendar days after the discharge
    Show answer

    Correct answer: B

    • A. Within 72 hours after the discharge

      The 72-hour rule is for an employee who quits without notice, not for a firing. Section 201 makes a discharged employee's wages due immediately.

    • B. Immediately, at the time of discharge

      Correct answer

      Correct. Section 201 says that when an employer discharges an employee, the wages earned and unpaid at that time are due and payable immediately.

    • C. On the next regular payday

      Waiting until the next regular payday is too late for a discharged employee. Section 201 makes the wages due immediately at the time of discharge.

    • D. Within 7 calendar days after the discharge

      Waiting 7 days is too late for a discharged employee. Section 201 makes the wages due immediately, not within a number of days.

    Explanation

    Labor Code section 201 says that when an employer discharges an employee, the wages earned and unpaid at that time are due and payable immediately. The 72-hour rule is for an employee who quits without notice, not for a firing. Waiting until the next regular payday or for 7 days is too late for a discharged employee.

    Source

  2. Employment Requirements

    2. An employee earns $20 an hour. On the first workday of the week, she works 14 hours. She has no alternative workweek schedule. Under Labor Code section 510, what is her total pay for that day?

    • A. $280
    • B. $340
    • C. $360
    • D. $400
    Show answer

    Correct answer: C

    • A. $280

      $280 pays all 14 hours at the regular rate. Hours 9 to 12 must be paid at one and one-half times the regular rate, and hours 13 and 14 at twice the regular rate.

    • B. $340

      $340 pays all 6 extra hours at time and a half. Hours 13 and 14 are over 12 hours in a day, so they must be paid at twice the regular rate.

    • C. $360

      Correct answer

      Correct. The first 8 hours are 8 x $20 = $160, hours 9 to 12 are 4 x $30 = $120, and hours 13 and 14 are 2 x $40 = $80, for a total of $360.

    • D. $400

      $400 pays all 6 extra hours at double time. Only work over 12 hours gets double time; hours 9 to 12 get one and one-half times the regular rate.

    Explanation

    Labor Code section 510 requires one and one-half times the regular rate for work over 8 hours in a day, and twice the regular rate for work over 12 hours in a day. Step 1: The first 8 hours are 8 x $20 = $160. Step 2: Hours 9 to 12 are 4 hours at $30, so 4 x $30 = $120. Step 3: Hours 13 and 14 are 2 hours at $40, so 2 x $40 = $80. Step 4: The total is $160 + $120 + $80 = $360. The $280 answer pays all 14 hours at the regular rate. The $340 answer pays all 6 extra hours at time and a half. The $400 answer pays all 6 extra hours at double time.

    Sources

  3. Employment Requirements

    3. For 2026, a contractor pays an employee a $2,000 bonus in a separate check, apart from regular wages. The contractor uses the flat-rate method for California Personal Income Tax (PIT) on supplemental wages. How much California PIT should be withheld from the bonus?

    • A. $26.00
    • B. $132.00
    • C. $204.60
    • D. $440.00
    Show answer

    Correct answer: C

    • A. $26.00

      This uses the 1.3 percent SDI rate. The flat PIT rate for bonuses is 10.23 percent.

    • B. $132.00

      This uses the 6.6 percent rate, which is for other supplemental wages such as overtime or commissions. The flat rate for bonuses is 10.23 percent.

    • C. $204.60

      Correct answer

      A bonus paid apart from regular wages may use the flat-rate option, and the rate for bonuses is 10.23 percent. $2,000 x 0.1023 = $204.60.

    • D. $440.00

      This uses the 22% federal flat rate, not the California rate. The California flat PIT rate for bonuses is 10.23 percent.

    Explanation

    The 2026 EDD Employer's Guide (DE 44) says that when supplemental wages are not paid at the same time as regular wages, the employer may withhold a flat percentage, and the rate for bonuses is 10.23 percent. Step 1: Write the rate as a decimal: 10.23 percent = 0.1023. Step 2: Multiply: $2,000 x 0.1023 = $204.60. The $132.00 answer uses the 6.6 percent rate, which is for other supplemental wages such as overtime or commissions. The $26.00 answer uses the 1.3 percent SDI rate. The $440.00 answer uses the 22% federal flat rate, not the California rate.

    Sources

  4. Employment Requirements

    4. The Labor Commissioner cites a contractor for the first time. The contractor did not give one employee the itemized wage statement that Labor Code section 226(a) requires. It was not a clerical error or honest mistake. Under Labor Code section 226.3, what is the civil penalty for this employee for the violation?

    • A. $50
    • B. $100
    • C. $250
    • D. $1,000
    Show answer

    Correct answer: C

    • A. $50

      $50 is a per-pay-period penalty an employee may recover under section 226(e), a different rule. Section 226.3 sets $250 per employee in an initial citation.

    • B. $100

      $100 is a per-pay-period penalty an employee may recover under section 226(e), a different rule. Section 226.3 sets $250 per employee in an initial citation.

    • C. $250

      Correct answer

      Correct. Section 226.3 sets a civil penalty of $250 per employee per violation in an initial citation, and this is the contractor's first citation.

    • D. $1,000

      $1,000 per employee applies to each violation in a subsequent citation. This is the first citation, so the penalty is $250.

    Explanation

    Labor Code section 226.3 sets a civil penalty of $250 per employee per violation in an initial (first) citation. The penalty rises to $1,000 per employee for each violation in a subsequent (later) citation. The $50 and $100 amounts are the per-pay-period penalties an employee may recover under Labor Code section 226(e), a different rule. Section 226.3 penalties are in addition to any other penalty.

    Source

  5. Employment Requirements

    5. A contractor owns a van used for ridesharing. Some workers choose to ride in it to the first job site each morning; the contractor does not require it. Under Labor Code section 510, is this commute time part of their day's work?

    • A. Yes, because the contractor owns the van they ride in
    • B. Yes, but only when the ride lasts more than 30 minutes
    • C. No, but only if each worker signs a written waiver first
    • D. No, because ridesharing commute time is not counted as work
    Show answer

    Correct answer: D

    • A. Yes, because the contractor owns the van they ride in

      The contractor owning the van is exactly the situation the law covers. Commuting in an employer-owned rideshare vehicle is not part of a day's work.

    • B. Yes, but only when the ride lasts more than 30 minutes

      The law has no 30-minute rule. Commute time in an employer-owned, leased, or subsidized rideshare vehicle is not counted as work.

    • C. No, but only if each worker signs a written waiver first

      The law does not require a written waiver. The commute time is excluded from the day's work without one.

    • D. No, because ridesharing commute time is not counted as work

      Correct answer

      Correct. Time spent commuting to the first place the employer requires the employee to be is not part of a day's work when the employee rides in an employer-owned rideshare vehicle.

    Explanation

    Labor Code section 510(b) says time spent commuting to the first place the employer requires the employee to be is not part of a day's work when the employee rides in an employer-owned, leased, or subsidized vehicle used for ridesharing. The fact that the contractor owns the van is exactly the situation the law covers, so it does not make the time count. The law has no 30-minute rule. It also does not require a written waiver.

    Source

    • Lab. Code §510(b)

      Time spent commuting to and from the first place at which an employee’s presence is required by the employer shall not be considered to be a part of a day’s work, when the employee commutes in a vehicle that is owned, leased, or subsidized by the employer and is used for the purpose of ridesharing, as defined in Section 522 of the Vehicle Code.

      View source: Lab. Code §510(b)Official site for Lab. Code §510(b) (opens in a new tab)

  6. Employment Requirements

    6. A contractor paid a laborer less than the minimum wage. The unpaid minimum wages are $1,200. He files a wage claim with the Labor Commissioner under Labor Code section 98. The contractor cannot show it acted in good faith. Under Labor Code section 1194.2, what liquidated damages may he recover?

    • A. None, because they apply only to unpaid overtime
    • B. $1,200, equal to the unpaid wages, plus interest
    • C. $2,400, twice the unpaid wages, plus interest
    • D. $3,600, three times the unpaid wages, plus interest
    Show answer

    Correct answer: B

    • A. None, because they apply only to unpaid overtime

      Section 1194.2 liquidated damages are for an employee paid less than the minimum wage, which is exactly this laborer's claim.

    • B. $1,200, equal to the unpaid wages, plus interest

      Correct answer

      Correct. Section 1194.2 gives liquidated damages equal to the wages unlawfully unpaid, plus interest, so he may recover $1,200 plus interest in addition to the unpaid wages.

    • C. $2,400, twice the unpaid wages, plus interest

      $2,400 doubles the amount. The law gives liquidated damages equal to the unpaid wages, not twice that amount.

    • D. $3,600, three times the unpaid wages, plus interest

      $3,600 triples the amount. The law gives liquidated damages equal to the unpaid wages, not three times that amount.

    Explanation

    Labor Code section 1194.2 says an employee paid less than the minimum wage may recover liquidated damages equal to the wages unlawfully unpaid, plus interest. Here that is $1,200 plus interest, in addition to the unpaid wages themselves. The law gives one equal amount, not two or three times the unpaid wages. Liquidated damages under this section are for minimum wage violations; the section says they are not for unpaid overtime.

    Source

  7. Employment Requirements

    7. A general contractor has 60 workers of its own. A labor contractor supplies 10 more laborers to do the general contractor's regular work on its job sites. The labor contractor fails to pay these laborers. Under Labor Code section 2810.3, is the general contractor liable for their wages?

    • A. Yes, it shares civil liability with the labor contractor for their wages
    • B. No, because only the labor contractor employs and pays these laborers
    • C. Yes, but only if its contract with the labor contractor says so
    • D. No, unless the laborers first win a judgment against the labor contractor
    Show answer

    Correct answer: A

    • A. Yes, it shares civil liability with the labor contractor for their wages

      Correct answer

      Correct. Section 2810.3 says a client employer shares with the labor contractor all civil legal responsibility and liability for paying wages to supplied workers. With 70 workers in total, the general contractor is not in the small-business exception.

    • B. No, because only the labor contractor employs and pays these laborers

      Section 2810.3 makes the client employer share wage liability for workers supplied by a labor contractor. It does not matter that the labor contractor employs and pays them.

    • C. Yes, but only if its contract with the labor contractor says so

      This liability comes from the statute, not from the contract. The section says a waiver of it is void.

    • D. No, unless the laborers first win a judgment against the labor contractor

      Section 2810.3 does not require the workers to win against the labor contractor first. The client employer shares liability for their wages.

    Explanation

    Labor Code section 2810.3 says a client employer (a business that gets workers from a labor contractor for its usual work) shares all civil legal responsibility and liability for the payment of wages to those workers. With 70 workers in total and more than five supplied workers, the general contractor is not in the small-business exception. This liability comes from the statute, not from the contract, and the section says a waiver of it is void. The section does not require the workers to win against the labor contractor first.

    Sources

  8. Employment Requirements

    8. A contractor signs a private contract that requires it to pay its electricians $48 an hour. Its payroll records show $48, but it secretly pays them only $40. Under Labor Code section 223, is this lawful?

    • A. Yes, because the contract is private, not a statute
    • B. Yes, because $40 is still above the minimum wage
    • C. No, because secretly paying below that scale is unlawful
    • D. No, but only if a union signed the contract
    Show answer

    Correct answer: C

    • A. Yes, because the contract is private, not a statute

      Wrong. Section 223 covers a wage scale required by any statute or contract, so a private contract counts.

    • B. Yes, because $40 is still above the minimum wage

      Wrong. Paying more than the minimum wage does not make secretly paying below the contract scale lawful.

    • C. No, because secretly paying below that scale is unlawful

      Correct answer

      Correct. When a contract requires a wage scale, it is unlawful to secretly pay a lower wage while claiming to pay that scale, as with paying $40 while records show $48.

    • D. No, but only if a union signed the contract

      Wrong. The rule covers wage scales set by any contract, not only a union agreement.

    Explanation

    Labor Code section 223 says that when a statute or a contract requires an employer to keep a set wage scale, it is unlawful to secretly pay a lower wage while claiming to pay that scale. Here the contract sets $48, so secretly paying $40 is unlawful. The rule covers wage scales set by any contract, not only by a statute or a union agreement. Paying more than the minimum wage does not make the secret underpayment lawful.

    Source

  9. Employment Requirements

    9. An employee has no written contract for a set period of time. She quits with no advance notice. Under Labor Code section 202, when must her final wages be paid?

    • A. Immediately, on the same day she quits
    • B. On the next regular payday after she quits
    • C. Within 30 days after the day she quits
    • D. Not later than 72 hours after she quits
    Show answer

    Correct answer: D

    • A. Immediately, on the same day she quits

      Payment at the time of quitting is required only when the employee gave 72 hours of notice first. She quit with no notice, so her wages are due not later than 72 hours after quitting.

    • B. On the next regular payday after she quits

      The next regular payday is not the deadline in section 202. Because she quit without notice, her wages are due not later than 72 hours after she quits.

    • C. Within 30 days after the day she quits

      Thirty days is not the deadline in section 202 and is far too late. Her wages are due not later than 72 hours after she quits.

    • D. Not later than 72 hours after she quits

      Correct answer

      Correct. Section 202 says an employee without a written contract for a definite period who quits without 72 hours' notice must be paid not later than 72 hours after quitting.

    Explanation

    Labor Code section 202 says that when an employee without a contract for a definite period quits, the wages are due not later than 72 hours after quitting. Payment at the time of quitting is required only when the employee gave 72 hours of notice first. The next regular payday and 30 days are not the deadlines in section 202.

    Source

  10. Employment Requirements

    10. On Monday morning, an employee tells his employer that he will quit at the end of work on Friday. He has no written contract for a set period. Under Labor Code section 202, when are his final wages due?

    • A. At the time he quits on Friday
    • B. 72 hours after he quits on Friday
    • C. On the next regular payday after Friday
    • D. Within 7 calendar days after Friday
    Show answer

    Correct answer: A

    • A. At the time he quits on Friday

      Correct answer

      Correct. Monday morning to Friday evening is more than 72 hours of notice, and section 202 says an employee who gives 72 hours' notice is entitled to the wages at the time of quitting.

    • B. 72 hours after he quits on Friday

      The 72-hour wait applies only when the employee quits without 72 hours' notice. He gave that notice, so his wages are due when he quits on Friday.

    • C. On the next regular payday after Friday

      The next regular payday is not the deadline in section 202. Because he gave at least 72 hours' notice, his wages are due at the time he quits.

    • D. Within 7 calendar days after Friday

      Seven calendar days is not a deadline in section 202. Because he gave at least 72 hours' notice, his wages are due at the time he quits on Friday.

    Explanation

    Labor Code section 202 says that if the employee gives at least 72 hours of notice before quitting, the employee is entitled to the wages at the time of quitting. Monday morning to Friday evening is more than 72 hours, so the wages are due when he quits on Friday. The 72-hour wait applies only when the employee quits without that notice. The next payday and 7 days are not the deadlines in this section.

    Source

Keep studying

Read the Section 3 study notes: Employment Requirements

Study guides for this section