Which of the following requires an employee's signature?

Prepare for the APA Certified Payroll Professional Exam with an extensive suite of flashcards and practice questions, each featuring detailed explanations and tips. Boost your confidence and knowledge for exam success!

The necessity of an employee's signature in the context of company loan repayment deductions stems from the principles of consent and agreement between the employer and the employee. When an employee takes out a loan from the company, the terms of repayment, including deductions from their payroll, should be explicitly agreed upon. Requiring the employee's signature ensures that the individual is aware of and consents to the terms and conditions associated with the loan. This practice protects both the employee’s rights and the employer’s interests.

In contrast, the other options typically do not require an employee's signature because they are governed by legal or statutory obligations. An IRS levy, for instance, is a governmental action based on compliance with tax obligations and is enforced without needing employee consent. Similarly, child support withholding orders and federal tax deductions are mandated by law; compliance is required regardless of whether the employee signs off on the deductions. Hence, the correct answer emphasizes the importance of mutual agreement for company loan repayments as opposed to mandatory legal deductions.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy