Payroll and Tax Fundamentals

Payroll and Tax Fundamentals

Instructor: ADP Learning Academy

20,225 already enrolled

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3 modules

Gain insight into a topic and learn the fundamentals.

147 reviews

Beginner level

Recommended experience

6 hours to complete

Flexible schedule

Learn at your own pace

3 modules

Gain insight into a topic and learn the fundamentals.

147 reviews

Beginner level

Recommended experience

6 hours to complete

Flexible schedule

Learn at your own pace

What you'll learn

Explain how your earnings, taxes, and deductions work together to determine your take-home pay
Read and interpret your pay statement and key tax documents such as the W-2
Identify paycheck deductions, understand their impact, and recognize potential errors in your pay

Skills you'll gain

Details to know

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Assessments

27 assignments

Taught in English

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There are 3 modules in this course

If you receive a paycheck and want to understand how your earnings, taxes, and deductions work, this employee-focused course helps you clearly interpret your pay and avoid costly mistakes. Designed for employees, early-career professionals, and anyone new to the workforce, it helps you understand how your pay is calculated and where your money goes.

You will use your pay statement as a roadmap to explore earnings, taxes, and deductions in a clear, practical way. Learn how tax withholdings affect your take-home pay, how benefits impact net income, and how to read and verify your pay statement. Unlike courses for payroll or HR professionals, this course focuses on what employees need to make informed financial decisions. By the end, you will interpret pay statements, understand tax documents, and identify potential issues. Whether starting a new job or building confidence, you will gain practical knowledge you can use immediately.

Understand how your employee classification affects your pay and taxes. Learn the basics of pay frequency, minimum wage, and overtime so you know what to expect in your paycheck.

What's included

11 videos4 readings8 assignments2 discussion prompts

11 videosTotal 50 minutes

Classifying Workers: Employee or Independent Contractor8 minutes
The Common Law Test and the ABC Test7 minutes
Exceptions to the Common Law Test6 minutes
Fair Labor Standards A(FLSA) and Overtimes3 minutes
White Collar Exemptions3 minutes
Minimum Wage3 minutes
Form I-9: Employment Eligibility Verification4 minutes
Form W-4: Employee’s Withholding Certificate5 minutes
When a New Form W-4 is needed2 minutes
Payroll Related Dates and Pay Frequencies5 minutes
Scenario: Payroll Related Dates3 minutes

4 readingsTotal 6 minutes

About This Course2 minutes
Payroll Differences1 minute
Rules and Exemptions - Resources2 minutes
Form Resources1 minute

8 assignmentsTotal 45 minutes

Calculating Overtime Hours Activity8 minutes
Types of Workers5 minutes
Federal or State? Which overtime rule should you follow?8 minutes
Form I-9 for Identity & Eligibility to Work5 minutes
Acceptable Documents Activity5 minutes
Important Points on Form W-43 minutes
Payroll Related Dates3 minutes
Pay Frequency and Pay Calculations8 minutes

2 discussion promptsTotal 4 minutes

Introduce Yourself!1 minute
Let's Discuss3 minutes

Explore how earnings, taxes, and deductions are calculated. Learn how gross pay is determined, how taxes are applied, and how deductions affect your take-home pay.

What's included

7 videos5 readings12 assignments

7 videosTotal 43 minutes

Common Earnings3 minutes
Methods for Calculating Overtime Pay10 minutes
Overtime and Overtime Premium Pay5 minutes
FIT and FICA Explained12 minutes
Common Deductions3 minutes
Deduction Calculations5 minutes
Pre-tax and Post-tax Deductions6 minutes

5 readingsTotal 21 minutes

Resources2 minutes
Another Look: Calculating Overtime Pay4 minutes
A Closer Look at Payroll Taxes4 minutes
Social Security and Medicare3 minutes
Examples: Pre-tax and Post-tax Deductions8 minutes

12 assignmentsTotal 78 minutes

Earning Types4 minutes
Calculate Social Security and Medicare5 minutes
Calculating Deductions5 minutes
Earnings: Exempt / Non-exempt5 minutes
Review: FLSA Overtime Rules3 minutes
Calculating Overtime Hours12 minutes
Calculating Gross Pay12 minutes
Appropriate Tax Rate5 minutes
Social Security Tax Activity5 minutes
Calculate Taxable Wages and Deductions5 minutes
Deductions are Statutory or Non-statutory7 minutes
Common Deductions Taxability Review10 minutes

Learn how to read your pay statement and understand your net pay. Identify key components, see how benefits affect your pay, and connect your paycheck to your year-end tax documents.

What's included

6 videos2 readings7 assignments1 discussion prompt1 plugin

6 videosTotal 29 minutes

Calculating Net Pay2 minutes
Types of Payment Methods3 minutes
Common Benefits14 minutes
Pay Statement Requirements3 minutes
All About Form W-23 minutes
Key Connections: Your Last Pay Statement and Your Annual Form W-24 minutes

2 readingsTotal 13 minutes

Annual Limits3 minutes
Wrap-up!10 minutes

7 assignmentsTotal 55 minutes

Payroll and Taxes - You're the Employee!30 minutes
Net Pay4 minutes
Payment Methods 1/24 minutes
Payment Methods 2/25 minutes
Benefits2 minutes
Form W-2 5 minutes
Calculate the Form W-2 Amounts5 minutes

1 discussion promptTotal 2 minutes

Share your thoughts!2 minutes

1 pluginTotal 15 minutes

Explore and Review a Pay Statement15 minutes

Instructor

Instructor ratings

(43 ratings)

ADP Learning Academy

Automatic Data Processing, Inc. (ADP)

15 Courses90,199 learners

Offered by

Automatic Data Processing, Inc. (ADP)

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Reviewed on May 7, 2025

Overall, I feel more confident in my understanding of payroll processes and tax regulations. Thank you for providing such a valuable learning experience!

Reviewed on Dec 11, 2023

I loved the course and seek to gain certification in the near future.

Reviewed on Feb 12, 2025

This course has very detailed information and is explained very well any beginner with No prior experience can Easly understand.

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