Question 1

Rosa joined Avion Electronics in April 1983. Her employment was terminated on November 30, 2015 and she was paid a $62,500.00 retiring allowance. Rosa joined her company’s pension plan in 1986 and was fully vested on termination of employment. Calculate the non-eligible portion of the retiring allowance.

Options :

A : $30,500 non-eligible portion

B : $31,250 non-eligible portion

C : $32,000 non-eligible portion

D : $33,500 non-eligible portion

Answer: C

Question 2

The employee–employer relationship is deemed to be severed when:

Options :

A : The employee continues to accrue benefits in the organization’s pension plan

B : The employee retains the right to be recalled to work

C : There is no expectation of work to be performed by the employee

D : None of the above

Answer: C

Question 3

Evangeline earns $1,075.00 weekly plus $154.00 in overtime. Calculate Evangeline’s Québec Parental Insurance Plan (QPIP) premium.

Options :

A : (employee QPIP premium for the week): $4.72

B : (employee QPIP premium for the week): $5.28

C : (employee QPIP premium for the week): $6.03

D : (employee QPIP premium for the week): $6.89

Answer: B

Question 4

What is the portion of a retiring allowance eligible to be transferred into a Registered Retirement Savings Plan (RRSP) or a registered pension plan (RPP) tax free based on?

Options :

A : The employee’s wages at the point of receiving the retiring allowance

B : The employee’s average earnings from the past five years with the employer and its associated companies

C : The employee’s number of years of service with the employer and its associated companies prior to 1996

D : The employee’s age plus the employee’s average earnings from the past five years with the employer and its associated companies

Answer: C

Question 5

When would a Record of Employment be issued for an employee paid mainly by commission?

Options :

A : An employee mainly paid by commission is not entitled to receive a Record of Employment

B : When the employee has not earned any commission after six months

C : When the employment relationship has been severed

D : When the employee has had seven consecutive calendar days without both work and insurable earnings

Answer: C

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