Certified Medical Assistant Practice Exam

For how long should payroll documents of employees be kept?

1. 2 years

2. 4 years

3. 5 years

4. 7 years

The correct answer is: 4 years

Payroll documents of employees should be kept for 4 years. This is necessary to ensure compliance with federal and state laws that govern the retention of employment records. The duration of 4 years is considered sufficient by the Internal Revenue Service (IRS) to maintain all payroll records, including forms W-2 and W-4, and any other documentation related to employee compensation and taxes. Keeping these documents for longer than 4 years may not be necessary and could create unnecessary clutter and storage costs. Additionally, options A, C, and D may seem like plausible answers, but they are not the recommended minimum duration for retaining payroll documents. Therefore, option B is the most appropriate and accurate answer.