Certified Payroll Professional Practice Exam

The correct answer is A. Tip Credit.

Tip Credit is the component of an employee's wage that ensures that the total pay, including tips, meets or exceeds the federal minimum wage. Tip Credit allows employers to take a credit against the minimum wage for the tips their employees receive, as long as the employee's total compensation meets or exceeds the federal minimum wage.

Options B, C, and D are incorrect because they do not specifically address how the total pay, including tips, must meet or exceed the federal minimum wage. The regular rate of pay, overtime rate, and hourly rate are important in determining overall compensation but do not specifically ensure that the total pay, including tips, meets or exceeds the federal minimum wage as the Tip Credit does.