Create Deduction
Use this Pay Component type to create deductions to be subtracted from an employee's pay during the pay run. Below is an example of a Child Support deduction.
Field | Description | Child Support |
---|---|---|
Pay Component Type | Defaults depending on the button selected on the employee record | Deduction |
Pay Component Sub Type | Select the type of deduction | Child Support |
Description | Defaults from pay component sub type | Child Support |
UOM | Defaults from pay frequency | Monthly |
Quantity | if you enter 0 you will need to enter the number of hours during the pay run | 1 |
Rate | Amount you want to deduct per pay frequency | $1,000 |
Amount | Quantity * Rate | $1,000 |
Amount Per Period | Amount / Number of Periods | $1,000 |
Is Percentage | Signifies if the calculation is based on a percentage and may need recalculating on pay slips | Can not enter a rate and percentage on same pay component |
Percentage Type | Available if you select Is Percentage | Gross Pay |
Percentage | Available if you select Is Percentage | |
Payee | If applicable select the Vendor that will receive this payment | Child Support Agency |
Balance Sheet Account | Defaults from the vendor selected or can be manually set | |
Start Date | Start date that this pay component becomes valid | 1/7/16 |
End Date | Leave blank | |
Department | Enter if required. Will default from the Employee record. | |
Class | Enter if required. Will default from the Employee record. | |
Location | Enter if required. Will default from the Employee record. | |
Range Amount | If the deduction has a set total amount enter it here, the pay component will continue to deduct until the end date or until the Range Amount is reached - whichever is first | |
Reference | Free Form Text Field e.g Child Support Deduction | |
Current | Marked | |
Click on Save
To add another Pay Component, go back to step 11. Add Pay Components.
Or, move onto step 12. Finish Up.