Set Up a Payroll Deduction

Before you can perform this task

Payroll deductions are set up to track and calculate your employee's deductions. In your company settings, set up your payroll deduction by making the following modifications to the default payroll deductions:

Note:  The payroll deductions in the blue area of the table cannot be modified. You may not be able to rename all payroll deductions.

To change the way deductions are subtracted from an employee's income

  1. In the Home window on the Setup menu, choose Settings.
  2. Click on Payroll, and then Deductions.
  3. Double-click in the Deduct By column, next to the deduction you want to modify.
  4. Select the deduction method you want and click Select.
  5. Click OK.

To deduct an employee's income before or after taxes, benefits, contributions, or vacation pay

  1. In the Home window on the Setup menu, choose Settings.
  2. Click on Payroll, and then Deductions.
  3. In the Deduct After columns, place a check mark if you want to deduct the employee's income after taking out the selected tax, benefit,contribution, or vacation pay.
  4. Click OK.

To rename a payroll deduction

  1. In the Home window on the Setup menu, choose Settings.
  2. Click on Payroll, and then Names, followed by Income and Deductions.
  3. In the Name column of the deductions table, click the deduction you want to modify and type in the new name.
  4. Click OK.

After you have set up the payroll deductions, you need to modify the employee's record to use these payroll deductions in the payroll calculations.

What do you want to do?