1. Select PR, Utilities, Maintain Deductions.
2. Click New.
3. Configure the deduction settings.

Configure deduction options

Calculation method

Select the calculation method for the deduction.

Category

Select the category that applies:

• Individual, each employee uses a different amount.
• System, all employees use the same amount.
• Company Ind, the company pays the deduction and each employee uses a different amount.
• Company Sys, the company pays the deduction and all employees use the same amount.

Credit account

Enter the liability account for the deduction.

Debit account

Enter the expense account for company-paid deductions.

Limit

Enter the annual limit and active period if applicable.

Tax checkboxes

Select the appropriate tax options.

• Taxable selections add employee and employer deduction amounts to taxable wages.
• For example, select FWT Taxable to include the amount in Box 1 of the W-2. Select SWT Taxable to include the amount in Box 16.

Tax category

Consult your tax advisor for the correct setting.

W-2 settings

Verify these settings with your tax advisor:

• W-2, Pension Plan
• W-2, Box Number
• W-2, Box ID

Assign the deduction to an employee

1. Select PR, Employees, Maintain Employees.
2. Select the employee.
3. Click Deductions.
4. Assign the deduction.
   • Select Variable Entered on Time Card to make the deduction available during Time Card Entry.