How do I add my HSA Fringe to my HSA direct deposit?

How do I set up an HSA (Health Savings Account) fringe as a direct deposit in Sage 300 CRE?

Set up three deductions

You can't set up direct deposit deductions as being exempt from taxes. To have a pretax deduction that's also a direct deposit, set up each of the following Deduction IDs. Refer to the Related Solutions below for information on deduction and formula setup.

1. Set up the formulas outlined in the table below.
2. Set up the deductions outlined in the table below.
3. Attach the formula to the corresponding deduction.
4. Specify the HSA Fringe amount on the employee fringe (Setup, Employees, Fringes).

 

Deduction ID	Deduction Type	Calculation Method	Formula	Before employee/employer taxes	Employee Deduct Record
H1	Direct Deposit	Formula	LOOKUP(Amount [PR Check Deduct], Employee [PR Check], Period End Date [PR Check], Check Sequence [PR Check], "H3") + Lookup(Amount [PR Employee Fringe], Employee [PR Check], "HSA")	N/A	Auto
H2	Normal	Formula	(LOOKUP(Amount [PR Check Deduct], Employee [PR Check], Period End Date [PR Check], Check Sequence [PR Check], "H3") * -1) + (Lookup(Amount [PR Employee Fringe], Employee [PR Check], "HSA")*-1	No	Auto
H3	Normal	Flat Amount		Yes, as appropriate	In the employee setup, enter the desired deduction amount and select Auto

 

Information

• If you pay the HSA Fringe at a different frequency than the H1, H2, and H3 deductions, alter the formulas.
• H1 and H2 Deductions are "looking" at the amount for the H3 deduction. H3 is the Pretax deduction.
• H1 and H2 deductions will wash.
• If using the Extended stub check format in Payroll, exclude the H2 and H3 deductions from the check format. The net result is that H1 creates the direct deposit amount while H2 and H3 cancel each other out, but H3 reduces taxable income.
• If the deduct has a limit set that limit on the H3 deduction. Since the H1 and H2 calculate based on the H3 for each check, they'll also stop at the limit. There's no need to set a limit on the Employee Deduct for H1 and H2.
• Deductions always distribute to interfacing applications. You can't turn this off. Deductions will post to the General Ledger application, however not to JC, EQ, CM, or BL.

 

 NOTE: You can set up supplemental Insurance plans such as AFLAC with this same method. 

How do I add Pays, Deductions, or Fringes to Box 12 or Box 14 on my W-2s?

How do I set up direct deposits?

How do I add totals for pay, deductions, taxes, and fringes to Payroll check stub and direct deposit notifications?

How do I set up an HSA (Health Savings Account) deduction as a direct deposit?