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Other Deduction Setup

We have set up and displayed here a list of the most commonly used payroll deductions. These are used at the Payrun stage to enter your employee's deductions. You can use the deductions already listed here, alternatively you can create your own by simply typing their details in the last row of the list and then clicking on the Save button.

The settings for Deductions are as follows: -

Deduct from Gross Pay (DGP)

The deduction will be deducted from the employee's pay before PAYE tax and/or NICs are calculated.

Deduct from Net Pay (DNP)

The deduction will be deducted from the employee's pay after PAYE tax and/or NICs are calculated.

Occurrence

Recurring

The deduction will apply to the employee's wages each and every pay run i.e., if selected it will automatically be included in every pay calculation you run for this employee, until removed.

Non-Recurring

The deduction will only be applied on a one-off basis in the next pay run i.e., if selected it will only apply it to the next pay calculation you run. After that, it will not automatically re-apply.

Recurring as Appropriate

The deduction will apply to the employee's wages only during intervals defined elsewhere in the program. For example,  AEO's will only apply after the AEO's Effective From date. Student Loan deductions will only be taken between the Loan's Start and Stop Dates and when the employee's earnings exceed the Student Loan threshold.

Preset settings

To save time and help get you started, the conventional settings for the preset deductions have been entered for you. For example, the preset 'Christmas Fund' has been set up as a non-recurring deduction and will be deducted from the employees net pay for PAYE tax, NIC and Pension contribution purposes.

Can I change a Preset?

Presets cannot be edited or deleted, however, you can create your own deductions if you think the presets are not set appropriately for, or do not cover, your own particular needs. Simply enter the details of your deduction in the last row of the table and then click on the Save button. Although presets cannot be changed, any deduction that you have entered can be; simply click on the adjacent Edit link, make the changes, then click on the Save button.