Creating an Employee Deduction Set

An employee must be enabled in Manage Employees before a deduction set can be created and assigned to the employee.

Deductions and benefits that have been set as defaults for all employees in Manage Deductions are automatically available when a new deduction set is created for an employee. You can delete a default deduction if it doesn't apply to an employee.

You will use this window to complete federal and state withholding information & group term life information, add & edit fixed amount deductions/benefits, add & edit percentage amount deductions/benefits, enter direct deposit information, and enter a group cap override, if needed.

Create an employee deduction set

1. Select Deduction Assignment from the Payroll menu, and the Deduction Assignment window opens. The screenshot illustrates the system settings which include only current & new sets for each employee. These settings are selected from the gear menu in the upper right corner of the grid.

2. Click the Add button, and the Deduction Details window opens. Required fields are marked with a red asterisk (*).

3. Select the Employee from the pull-down list. Note: You can begin typing the employee name to narrow the selection.

4. Complete the header fields as described.

   • *State: Select the state to be used for state taxes from the pull-down list.

   • Deduction Group: If applicable, select one or more from the drop-down. Click here for more information.

   • Use 2020 W-4 Form: Check this box if entering W-4 elections to be in effect on January 1, 2020, or after.

   • Comment: Enter text as desired.

5. Click Save, and the remaining fields are displayed.

6. Complete the FICA/Medicare Information.

• FICA Exempt: Select Yes if the employee should not have FICA withheld from his/her wages. Select No to withhold FICA from the wages.

• Medicare Exempt: Select Yes if the employee should not have Medicare withheld from his/her wages. Select No to withhold Medicare from the wages.

Continue with Creating a Deduction Set — Federal Withholding Information

Return to Deduction Assignment Overview