A deduction is an amount that you can deduct from an employee's gross income. This is created directly from the settings module by an administrator.
To set up a deduction first you need to navigate to the payroll settings page, by clicking settings in the navigation bar on the left hand side. Your payroll settings should be visible without having to scroll.
Click the 'create a deduction' button and it will redirect you to the page where you can create a new deduction. There will be several fillable fields for you.
Fields:
- Name (required): The name of your deduction
- GL Code: The general ledger code used by your organization's accounting software
- Description (required): Any additional information on the deduction
- Type (required): Whether the deduction is a fixed dollar amount or percentage amount
- Vendor: The company that this deduction will be paid to (See Vendor section to learn how to set up a vendor profile)
- Employer Amount (required): The amount to be deducted from the employer
- Employee Amount (required): The amount to be deducted from the employee
- Internal Deduction?: Funds will only be withheld from employees and not leave your company bank account