The Deduction Code may be up to five characters.

The GL Account is the General Ledger expense account to apply this deduction. If an employee has a General Ledger Account number entered in “Employee Wage Account” in “Employee Entry” (9.3.1), then that will take precedence over this account.

The Deduction Amount may be a fixed amount or a percentage off of the gross wages. If a percentage, enter a percent sign (%) after the number. You may have up to four places after the decimal (example 5.2323%). The deduction is subtracted off the gross wages. A Deduction may have a Year-To-Date Wage on which the amount may be taken. Once the maximum wage has been reached, the deduction will no longer be withheld.

You may enter a year-to-date maximum amount to deduct from withholding. This feature will prevent deductions from withholding more than the maximum amount allowed by law for the year.

If a Deduction Code is marked as Exempt it will not be included in the tax calculations during “Payroll Hours Entry” (9.1.3). The following may be exempt from tax calculations for this Deduction Code: Federal Withholding, Employee Social Security, Employer Social Security, Employee Medicare, Employer Medicare, Employer Federal Unemployment Insurance, State Withholding, Employer State Unemployment Insurance, Other State Tax, Supplemental Benefits, and City Withholding. Enter a <Y> and press <ENTER> if this earning is exempt from Tax Calculations of this field. Just press <ENTER> if this earning is not exempt.