Payroll deductions can be tax deferred or standard. If it is currently set up to be standard, it can be changed to a tax deferred deduction.
1. From Payroll, click Setup, click Historical Data Item, and press C to change. 2. Type the name of the Historical Data Item (HDI) to be changed and press Enter. 3. Type in field number 3 and press Enter. 4. Change the Calculation Order from 5XX to 2XX for it to calculate before taxes. 5. Enter through all other items in field three, enter Ø and Enter to accept. 6. Select E to end and press Enter. 7. From the Deferred Tax list below select the DATA ITEM required: DEFERRED TAX TAX DATA ITEM Federal Tax only ---------FWT DEFER Federal & State-----------TAX DEFER State Tax only-------------SWT DEFER FICA & FICAMED--------FICA DEFER 8. From Payroll, click Setup, click Historical Data Item, and press C to change. 9. Type the name of the Tax Data Item in step 7 to be changed. 10. Type in field 8 and read the setup information below carefully. 11. For each Historical Data Item to be included for deferral, (A)dd a calculation line in each TAX DATA ITEM where appropriate EXAMPLE: Line# 100 Command REGOP Internal Reg.# 2 Reg. Operation + Reg.\Item\Value Data Item (for example, 1HEALTH) Period Current Extract Amount
The calc line looks like this ..... 100 REGOP (R)eg (2) op(+) Item(1HEALTH,CUR,AMOUNT) To save press Esc, E to end, and Enter to accept. 12. Repeat above steps as needed. You may need to add this HDI to several tax deferred HDIs