Set up or edit deductions
Description

Deductions are amounts taken from the employee's pay before they receive it, like pension contributions or loan repayments. Specify if deductions come from gross or net pay when setting them up in Sage Payroll.

Sage Payroll withholds Tax, PRSI, and USC from employees' pay but doesn't treat them as deductions.

Cause
Resolution

  1. On the menu bar, click Company/Payroll then click Edit Deductions.
  2. Click New, then complete the following information:
    TypeChoose one of the following options:
    • Nett (After Tax, PRSI & USC) - If you want to take the deduction from the employee's net pay
    • Gross - If you want to take the deduction from the employee's gross pay
    Sub-typeChoose one of the following options:
    • Standard
    • Pension / RAC / PRSA
    • Permanent Health Insurance (PHI)
    • Approved Profit Share Schemes (APSS)
    Pension SchemeIf you're setting up a pension deduction, choose the relevant pension link.
    Additional Voluntary Contribution (AVC)If you're setting up a pension deduction and it's an additional voluntary contribution, select this checkbox.
    Multiply by the number of holiday periods

    Select this checkbox to adjust the deduction value based on the holiday periods entered on the employee's timesheet. This option is only available in weekly and fortnightly payrolls.

    Balance TypeChoose one of the following options:
    • Accumulate a balance - If the deduction has an associated accumulating balance, such as a pension contribution
    • Do not store a balance - If the deduction has no associated balance
    • Reducing balance - If the deduction has an associated reducing balance, such as in the case of a loan
    Standard Employee AmountIf the deduction value remains the same for each period and applies to all employees on your payroll, enter the value. Otherwise, ignore this option.
    Employee FormulaIf applicable, enter a to help calculate the deduction's employee amount.
    Employer FormulaIf applicable, enter a to help calculate the deduction's employer amount.
    Deduction Factor

    If you want to record unit-based deductions, you can enter a factor to help you calculate the total value of the deduction.

  3. Click Save then click Close.

Edit or delete an existing deduction

  1. On the menu bar, click Company/Payroll then click Deductions.
  2. Select the relevant deduction, then click Edit or Delete.
  3. Make the necessary changes, then click Save and Close.

Copy settings from an existing deduction

  1. On the menu bar, click Company/Payroll then click Deductions.
  2. Select the relevant deduction, then click Copy.
  3. Make the necessary changes, then click Save and Close.


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