Example: Create an Earning for Employer Contribution for Domestic Partner Benefits (USA)
Create a taxable earning for Medical Aetna - HMO for the employer contribution for employee domestic partners, with tax authority exceptions for states that recognize domestic partnerships.
Security:
Set Up: Payroll (Calculations - Payroll Specific)
domain in the Core Payroll functional area. See: Steps: Enable Functional Areas and Security Policies.- Access theCreate Earningtask.
- Enter these settings:
Option Description NameMedical - AETNA - ER DP [USA]CodeAET_ERDP - Enter these settings on theEffective Datedtab:
Option Description Worker EligibilityBenefits Is Domestic Partner CoveredCalculationBenefits: Employer Cost (Taxable) - Enter these settings on theNon-Effective Datedtab:
Option Description Groups- Federal Taxable (Withhold Taxes) [USA]
- FICA Taxable [USA]
- Local Withholding Taxable (Withhold Taxes) [USA]
- Local Withholding Taxable Employer (Withhold Taxes) [USA]
- Non Cash Taxable Benefits
- State Withholding Taxable (Withhold Taxes) [USA]
AddSUI Taxable [USA], if you need wages added to state taxes, such asCA: State Disability Insurance (SDI) - Mandatory [USA].Benefit PlanMedical Aetna - HMO - Access theMaintain Tax Authority Exceptions Pay Component Groupstask and select theState Withholding Taxable (Withhold Taxes) [USA]Pay Component Group.
- Create an exception:
Option Description Payroll Tax Authority[List the tax authorities that recognize domestic partnerships.]Exclude Pay ComponentsMedical - AETNA - ER DP [USA]
When Workday processes payroll, employers contribute to the domestic partner Medical Aetna - HMO benefit:
- In federal and nonexcepted tax authorities as a taxable contribution.
- In excepted tax authorities as a nontaxable contribution.