Example: Create a Deduction for Employee Post-Tax Contribution to Health Care Benefits
(USA)
This example illustrates 1 way to create a deduction for a worker's post-tax
contributions to health care benefits.
Paul has post-tax contributions to a health care benefit plan. You want to create a deduction
for those post-tax contributions.
- You have a pay components group namedBenefits During Leavefor non-active workers.
- Security:Set Up: Payroll (Calculations - Payroll Specific)domain in the Core Payroll functional area.
- Access theCreate Deductiontask.
- Enter these settings:
Option Description NameHealth Care - EE (Post-Tax)CodeHC-POST-TAX-EE - Enter these settings on theEffective Datedtab:
Option Description Effective DateCurrent DateRun Category EligibilityRegularWorker EligibilityBenefits Employee Cost (Post-tax) or Pay Input ExistsPay Component: Not Previously Paid in PeriodProcessing Primary JobCalculationBenefits: Employee Cost (Post-tax)Recalculate during RetroSelect the check box. - Enter these settings on theNon-Effective Datedtab:
Option Description GroupsBenefits During LeavePost Tax DeductionsBenefit PlansSelect the health care benefit plan.
Create a deduction to calculate the employer's taxable health care contribution.