How do you create a new deduction category using your payroll software?

This in house small business payroll solution allows you to create an unlimited number of fully customizable Income, Tax, and Deduction categories making this payroll software extremely flexible to fit exactly your payroll needs. Let me walk you through the process of creating a new deduction type for an employee:

1. Start by going to the Company Setup. You can do that by clicking on the “Company” button on the left side of the application.

2. Now Click on the “Deduction Categories” Button.

3. Click on Add to create a new Deduction Category.

4. Fill in the different fields. Below are suggested values:

a. Title: Child Support.

b. Abbreviation: Child Suppor.

c. Calculation: Select from the drop down menu the way you will calculate this Deduction.

d. Select Exemptions if you choose that this deduction category be exempt from any specific tax.

e. Press OK to finish.

5. Go to the employees list by clicking the “Employees” button on the left side of the application.

6. Select the employees who has this deduction type and click Edit.

7. Click Next until you reach the “Deduction” Page, you should see the deduction you added as one of the listed deductions. Make sure you check the box next to it. Click Next and then Finish to finalize your changes.