Accruals Tab

This tab stores accrual information for the employee's deductions. Usually, you do not need to access the Accruals tab when adding a new employee.

Processing Deductions

Information from the employee's Deductions page is used during payroll processing to calculate deduction and benefit amounts. Each time you process a pay run, the system references these records to determine if they should be included in calculations. Checking is done on the page's Status, Deduction Start and Stop Dates, Maximum Deduction, and Maximum Benefit fields.

Deduction Or Benefit Requirements

The following criteria must be met for a deduction/benefit to be calculated:

• The record must have an active status.

• The pay period ending date of the pay run must be after the start date and before the stop date.

• The cumulative year-to-date, fiscal-to-date, or inception-to-date deduction/benefit amount cannot exceed the total in the Maximum Deduction or Maximum Benefit field.

In addition, the system looks at the following fields in Deduction table records to determine whether the deductions assigned should be deducted on the current pay run: Deduction Frequency, Deduction Method, Maximum Method, and Benefit Method.

A deduction frequency is a one-character, user-defined code used in payroll processing. This code allows you to group deductions into specific categories for easy identification during payroll setup. The majority of your Deduction records should have the same frequency, since most deductions are taken every time a payroll is run.

Maximum Deductions Or Benefits

The system determines if maximum deductions/benefits have been reached based on the Deduction table's Maximum Method field.

• I method - uses the inception-to-date accrual, plus the current deduction or benefit amount.

• Y method - uses the year-to-date accrual, plus the current deduction or benefit amount.

• F method - uses the fiscal-to-date accrual, plus the current deduction or benefit amount.

Based on these parameters, several conditions should be considered:

• If payroll calculations determine that the maximum has been reached, only the amount needed to meet the maximum is taken from the paycheck.

• If a deduction has both a stop date and a maximum, the deduction is controlled by whichever takes effect first, the stop date or the maximum.

• If no maximum deduction/benefit amount or stop date is entered, the deduction/benefit amount continues to be deducted from the employee every pay run where there are sufficient earnings to cover the deduction.

• If the Maintain Arrears field in the Deduction table is set to N and the deduction cannot be fully withheld due to insufficient earnings, the balance is not recorded. If the field is set to Y, the balance due is retained and will be deducted from the next pay run, in addition to the regular deduction amount.

For more information on deductions, refer to Deduction Table.

Fields