Exclusions

Use the Exclusions function to select employee earning codes to exclude from withholdings, and to select employee deductions and/or employer costs to exclude from withholdings.

You must set up Federal, State and Local taxes in the Tax Authorities function on the Codes Maintenance menu prior to excluding deductions and earnings from taxes.

Creating an Exclusion

1. Select the Tax Authority and Code for which to enter exclusions.
2. Select the Employer Paid check box, if applicable, to exclude earnings and deductions from employer-paid taxes. Leaving the check box clear applies the exclusion to the employee.
3. Select the earning code to exclude from the selected tax code from the Earning Code field.
4. Select the deduction code to exclude from the selected tax code from the Deduction Code field. By selecting a deduction code to exclude from the tax, you are saying you want this deduction to be pre-tax.
5. Click the Save button, on the toolbar, to save the new exclusion.

Editing an Exclusion

1. Select the tax authority and code associated with the exclusion you want to edit from the Tax Authority and Code fields.
2. Edit the exclusion as necessary.
3. Click the Save button, on the toolbar, to save any changes made to the exclusion.

Deleting an Exclusion

1. Select the tax authority and code associated with the exclusion you want to delete from the Tax Authority and Code fields.
2. Select the exclusion to delete.
3. Click the Delete button, on the toolbar, to delete the selected exclusion.
4. Click Yes at the "Are you sure you want to delete selected record(s)?" prompt.

Produce a Withholdings List

Use the Withholdings List function to view a list of earning and deduction exclusion codes you defined.