Management Deductions Tab

Owned by Patrick Reynolds
Last updated: Oct 03, 2022
2 min read

The “Deductions” tab is where you can create and modify deductions that are referenced throughout Arborsoft. Though you’ll start off with default deductions and rates, you’ll want to review the existing items and likely make changes. You can also always insert a new item by clicking “Insert” at the top and entering in the relevant details. Keep in mind that some items (such as SUTA/FUTA) will have rates that you’ll need to update, other deduction rates are updated automatically via our tax library vendor Symmetry and users can’t alter the rates.

Detail

To add a deduction:

  1. Navigate to the deductions tab

  2. Click Insert

  3. Check any relevant boxes

  4. Fill in all bold (required) fields

  5. Click Save

The area below the deductions allows you to name the deduction, configure rates, and fine tune the details of how it will be used. The details of the fields are as follows:

  • Active – Toggling this will determine if the deduction applies or not, anything marked with a “N” won’t apply but will still be listed amongst the deductions.

  • Calculated – Used for rare custom calculations

  • Mandatory – This will include the deduction when selecting the “all mandatory deductions” to the employee deduction tab.

  • Pre-Tax – Checking this tells the deduction to calculate before standard taxes are deducted

  • Lookup – Makes the deduction available in the payroll module

  • Multiple Employer – Uses multiple employer rates vs the rate listed below

  • System Defined – Makes the deduction set and not changeable

  • Name – Names the deduction

  • Print On Check – This allows you to differentiate between the name of the deduction in Arborsoft, and how it’s displayed on a check

  • Type – Determines if the deduction applies to employees or your company

  • Rate Type – This drop-down displays the logic of various rates, such as percentage of gross, net, flat amount, etc.

  • Rate – Where the rate can be entered

  • Limit/Base – Sets a limit for certain types of deductions (SUTA, FUTA etc.)

  • Frequency – This drop-down displays how often you’d like the deduction to apply