This tutorial shows how to set up a Percentage of Net Pay Deduction
inside Payroll Mate® software.
Summary of Steps
This is just a summary; please click “Download Tutorial” for detailed instructions with screenshots.
- Click → Company from shortcuts
- Click → Deduction Categories
- Click → Add
- Enter Title, Abbreviation, Select Calculation (Percentage of Net Pay) and Paid by
- Enter Default Rate for each quarter (can modify at employee level) and Cutoff as applicable
- Checkmark the W2 Options as applicable (W2 Box 12/Code E)
- Click Exemptions and edit tax exemptions as needed (Note: This tutorial assumes that the Percentage of Net Pay deduction payroll item is NOT exempt from any taxes)
- Click → OK
You will apply the Percentage of Net Pay deduction to each employee as needed
- Click → Employees from shortcuts
- Select the employee to edit
- Click → Edit
- The Modify Employee Wizard will open, Click → Next until you reach the Deductions page
- Checkmark to select the deduction and enter deduction percentage for each paycheck
- Click → Next until you reach the end of the wizard
- Click → Finish