Standard Process

In this example, Michael Smith makes a standard student loan repayment of 12% of his gross pay over the threshold ($19,084 per year).

1. Set up the employee's record. See Employee Tax Codes.

   Michael Smith's record contains the following values:

   Field	Values
   Tax code	M SL
   Auto-pay	Yes

2. Create the standard student loan deduction. See Standard.

   The Student Loan - Standard deduction contains the following Details (iii) tab values:

   Field	Values
   Calculation method	L. Student loan
   Deduction class	S. Student loan reduction
   Sub-class	Standard

3. Process the employee's transactions to automatically create the 12% student loan deduction.

   Processing Michael Smith’s pay creates a Student Loan - Standard deduction for $198.24.

   

Topic: 18126