Calculating Tax Deductions

The tax deductions are in the section DED - TAX. All eight tax deductions have a calculation rule of Amount, and the amount is a formula specific to each deduction; for example, TAX FM MARGINAL or TAX FM LUMPA.

There is only one deduction in the DED - PRE TAX section. It is EE SSSUPER (employee salary sacrifice super).

These are in section DED - PST TAX and represent typical after-tax deductions such as parking fees, union dues, and social club membership fees. The section includes repayment deductions that are generated by the system when their associated earnings are paid.

The non-tax deductions, which appear in section DED − NONTAX, are for superannuation. Three of the five deductions use a Base × Percent calculation rule. The other two deductions use amounts (one is a formula-driven amount and the other is a payee-level flat amount).