Understanding Deduction Processing

If you maintain deduction information using Payroll Interface and the Manage Base Benefits business process in PeopleSoft HR, then you must run the Calculate Deductions and Confirm Deductions processes before running the Export process.

The deduction processes use the information that you set up through the Manage Base Benefit business process to calculate and confirm per pay period deduction amounts. When the Export process is run, these amounts are exported, along with the other payroll data, to the third-party payroll system. The third-party payroll system performs the gross to net calculations.

Note: If you do not maintain deductions (that is, if the third-party payroll system manages all deduction information), then you do not need to run the Calculate Deductions or Confirm Deductions processes.

See Understanding Data Exchanges.

See PeopleTools: Process Scheduler

Calculating Deductions

Use the Calculate Deductions COBOL SQL process (PSPDCRUN ) to calculate pay period deduction amounts. If an error occurs, correct the problem and then run the process again. You can run the Calculate Deductions process as many times as necessary to correct errors. After you have resolved all of the errors, you can run the Confirm Deductions process.

Note: To determine whether errors occurred during the Calculate Deductions process, examine both the deduction run (Review Deductions component) and the deduction messages (Review Error Messages component). You cannot run the Confirm Deductions process until all deduction calculation errors have been resolved.

To calculate deductions:

  1. Run the Calculate Deductions process to calculate deductions.

    See Calculating Deductions.

  2. Review the results of the deduction calculation run.

    See Reviewing Deductions.

Confirming Deductions

Use the Confirm Deductions COBOL SQL process (PSPDCCNF) to signify that the pay period deduction amounts have been calculated and are error free; that is, you have run the Calculate Deductions process, checked the results, rerun the process if necessary, and verified that the results are accurate. When you run the Confirm Deductions process, the system stores the results in the DED_CALC and DED_MESSAGE tables, and flags the pay calendar as confirmed (F flag). The deductions are now ready for the Export process.

Note: Again, to determine whether errors occurred during the Confirm Deductions process, examine both the deduction run (Review Deductions component) and the deduction messages (Review Error Messages component).

To confirm deductions:

  1. Run the Confirm Deductions process to confirm the calculated deductions.

    See Confirming or Unconfirming Deductions.

  2. Review the results of the deductions confirmation run.

    See Reviewing Deductions.

Reprocessing Deductions

Use the Deductions Unconfirm COBOL SQL process (PSPDCUNC) to unconfirm and reprocess deductions that have already been calculated and confirmed.

To process deductions, you run (and review) the Calculate Deductions and Confirm Deductions processes. After the Confirm Deductions process is run, no further changes can be made to deduction data for the pay period unless you reprocess the deductions.

To reprocess deductions:

  1. Update or make the necessary changes to the deduction data.

  2. Run the Deductions Unconfirm process to unconfirm the calculated deductions.

    See Confirming or Unconfirming Deductions.

  3. Run the Calculate Deductions process to recalculate deductions.

  4. Run the Confirm Deductions process to reconfirm the calculated deductions.