Options for Creating Involuntary Deduction Elements for Canada

Define an involuntary deduction element for each involuntary deduction you want to process for an employee.

Use the Elements task in the Payroll area to create a new element with a primary classification of Involuntary Deduction. Select an appropriate secondary classification.

Use the element template to create and configure involuntary deduction elements and their associated objects. Here are a few factors to consider when creating an involuntary deduction element for a Canadian payroll.

Secondary Classifications

The secondary classifications defined for Involuntary Deductions for Canada include:

• Garnishments

• Maintenance and Support

• Tax Levy

The secondary classification determines how the deduction is calculated and all processing occurs at the payroll relationship level.

Partial Deductions and Arrears

When an employee has insufficient earnings for involuntary deductions, you can select one of these options.

Option	Description
Take a partial deduction, but don't create arrears	Available amount is deducted, and the balance amount isn't maintained in arrears. This is the default value
Take a partial deduction, place remaining in arrears	Balance amount is maintained in arrears.

If you have selected the second option, the template gives you the option to specify if the arrears amount must be cleared in subsequent payroll runs. The default value is No, meaning that the arrears amount isn't cleared.

If your Answer to the above question is Yes, the following question is displayed:

"Processing Stop when the Total is reached?". The answer to this question determines if the deductions have to stop after a certain total owed amount is deducted:

• If the answer is Yes the deductions will stop after an override amount is reached. You must provide a total owed override amount for the deduction.

• If the answer is No, the deductions continue irrespective of whether the total owed amount is reached or not.