Configure FIT Elements for Balance Adjustments
You can use either the Elements task or HCM Data Loader (HDL) to define the tax adjustment element for tax adjustment element for federal income tax (FIT).
FIT has no annual taxable limit. For an example of configuring a tax adjustment element with a taxable limit, see Configure SUI Employee Elements for Balance Adjustments in the Help Center.
For further info, see Use Element Entries for Tax Refund Balance Adjustments for the US in the Help Center.
Use the Elements Task
You define the element with the same values as your predefined Federal Income Tax element, with the exception that you define this tax adjustment element at the assignment level.
Field name |
What you enter |
---|---|
Legislative Data Group |
Select your US legislative data group (LDG), such as My US LDG |
Primary Classification |
Employee Tax Deductions |
Secondary Classification |
Leave blank |
Name |
Enter a meaningful name, such as TA Federal Income Tax |
Reporting Name |
Enter a meaningful name, such as TA Federal Income Tax |
Description |
Enter a meaningful description, such as Element for adjusting Federal Income Tax |
Effective Date |
1/1/1951 |
Input Currency |
US Dollar |
Should every person eligible for the element automatically receive it? |
No |
What is the earliest entry date for this element? |
First Standard Earnings Date |
What is the latest entry date for this element? |
Final Close |
At which employment level should this element be attached? |
Assignment level |
Does this element recur each payroll period, or does it require explicit entry? |
Nonrecurring |
Can a person have more than one entry of this element in a payroll period? |
Yes |
Configure these input values on the element.
Don't define the Statutory Reference Type or Statutory Reference Code input values, as they aren't applicable for tax adjustments.
Name |
Display sequence |
Special purpose |
Unit of measure |
Displayed |
Allow user entry |
Required |
Create a database item |
Apply default during pay run |
---|---|---|---|---|---|---|---|---|
Deferred Compensation 401K Reductions |
70 |
Money |
Yes |
Yes |
No |
No |
No |
|
Deferred Compensation 403B Reductions |
80 |
Money |
Yes |
Yes |
No |
No |
No |
|
Deferred Compensation 457 Reductions |
90 |
Money |
Yes |
Yes |
No |
No |
No |
|
Dependent Care Reductions |
100 |
Money |
Yes |
Yes |
No |
No |
No |
|
Exempt Income |
20 |
Money |
Yes |
Yes |
No |
No |
No |
|
Gross |
10 |
Money |
Yes |
Yes |
No |
No |
No |
|
Other Pretax Reductions |
110 |
Money |
Yes |
Yes |
No |
No |
No |
|
Reduced Subject Withholdable |
50 |
Money |
Yes |
Yes |
No |
No |
No |
|
Section 125 Reductions |
60 |
Money |
Yes |
Yes |
No |
No |
No |
|
Subject Not Withholdable |
40 |
Money |
Yes |
Yes |
No |
No |
No |
|
Subject Withholdable |
30 |
Money |
Yes |
Yes |
No |
No |
No |
|
Tax Calculated |
120 |
Primary output value |
Money |
Yes |
Yes |
No |
No |
No |
Use the HCM Data Loader
To define the Federal Income Tax adjustment element:
-
Define HDL upload files to upload the element and its input values.
-
Define a DAT file with the necessary element details.
For further info, see Example of Creating Earnings Element for Payroll in the Help Center.
For example, here's how you'd use the PayrollElementDetails and PayrollElementQuestionnaire sections to define the FIT element.METADATA|PayrollElementDetails|ElementName|ReportingName|Description|LegislativeDataGroupName|PrimaryClassificationName|SecondaryClassificationName|Category|ElementStartDate MERGE|PayrollElementDetails|TA Federal Income Tax|TA Federal Income Tax|Element for adjusting Federal Income Tax|My US LDG|Employee Tax Deductions|||1951/01/01 METADATA|PayrollElementQuestionnaire|ElementName|LegislativeDataGroupName|RuleCode|Rule|Response MERGE|PayrollElementQuestionnaire|TA Federal Income Tax|My US LDG|SpecCurrency|Input Currency|US Dollar MERGE|PayrollElementQuestionnaire|TA Federal Income Tax|MY US LDG|Availability Rule|Should every person eligible for the element automatically receive it?|No MERGE|PayrollElementQuestionnaire|TA Federal Income Tax|MY US LDG|Hire Process|What is the earliest entry date for this element?|First Standard Earning Date MERGE|PayrollElementQuestionnaire|TA Federal Income Tax|MY US LDG|Terminate Process|What is the latest entry date for this element?|Final Close MERGE|PayrollElementQuestionnaire|TA Federal Income Tax|MY US LDG|Processing Level|At which employment level should this element be attached?|Assignment level MERGE|PayrollElementQuestionnaire|TA Federal Income Tax|MY US LDG|Processing Asg Level|Do you want the element to be processed at Payroll Assignment level?|Yes MERGE|PayrollElementQuestionnaire|TA Federal Income Tax|MY US LDG|Recurring Or NonRecurring|Does this element recur each payroll period, or does it require explicit entry?|Nonrecurring MERGE|PayrollElementQuestionnaire|TA Federal Income Tax|MY US LDG|Multiple Entries|Can a person have more than one entry of this element in a payroll period?|Yes MERGE|PayrollElementQuestionnaire|TA Federal Income Tax|MY US LDG|CalculationRuleBasic|What is the calculation rule?|Flat amount
-
Define a DAT file for the required input values. These are the same input values as described in the Use the Elements Task section above.
For further info, see Example of Updating Payroll Element Definitions in the Help Center.
For example, here's how you'd define the Gross input value.MERGE|InputValue|1951/01/01||Gross|Y|Y|Money |Y|Y|||TA Federal Income Tax|10|My USA LDG|Gross|N
-
-
Use HDL to upload the files.
Feed the Balances
After creating the input values for the element, link the element to the balances you intend to update.
Start the Balance Definitions task, and add these input values as balance feeds to the tax balance. Feed these balances before you feed the balances to the parent tax elements.
You must use 1951-01-01 as the effective as-of date.
Feed these balances |
Using these input values |
Add or subtract |
---|---|---|
Employee Tax Deductions |
Tax Calculated |
Add |
FIT 401k Reductions |
Deferred Compensation 401K Reductions |
Add |
FIT 403b Reductions |
Deferred Compensation 403B Reductions |
Add |
FIT 457 Reductions |
Deferred Compensation 457 Reductions |
Add |
FIT Dependent Care Reductions |
Dependent Care Reductions |
Add |
FIT Exempt |
Exempt Income |
Add |
FIT Gross |
Gross |
Add |
FIT Other Pretax Reductions |
Other Pretax Reductions |
Add |
FIT Pretax Reductions |
Other Pretax Reductions |
Add |
FIT Pretax Reductions |
Section 125 Reductions |
Add |
FIT Pretax Reductions |
Dependent Care Reductions |
Add |
FIT Pretax Reductions |
Deferred Compensation 401K Reductions |
Add |
FIT Pretax Reductions |
Deferred Compensation 403B Reductions |
Add |
FIT Pretax Reductions |
Deferred Compensation 457 Reductions |
Add |
FIT Reduced Subject Withholdable |
Reduced Subject Withholdable |
Add |
FIT Section 125 Reductions |
Section 125 Reductions |
Add |
FIT Subject Not Withholdable |
Subject Not Withholdable |
Add |
FIT Subject Withholdable |
Subject Withholdable |
Add |
FIT Withheld |
Tax Calculated |
Add |
Net |
Tax Calculated |
Subtract |
Net Payment |
Tax Calculated |
Subtract |
Tax Deductions |
Tax Calculated |
Add |