Payroll Calculations for Variable Taxation Benefit Plan Reviews
During the payroll calculation process, taxable benefit deduction amounts are calculated and applied to employees' paychecks. The system performs the following actions:
Pays flexible credit earnings amounts.
Calculates and applies benefit plan premiums.
Determines whether sufficient credits are available to cover the entire cost of variable taxation benefit premiums.
If sufficient credits are not available, calculates taxable benefit deduction amounts to cover the portion of the benefit premium not paid for by credits.
You can view this information on the Paycheque Deduction page. To access the page, select
Note: Some benefit deductions are subject to sales tax, such as Goods and Service Tax, Harmonized Sales Tax, and Provincial Sales Tax and can be defined on the Deduction table. If your benefit deduction is paid for by credits and also attracts sales tax, the sales tax amount for that deduction is included when the system is calculating the amount of credits used.