Calculating Employee Stock Purchase Plan Deductions

You use the ESPP (Employee Stock Purchase Plan) deduction to purchase company stock options. The deduction is limited to a certain percentage of the employee's pay. This deduction element uses a Base × Percent calculation rule. The Base is based on accumulator ESPP BASE AMOUNT (that houses the earning upon which the ESPP might be based). You enter the percent is entered via positive input (or generated at the payee level). A post processing control formula DED FM ESPP LIMIT is assigned to this element to ensure that the percent entered by the employee is not greater than the maximum allowed. There is no proration.

This deduction element subtracts from the SGP NET accumulator and adds to the ESPP_CMTDA and ESPP_CYTDA accumulators.