A benefit setup based on deductions will calculate differently if the Percent of Deduction percentage is equal to or less than the Employer Maximum percentage on the Benefit after installing the 2010 Round 5 Payroll Tax Update in Microsoft Dynamics GP 9.0

In Microsoft Dynamics GP 9.0, benefits that are set up based on a deduction calculate incorrectly when theĀ Percent of Deduction percentage amount is less than or equal to the Employer Maximum percentage on the Benefit card.

Symptoms

System code changes in previous updates created a necessary change in how the setup should be done in Microsoft Dynamics GP 9.0 for benefits that are set up to be based on deductions. This only affects Microsoft Dynamics GP 9.0, as this version of the product is coded a bit differently than more recent versions.

Cause

Option 1: Change the calculation method on the benefit to be based on Percent of Gross Wages.

Option 2: Change the calculation method on the benefit to be a Fixed Amount.

Option 3: Adjust the amounts in the benefits that are Based on the Deduction so that the percent of deduction percentage is higher than the Employer Maximum on the benefit itself.

Resolution

Example of changing the Benefit so the Employer Maximum is less than the Deduction percentage:

Deduction percentage-6%
Benefit Tier-50%
Benefit Employer Maximum- 6%

This would need to be changed to the following:

Deduction percentage-6%
Benefit Tier-100%
Benefit Employer Maximum- 3%


More Information

Need more help?

Expand your skills
Explore Training
Get new features first
Join Microsoft Insiders

Was this information helpful?

Thank you for your feedback!

Thank you for your feedback! It sounds like it might be helpful to connect you to one of our Office support agents.

×