Issue/Symptom/Question

How do I set up 401k match?

Applies To

401k Employer Match

Master Deductions
Payroll> Setup> Deductions, Reimbursements, and Other Compensation> Master Deductions

Master Reimbursements
Payroll> Setup> Deductions, Reimbursements, and Other Compensation> Master Reimbursement 

Voluntary Deductions
Payroll> Employees> Voluntary Deductions

Voluntary Reimbursements
Payroll> Employees> Voluntary Reimbursements

Resolution/Fix/Answer

Complete these steps in a non-Production environment to confirm results prior to completing in Production.

1. In the Master Deduction window, create the employee 401(k) deduction master record.
   1. Use calculation bases 2 or 3, and you can define an Annual Limit at this level. Otherwise, you can enter this annual limit for each employee at the same time that you enter the employee 401(k) percentage. 
2. In the Master Deduction window, create the employer 401(k) deduction matching master record. 
   1. Use calculation base 15 and optionally you can define the Annual Limit or Percentage at this level or you can enter it at the employee master level.
3. In the Master Reimbursements window, create the employer 401(k) reimbursement matching master record. 
   1. Use the calculation base of 10 and link this to the deduction number created in step #2 above.
4. In the Voluntary Deductions window, create an employee master record associated with the deduction from step #1 above. 
   1. At this level, you must enter the employee 401(k) deduction percentage and confirm that the Annual Limit field has been entered. Confirm that the effective date associated with this entry is prior to the date of your test.
5. In the Voluntary Deductions window, create an employee master record associated with the deduction from step #2 above for the matching amount or percentage. 
   1. Modify percentage and limit if necessary. Confirm that the effective date associated with this entry is prior to the date of your test.
6. In the Voluntary Reimbursements window, create an employee master record associated with the reimbursement from step #3. 
   1. Confirm that the effective date associated with this entry is prior to the date of your test.
7. Test the result.
   1. Enter your timecards
   2. Run your timecard audit reports
   3. Process the labor distribution and the gross-to-net steps. 
   4. Generate the Deduction Register and Reimbursement Register reports to confirm employees and amounts