Payroll Contribution Setup
You can set up and track any employer payroll contribution as part of payroll processing.
Use this feature to do the following:
- Track 401k matching in
Vantagepoint. You can track employer matching in any of the following ways:
- Based on a percent of employee wages
- Based on a percent of employee withholding (for example, matching 50% of a given employee’s deduction)
- Based on calculating the employer contribution on the lesser of a percent of employee wages or matching percent of employee withholding
- By defining a cap (generally a percent of wages or percent of withholding) on the amount the employer will contribute for each payroll
- By defining a cap on the year-to-date employer contribution
- Track employer taxes with each payroll posting.
- Tie employer taxes from payroll reports back to the General Ledger.
Your payroll administrator establishes employer payroll contribution information in several places in Vantagepoint:
- — Establish company-wide contribution codes.
- — Determine whether or not liability credits and expense debits related to employer contributions follow the employee's organization.
- — Select the project to use as part of posting related to employer contribution (if the Payroll contribution expense debit option is selected in )
- — Establish employer contribution information for individual employees on the Employee Contributions grid.