How To Set Up Other Payroll Deductions 

What you need to know: 

You can create custom payroll deductions in the payroll module to deduct from an employee’s pay, for amounts that may not be required CRA deductions. You do not need to set up any of the standard source deductions for payroll in AgExpert Accounting as these are set up automatically. 

What you need to do: 

• Confirm the name of the custom deduction you need to set up, such as an RRSP contribution, garnishment, or group insurance premium. 

• Confirm whether an RL-1 code or T4 code applies to the deduction. 

• Determine whether the deduction needs to be remitted to another party. 

• Identify the correct expense or liability account to use for tracking the deduction and setup in advance, if necessary. 

• Confirm the employer rate for the new deduction, if the employer is contributing. 

How to (Step by Step): 

1. Select Payroll on the left navigation bar and click Employees. 

2. Click Settings.  

3. Select Deductions. 

4. Click Add under either the Arm’s length or Non-arm's length section to open the New deduction slide-out. 

5. Type the Name of the deduction. 

6. Leave the CRA source as Custom deduction. 

7. Fill in the maximum annual contribution of the deduction, if applicable. 

8. For Quebec residents, select the RL-1 code. 

9. Use the Include on T4 box drop-down menu to select the T4 box the deduction will show in. 

10. Determine if the deduction requires a remittance: 

11. If a remittance isn’t required, leave button off and use the drop-down menu to select an Income or expense account for the deduction. 

    a) If a remittance is required, select the button and enter: 

    b) Remittance type from the drop-down menu, clicking Add new remittance type and entering a Name, if necessary. 

    c) Liability account from the drop-down menu. 

    d) Employer rate for the deduction, if necessary. 

    Tip: The Employer rate is a ratio of the full amount the employer is paying for the deduction (e.g. the employer paying fifty percent of the deduction would enter 0.50). 

12. Click Save. 

Note: You can also access the New deduction screen while on an employee’s Employment tab by clicking Add in the Deductions section. 

Note: Select Cancel at any time to return to the previous screen without making any changes. 

References and Additional Resources 

• How To Add a New Account or Group 

• How To Add a New Employee or Update Details 

• How To Enter Payroll Deductions 

Still have questions? Contact support  

Contact us at 1-800-667-7893 or email support@fccagexpert.ca if you require additional support. You can find other help options under the Question Mark Icon in the top right of AgExpert Accounting at any time.