Adding Payments and Deductions

You must set up any Payments and Deductions before adding or deducting items in the Payroll run. Select the ‘Company’ menu then ‘Alter Payments/Deductions.’

In CIS companies, there are seven set up automatically for you:

• Labour Costs – a payment made before Tax and VAT are calculated.

• Material Costs – a payment made after Tax is calculated but before VAT.

• Labour Costs (No VAT) – a payment made before Tax is calculated but after VAT.

• Material Costs (No VAT) – a payment made after Tax and VAT are calculated.

• Retention – Withheld – a deduction made before Tax and VAT are calculated.

• Retention – Released – a payment made before Tax and VAT are calculated.

• CITB Training Levy - a deduction made before Tax and VAT are calculated.

If you choose to retain payment using the Retention – Withheld deduction, the system will keep a running total for you and display it on the Payroll Run screen. This figure will reduce as you pay amounts back using the Retention – Released payment.

If you need to set up other items, do this as you would in a PAYE company.