Salary Sacrifice (Bespoke)

Salary Sacrifice (Bespoke Payslip)


Payment Code Maintenance

Create a new Payroll Code with the following settings:


1. General tab

Code = SAC User defined
Description = Salary Sacrifice User defined
Type of Code = Value
Payment/Deduction = Deduction
Payslip Description = Salary Sacrifice User defined
Input Prompt = Salary Sacrifice User defined



2. Controls tab

Update Pay = Ticked
Tax = Ticked
NI = Ticked
Pension = Ticked User defined
Update Nominal = Ticked User defined



3. Calculation tab

Print as = Deduction



4. Gen tab

If you have ticked the General Ledger box in the Controls tab, you will need to set up the details in this screen.

Then store the Payroll Code.



5. HR Record Payroll Details Fixed Pay/Ded

Set up a fixed payment entry with the following details:

Code = SAC (as defined above)
Type = Automatic
Value = Monthly amount to sacrifice
Start period = First period for deduction
End period = Last period for deduction
Pensionable = Should be ticked


6. Payslips

As set up, you would now get entries on the payslip for the employee’s salary and the salary sacrifice.

It may be that you would want to show just the one entry being the employee’s salary after the sacrifice has been subtracted.

To do this, we would need to know the code you are going to use for the sacrifice in order to put the code into your payslip print.


7. The effect

If a Payroll Code is set up as defined above, then the value of the sacrifice will be deducted from other payments before tax, NI and pensions are calculated.