Arrearage rules enable you to manage insufficient funds. Use the Amount tabbed region of the Deduction window.

   To manage insufficient funds:

1. Check the Arrearage box to hold an arrears balance for the deduction. The arrears balance takes the deduction's name. If you do not check this box, no arrears balance is held for this deduction.

   If you check this box but do not check the Partial Deduction box, the payroll run will only clear the arrears when there is sufficient earnings to take the full deduction and all the arrears. It does not clear the arrears in part.

2. Check the Partial Deduction box to take a partial amount when earnings are insufficient to take the full deduction amount.

   If you check this box but do not check the Arrearage box, the system does not hold an amount not taken in an arrears balance.

   Suggestion: If the benefits of taking partial deductions are marginal for your deduction, consider leaving this box unchecked for more efficient processing.

3. Save your work.

Next Step

See: Reviewing Earnings and Deductions Structures