What are Deduction Types and How to Configure Them

What are Deduction Types and How to Configure Them

BerniePortal's Payroll feature includes a comprehensive library of Standard Deduction Codes for common payroll scenarios, plus the flexibility to create Custom Deduction Codes tailored to your organization's unique compensation structure!

Important Note: New deduction codes require 1 business day to become active after creation

To access: 
  1. Log in to BerniePortal as the Global Administrator or a Payroll Feature Admin
  2. Select the “Payroll” tab in the top navigation menu 
  3. Select the “Settings” tab in the secondary navigation menu
  4. Select “Deduction Types” from the left-hand menu


Managing Deduction Types:
  1. Set up
    1. Review Existing Library- Verify your desired deduction type doesn't already exist in the standard or custom listings
    2. Configure New Type
      1. Code- Enter a brief identifier (e.g., "IRA")
      2. Name- Provide a descriptive label (e.g., "Simple IRA")
      3. PreTax- Mark if deduction is PreTax

    3. Click “Add” to create the deduction type
  2. Management
    1. Edit- Use the action gear beside any custom deduction codes to modify details
    2. Remove- Delete custom deduction codes that are no longer needed


Preloaded Standard Deduction codes: 

NOTE- BerniePortal automatically applies benefit deduction codes and their appropriate tax treatment based on employee enrollment data from the Employee Portal


Common Custom Deduction examples:



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