Creating a modeled payment based on a home address or work location

Employees can model new tax deductions to see how a change in home address or work location affects taxes and net pay.

Other type deductions must be mapped on the Country Configuration page by the Administrator or Payroll Administrator. Only mapped deductions are displayed as editable fields for the employee on Modeled Payments.

  1. Select Quick Links > Payment Modeling or Employee > To Do > Model Payment.
  2. Click Employee Create to generate the Modeled Payments header record.
  3. Specify the payment date and click Submit.
  4. Select the Modeled Payment header record and click Update Modeled Payment.
  5. Click Get Current Data to populate the fields with the employee’s current data.
    This data includes pay frequency, wage amount or pay rate and hours, resident state, local authorities, and federal and state W-4 information.
  6. Optionally, change the data values.
    You can click Clear Form Data to clear the fields and specify data manually.
  7. Click Save.
  8. Click Model New Tax Deductions.
  9. Specify this information:
    Country
    Select US.
    Street Address
    Optionally, specify the street address.
    City
    Optionally, specify the city.
    State/Province
    Optionally, specify the state.
    Zip Code
    Optionally, specify the zip code.
    Work Location
    Specify the new work location.
  10. Click Submit.
    The projected employee taxes for the home and work addresses are displayed on the Modeled Deductions panel.
  11. To use the projected employee taxes in a Model Payment calculation, clear the Use Current Tax Deductions check box on the Deductions tab and click Save.
    The “Using modeled deductions from the following address” message is displayed with the specified home address.
  12. On the Taxes tab, update the W-4 withholding values for the projected calculation.

    For example, exemptions and marital status.

    The Tax State is displayed based on the address information.

  13. On the Deductions tab, specify pre-tax and after-tax deductions.
  14. Click Save.
  15. Click Model Payment.

    The Results tab contains the calculated tax amounts, pre-tax and after-tax deduction amounts, and net pay.

    Tax amounts are withheld based on the projected local tax deductions on the Modeled Deductions tab.

    You can alter the input data and recalculate the model payment to view the new results.