Creating deduction codes for NPS This is the charge code for the calculated employee contribution to NPS. Select Benefits > Administration > Setup. In the Payroll pane, click Deduction Codes. Click Create. Specify this information: Deduction Code Specify the name and description of the deduction code. On the Detail tab, specify this information: Adjust Pay Select Employee Paid. Calculation Type Select Flat Amount. Tax Status Select Pre Tax. Click Save.