Pension payments

Pension payments are the payouts to employees of pension or retirement plan funds. Payroll creates pension payments by first creating time records for the payment amount and then creating the payment when you run the payroll cycle.

There are two types of pension payments:

  • Periodic

  • Lump sum

Periodic pension payments

Periodic pension payments are payouts of pension or retirement funds that occur over a period of time and have at least one payment per year.

When you create a periodic pension payment, Payroll creates a standard time record for the payment, and gives the payment an alphabetic value in the Check Group field on the time record. All time records associated with a pension payment record share the same check group value.

Lump sum pension payments

Lump sum pension payments are payouts of pension or retirement funds that occur once or that occur over a period of time, but do not occur at least once a year.

Payroll creates a future time record with an alphabetic check group value for each lump sum payment. All time records associated with a pension payment record share the same check group value.