Recommended settings for insurance benefit codes

To set up insurance benefit codes, select Setup > Payroll > Database Setup > Employee Configuration and click the Deduction/Benefit tab.

Insurance benefit code types

• Accidental Death/Dismemberment
• Dental
• Life
• Medical
• Prescriptions
• Supplemental Life
• Long Term Disability
• Vision

Each benefit type can have several benefit codes.

• You can only map multiple benefit codes if they have the same Benefit Type.
• To map multiple benefit codes, you must map by benefit type. Select Benefit Type for Ded/Ben Code Maps to in the mapping table. 

Mapping multiple benefit codes

• The Effective Date of the plan that was created the earliest is set as the Start Date.
• The deduction amounts are added based on the Period Start and End Dates on the Open Payroll process.
• If the Effective Date is after the  Period End Date, the deduction amounts will not be transferred. However, the deduction Start and End dates will be transferred.
• If the plans have different effective and expiration dates, we recommend that you use a one-to-one mapping.
• For one-to-one mapping, select Benefit Code for Ded/Ben Code Maps to in the mapping table.

Recommended settings for a taxable insurance benefit

If the benefit is taxable:

1. On the Employee Configuration Deduction/Benefit tab:

   • For the employer portion, select Employer Only for the Calculation Type.
   • For the employee portion, select Employee Only for the Calculation Type.

2. Use the settings in the following table.

   Benefit settings

    

   	Employer portion	Employee portion
   Category	Benefit	Deduction
   Employer Calculation Method	Flat	None
   Employee Calculation Method	None	Flat
   Frequency	Use the employee contribution frequency in HRMS	Use the employee contribution frequency in HRMS
   Post Benefit to General Ledger	Checked

Recommended settings for a non-taxable insurance benefit

You have two options:

Option 1:  Use one setting:

1. On the Employee Configuration Deduction/Benefit tab, select Calculate Both for the Calculation Type .

2. Use the settings in the following table.

   Benefit settings

    

   	Non-taxable benefit
   Category	Deduction
   Employee Calculation Method	Flat
   Employer Calculation Method	None
   Frequency	Use the employee contribution frequency in HRMS

Option 2:  Use two settings:

• Use a Category of Benefit for the employer portion.
• Use a Category of Deduction for the employee portion (just like the settings for a taxable benefit).