About Calculation Order

The system calculates earnings/deductions and taxes with the same levels in the following order:

  • Accruals
  • Vacation
  • Sick
  • Compensatory/banked Time
  • Earnings
  • Salary and Wages
  • Reported Tips
  • Allocated Tips
  • Advances
  • Cash
  • Noncash
  • Deductions
  • Expense Reimbursements
  • Benefits
  • Cash
  • Noncash
  • Provincial Tax
  • Federal Tax
  • State Tax
  • Tax Update Supported Local Tax
  • Custom Tax
  • Insurance Tax
  • Income Tax
  • Unemployment Tax
  • Pension Plan Tax
  • Health Tax
  • Other Tax

Finally, if the system encounters earnings/deductions with the same levels, categories, and types, it calculates them in the numerical or alphabetical order dictated by their earning/deduction codes. For instance, all other criteria being equal, earning/deduction 42 would be calculated before earning/deduction 59, and earning/deduction HOURLY would be calculated before earning/deduction SALARY.

When processing a timecard, Sage HRMS Payroll uses other ordering criteria to process the detail lines that are assigned overtime schedules. Click this link for more information.