A tax rule must be entered in Earnings Code Maintenance for each earnings code.

The following table lists the tax rules that may meet your business needs for various earnings codes.

Note These tax rules are provided as examples. Sage cannot and does not guarantee the applicability of any tax rule to your circumstances. Before processing payroll for your employees, test all tax rules to make sure the calculation provides the expected result. For specific tax advice, see your professional tax service provider.

 

Earnings Description	Sage Earnings Code	Tax Rule	Tax Rule Description	Notes
Regular Earnings	000001	-800039	Regular Wages
Overtime Earnings		-800033	Overtime Wages
Overtime - Double Earnings		-800015	Double Overtime Wages
Holiday Earnings		-800021	Holiday Wages
Time Off - Sick Earnings		-800023	Illness Leave Wages
Time Off - Vacation		-800067	Vacation Leave Wages
Time Off - Personal		-800037	Personal Leave Wages
Bonus - Regular Taxes		-800005	Bonus Wages	Uses regular withholding calculation
Bonus - Supplemental Flat Rate Taxes		-800051	Supplemental Bonus Wages	Uses supplemental tax rate
Bonus - Puerto Rico Christmas		-800103	Puerto Rico Christmas Bonus
Commission - Regular Taxes		-800011	Commission Wages	Uses regular withholding calculation
Commission - Supplemental Flat Rate Taxes		-800053	Supplemental Commission Wages	Uses supplemental tax rate
Expenses		-800017	Expense Reimbursement	Not included in taxable wages or the gross wage amount
Earnings Code with No Taxes		000000	No Taxes	Not included in taxable wages, but is included in the gross wage amount
Tips Reported	000005	-800041	Reported Tip Wages
Tip Differential	000006	-800039	Regular Wages
Tips Allocated	TA	-800001	Allocated Tip Wages
Tips Earned	TE	-800041	Reported Tip Wages
Fringes		-800055	Taxable Fringe Benefit