Recovering payroll advances

There are two ways to recover a payroll advance: You can let Sage 100 Contractor deduct as much as possible each pay period until the advance has been recovered, or you can deduct a flat amount each pay period.

Example 1: Automatically deduct the balance due

Sage 100 Contractor automatically deducts the balance due from the employee’s net paycheck. If the balance due exceeds the net amount of the paycheck, Sage 100 Contractor deducts the net paycheck. When you print checks, Sage 100 Contractor prints a $0 paycheck for the employee.

Example 2: Deduct a flat amount each pay period

When Sage 100 Contractor recovers a portion of the advance, it adjusts the balance of the payroll advance due your company. Sage 100 Contractor attempts to deduct the balance due each pay period until it recovers the full amount of the advance.

You can control the maximum amount deducted from an employee’s paycheck. When Sage 100 Contractor recovers a portion of the advance, it adjusts the balance of the payroll advance due your company. Sage 100 Contractor deducts the amount each pay period until it recovers the full amount of the advance.

To recover a payroll advance in installments:

1. Open 5-2-1 Employees.
2. Using the data control, select the employee.
3. Click the Calculations tab.

4. In the Rate text box of the Payroll Advance row, enter the amount to deduct from each paycheck.

   Note: If you want the program to deduct the entire amount from a single paycheck automatically, make sure the amount in the Rate text box is zero.

5. Click File > Save.