> ## Documentation Index
> Fetch the complete documentation index at: https://every.help/llms.txt
> Use this file to discover all available pages before exploring further.

# Payroll Deductions

> Managing employee payroll deductions

## Payroll Deductions

Configure and manage various types of payroll deductions for your employees.

### Types of Deductions

<Tabs>
  <Tab title="Pre-Tax">
    Deductions taken before taxes are calculated:

    * 401(k) contributions
    * Health insurance premiums
    * HSA contributions
    * FSA contributions
    * Commuter benefits
  </Tab>

  <Tab title="Post-Tax">
    Deductions taken after taxes:

    * Roth 401(k) contributions
    * Life insurance
    * Disability insurance
    * Garnishments
    * Charitable contributions
  </Tab>

  <Tab title="Required">
    Mandatory deductions:

    * Federal income tax
    * State income tax
    * Social Security (FICA)
    * Medicare
    * Local taxes
  </Tab>
</Tabs>

### Setting Up Deductions

To add a deduction for an employee:

1. Go to **Payroll** > **Employees**
2. Select the employee
3. Click **Deductions** > **Add Deduction**
4. Choose deduction type
5. Enter amount or percentage
6. Set start date
7. Save deduction

### Deduction Amounts

Deductions can be configured as:

* **Fixed Amount** - Same dollar amount each paycheck (\$100)
* **Percentage** - Percent of gross pay (5%)
* **Custom** - Different amounts per pay period
* **Capped** - Maximum annual amount (\$19,500)

### Managing Deduction Changes

When deduction amounts change:

<Steps>
  <Step title="Employee Request">
    Employee submits change request during open enrollment or qualifying event
  </Step>

  <Step title="HR Approval">
    HR reviews and approves the change
  </Step>

  <Step title="System Update">
    Update deduction amount in Every
  </Step>

  <Step title="Effective Date">
    Set when the change takes effect
  </Step>

  <Step title="Notification">
    Employee is notified of the change
  </Step>
</Steps>

### Deduction Priorities

When net pay is insufficient for all deductions, Every processes them in this order:

1. Required taxes (federal, state, FICA)
2. Court-ordered garnishments
3. Pre-tax benefit deductions
4. Post-tax deductions
5. Other voluntary deductions

<Warning>
  Some deductions have annual limits (e.g., 401k). Every automatically stops deductions when limits are reached.
</Warning>

### Reporting

View deduction reports:

* Employee deduction summary
* Year-to-date totals
* Benefit contribution reports
* Tax deduction reports