Salary Deductions List
The Salary Deductions List screen in Thulo HR Payroll is used to create and manage employee salary deductions that are applied during payroll processing.
Examples of salary deductions include:
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Lunch Expenses
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Travel Expenses
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Telephone Expenses
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Uniform Costs
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Employee Contributions
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Other Payroll Deductions
The deduction types configured on this screen can later be assigned to employees and used during payroll calculations.
Accessing the Salary Deductions List
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Navigate to Thulo HR → Payroll.
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Select Salary Deductions List.
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Enter the required deduction information.
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Click Save.
Result
The deduction types created on this screen will be available for use in the Deductions menu during payroll processing.
Deduction Calculation Basis
The Basis field determines how the deduction amount is calculated.
The available values include:
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Earnings List items (such as Basic Salary, Allowances, etc.)
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Fixed Amount
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Gross Pay
Basis: Earnings List Item
When an earning item is selected as the basis, the deduction amount is calculated using the value of that earning item multiplied by the specified rate.
Example
Assume:
| Field | Value |
|---|---|
| Basis | Basic Salary |
| Rate | 0.20 |
| Employee Basic Salary | 100,000 |
Calculation
Salary Deduction = 100,000 × 0.20
Salary Deduction = 20,000
The employee's deduction amount will be 20,000.
Basis: Gross Pay
When Gross Pay is selected as the basis, the deduction is calculated as a percentage of the employee's gross salary.
Gross Pay Definition
Gross Pay refers to the pre-tax salary amount calculated from the Payroll Columns configuration.
The Gross Pay column is typically created using a Formula type payroll column, where the value is calculated according to the formula defined by the administrator.
Example
Assume:
| Field | Value |
|---|---|
| Gross Pay | 200,000 |
| Rate | 5% |
Calculation
Salary Deduction = 200,000 × 5%
Salary Deduction = 10,000
The employee's deduction amount will be 10,000.
Note
When Gross Pay is selected, the Rate field should contain a percentage value.
Basis: Fixed Amount
When Fixed Amount is selected as the basis, the deduction value entered in the Rate field is treated as the actual deduction amount.
Example
| Field | Value |
|---|---|
| Basis | Fixed Amount |
| Rate | 5,000 |
Result
The deduction amount will always be 5,000, regardless of salary or earnings.
Important Notes
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The Basis field determines how the deduction amount is calculated.
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When the basis is Gross Pay, the Rate must be entered as a percentage.
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When the basis is Fixed Amount, the Rate is treated as a fixed monetary value.
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When the basis is an item from the Earnings List, the Rate is applied to the value of that earning item.
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Salary deductions configured on this screen are available for assignment and processing through the Deductions menu.
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These deductions can also be referenced when building payroll calculations and payroll column formulas.