Sage 100 Payroll Instructions for Fringe Benefits

Set up a fringe benefit earnings code:

1. Open Payroll / Setup / Earnings Code Maintenance.
2. Create an earnings code and select “Fringe” from the ‘Type of Earnings’ drop-down box.
3. Enter information in all necessary fields, and click the ‘Accept’ button.

Process fringe benefits:

1. Open Payroll / Main / Payroll Data Entry.
2. Enter Payroll Cycle information.
3. Select the employee from the ‘Employee No.’ lookup.
4. Click the ‘Lines’ tab.
5. Enter the fringe benefits earnings.
   Note: An offsetting line with deduction code “FB” is created automatically.
6. Enter remaining earnings and deductions as applicable.
7. Click the ‘Accept’ button and continue with payroll processing.

Notes:

• The “FB” deduction code deducts the Fringe Earning line amount from the net check amount, while taxes are deducted automatically and the net pay amount is adjusted.
• Fringe benefit earnings should be processed with regular pay in order to properly deduct taxes.
• Fringe benefit earnings are added to the gross wages, included in the gross amount, and printed in the box labels benefits included in Box 1 on the W-2 forms.
• The ‘Fringe Benefit’ field in the federal tax summary window of Employee Maintenance is used to display year-to-date fringe benefit amounts (all earnings entered with the fringe type) received by the current employee and reported as taxable income.  This field can is view-only and cannot be edited.

Need Help? 

If you need additional assistance, please call our Technical Support Department at (502) 429-6902 ext. 227 or email techsupport@oasisky.com and list YEAR END ASSISTANCE in the subject line.