Skip to content

2 min read

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.


  • 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 and list YEAR END ASSISTANCE in the subject line.


You may also like

Stay tuned on our ERP path!

Subscribe to our newsletter and get the latest news

Scroll To Top