Do you have employees wondering how they will pay for their summer vacations? Did you know you can provide employees with vacation pay before they take vacation leave? You can enter an interim check to pay an employee in advance of a regular pay period. This payment can replace the regular payment for one or more pay periods. If the advance payment spans one or more pay periods, enter a taxation factor to calculate the taxes for each of the pay periods. This can be accomplished on the Additional Parameters (F5) from Interim Check Entry.
Some of the necessary set up required include:
Set up an Advance Pay DBA such as DBA 9000. It should be set up a flat amount deduction that has a declining balance.
Set processing option 2 behind Interim Check Entry to reflect the Advance Pay DBA number.
In Interim Check Parameter set the Format field to 2 for Auto Advance.
Check out Interim Check Overview and FAQ (Doc ID 1327010.1) for more information.