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October 27, 2023
Question

Auto deduct 401k when doing payroll?

  • October 27, 2023
  • 1 reply
  • 5 views

When doing payroll I find that I have to manually deduct 401k contributions and matches after payroll is done.

 

Isn't there a way to set it up so that it will automatically deduct it (ie, you'd tell it which vendor to put it under), or should this be a manual thing? 

 

Or could it at least a reminder in the payroll to do list?  I could easily forget to do enter those entries after completing the 401k on my contribution site.

1 reply

Moderator
October 27, 2023

Thanks for reaching out to the Community, bvstone.

 

To verify my understanding, did you already set up your employee's 401k retirement plan deduction/company-match contribution item in their profile?

 

If you've already set it up, the deductions should automatically take place when you pay your employees.

 

In the event you haven't set it up yet, you can do so anytime.

 

Here's how:
 

  1. In your left navigation bar, go to Payroll, then Employees.
  2. Find an employee and click on their display name.
  3. From their Deductions & contributions section, hit Start or Edit, then + Add deduction/contribution.
  4. Choose Retirement Plans from the Deduction/contribution type ▼ drop-down list.
  5. For Type, pick an applicable plan. If you need to track a company-only contribution with no employee match, choose Company-only plan.
  6. Enter the name of your provider or plan in the Description (appears on paycheck) field and complete any remaining fields.
  7. If you have a company match, under Company contribution, use your drop-down to pick how you want to calculate the amount. Complete your new fields to enter the amount or percent per paycheck and annual maximum.
  8. Select Save, then Done.

 

I've also included a detailed resource about working with 401k plans which may come in handy moving forward: Set up a retirement plan

 

Please feel welcome to send a reply if there's any additional questions or information you'd like to provide. Have a wonderful Friday!

bvstoneAuthor
October 28, 2023

No,

 

Im asking where can I enter the vendor name and have it automatically recorded and deducted from our bank account (I of course would have to do the work at the 401k provider on their site).