Automatic Transactions/Voluntary Deductions

Automatic Transactions

Transactions that need to occur on a regular basis, such as 401(k) and health insurance deductions, loan payments or auto allowances, can be set-up as an automatic transaction in the employee file.

Simply tell your Payroll Specialist the per pay period amount and a limit if applicable. Choose to set a monthly limit and a total limit. Once entered, this transaction will happen every time the employee is paid or as designated. We can also generate the payment to the agency for which the deduction is withheld.

Agency Check Processing and Reporting

Agencies are any vendors that you, the employer, pay regularly based on deductions from employees’ paychecks. We can even include the employer paid contributions. Examples of this would be child support, federal or state garnishments, and 401(k) deductions.

With our Agency Check Program, Payroll Masters creates a database of the agencies to be paid and a schedule of when to pay them. Payments are generated each payday or once a month, depending on when they are due. Some payments, such as child support, must be made by electronic funds transfer, while other payments will have a check generated at the appropriate time. Once automatic transactions are set-up, you need not report them each pay period unless there are changes.

Health Savings Accounts (HSA)

Payroll Masters may be able to direct deposit any employee or employer Health Savings Account (HSA)* contributions directly into a separately held HSA bank account.

*A Health Savings Account (HSA) is a savings plan that employees and employers can contribute to with tax free dollars. If you have employee HSA accounts and you make contributions on your employees’ behalf you must report these contributions to Payroll Masters for plan reporting purposes. HSA’s are employer sponsored plans and require third party administration and plan documents. Payroll Masters is not a licensed insurance broker or agent and does not provide professional or legal advice.