Map Payroll Deduction Codes

You can map your payroll system’s deduction codes to each of your employee-paid products in Maxwell. If you’re using a payroll integration, Maxwell will use these codes to push the deduction amounts to your payroll system for the correct products. You can also enter deduction codes here so that they’ll appear in cost reports and View Payroll Changes as a reference to use when updating benefits deductions in your payroll system.

In this article:

How to map payroll codes

Follow these steps to map payroll codes:

  1. You'll want to make sure the payroll codes match payroll exactly, so be sure to get the list of payroll codes directly from your payroll system and have it handy.
  2. Log into Maxwell and head to Payroll > Payroll Codes. Now, set up payroll codes on a per product basis. Click on the product and add the default payroll code in first.
    • Please note: Earning Codes are only supported with the 360 API Paylocity Integration.
  3. If applicable, add any overrides to the default payroll code to have separate codes within the product based on the employee’s state, coverage level, and eligibility group. A few tips:
    • If you only have one override, it's best to include the override as one payroll code and the default as another payroll code. For example, MED1EE is the deduction code for employee-only coverage, and MED1 is the deduction code for all other coverage.

    • If you have multiple overrides, you can name the default payroll code the same as the most popular override. For example, if you have a separate deduction for employee-only coverage, employee+spouse coverage, etc., you can enter each override and then enter the deduction code of employee-only coverage override as the default. This allows the enrollment to always map to a code.
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    • The default view will show products that have current plan years or are effective in the future. View products that were effective in the past by clicking the “Time Period” drop-down.

    • You likely won’t add a deduction code for every product, as you probably offer some employer-paid benefits. Only add deduction codes to the products that the employee pays for or contributes to.

    • If payroll codes are set up at the State level, any employees missing an address will map to the product default code. If you use this override, it’s best practice to run a Demographic Census Report to double check you have an address entered for each employee.

Payroll code configurations unsupported in this view

There are complex payroll code overrides that we cannot support today with this view:

  • Override any product by a custom field in Maxwell
  • Override a voluntary product with a different payroll code for the insured individual: employee, spouse, or child

We will continue to support these overrides for the Paylocity 180° file sync integration and the ADP Workforce Now and Paychex Flex Enterprise Compatible Payroll Reports. The Maxwell team will set them up on your behalf. The ADP Workforce Now API and Paylocity API integrations do not support these payroll code setups.

Notes

  • The payroll codes view is available to Master Administrators only.
  • Maxwell will continue to collect deduction codes through the implementation process when adding the Paylocity 180° file sync, Paychex Flex Enterprise Compatible Payroll Report, or the ADP Workforce Now Compatible Payroll Report to portals. Also, the Deduction Codes view is not available to employers with these data connections, as editing the view will disrupt the integration/report. Deduction codes set up by Maxwell will still appear on cost reports and in the payroll changes view.
  • You can edit or remove a deduction code at any time, just make sure that the same edits are made in your payroll system. If you have the ADP Workforce Now API or or Paylocity 360° API integration also make sure to pause the integration before making edits.
    • If you have the Paylocity 180° file sync, Paychex Flex Enterprise Compatible Payroll Report, or the ADP Workforce Now Compatible Payroll Report and need to update deduction codes, please ask your Advisor to submit this form to the Maxwell team.
  • If you offer a new product in Maxwell, you’ll want to come back to the Payroll Codes view to add the code in. Payroll codes will also need to be updated at renewal. They do not carry over to the next plan year’s product, even if the product hasn’t changed.

Deduction Codes in ADP

If your payroll system is ADP Workforce Now, and you need to set up deduction codes in ADP, you should do so using their Validation Tables (select Setup > Tools > Validation Tables > Deductions & Deposits > Deductions).

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Deduction Codes in Paylocity

If your payroll system is Paylocity, and you wish to set up or adjust deduction or earning codes in Paylocity, you can configure by navigating to Configuration > Company Setup > Payroll. Or you can contact Paylocity.

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Please Note: Earning Codes are only supported with the 360 API Paylocity Integration.

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