A new employee filled out the TD1 and TD1ON forms and checked the box stating that total income for the year from all employers and payers will be less than the total claim amount.  How do I enter this in Simply so it will not deduct tax from this employees earnings.  Thank you for your assistance.

Hi Michael,

I entered the personal basic amount for federal and provincial then proceeded to prepare the paycheque.  Taxes were calculated.  Am I doing something wrong?  What should I do or not do?  Thanks.

Hi there:  The system can't figure out that the person's total earnings for the year won't exceed the claim amounts.   You can either enter a ridiculously high number in the "claim" amount boxes (but even that doesn't work I don't think), or you have to do the payroll entry with the taxes calculated and then toggle to the "manual" button and delete the amount of the taxes.  You will just have to remember to do this for this particular employee.  Once you have printed the cheque and posted it, remember to toggle back to the "automatic" deduction icon for the rest of your payroll.  Rita Deering

Thank you Rita.  That is what I was going to do.  I will delete the taxes manually after it is calculated and most important thanks for the reminder to toggle back to "automatic". Remembering to do this for this particular employee will also no doubt be a challenge for me to rememver every week till the end of the year.  Thanks again for your help.

Thanks Michael.

One other suggestion:

If the pay amount is the same each pay period (salaried) then let Simply calculate the pay and note the Tax amount - don't post. Then go back to the employee's ledger and enter the tax amount as a negative in the box where you can enter extra tax to be taken each pay. This should zero out the taxes. Process the pay again without posting to be sure it worked. This will save the part of relying on memory each pay period.

Clyde

Actually, if the paycheque is the same for every period, a better option would be to save it as a recurring transaction and recall it on each pay period

Thank you for all your suggestions.  I can tell this is going to be a challenge for me every week.  I paid the employee his first cheque today and already I forgot to toggle back to calculate deductions automatically but thankfully I had already paid the other employees and so I just went back into the payroll journal and changed it and didn't cause any damage.  I will have to decide to process this employee first or do it last and be consistent until it becomes a habit (I hope).  Unfortunately this is not a salaried employee, he gets paid by the hour and therefore I wont be able to save it as a recurring transaction.  However, this is really good information for future reference. Really appreciate your help. Thanks.

Your best bet is to do as I believe Rita suggested and increase the claim amounts to 9999999.  However, I would do a quick estimate to make sure you do not expect to pay the employee more than the basic exemption before I do this.  Then you don't have to remember it each period.

I have done a quick check to make sure the employee will not be paid more than the basic exemption and it does appear to be that way.  I have also entered 9999999 in the claim amounts.  I ran paycheques this week and it still calculated just under $2 for tax but I changed to manual calculation and took out the tax.  I think the best thing to do is prepare the pay cheque for this employee last that way I wont make a mistake on the other employees cheques if I forget to toggle back to automatic calculation.  I found that doing his cheque last also helps me to remember to change back to automatic calculation because it is different from the rest.

Thank you all for taking the time to help me work through this it has been a great help and much appreciated.