Automating Deductions with Franklin
Apr 24, 2023
At Franklin, we make managing payroll simple, secure, and compliant for both cash and crypto use cases. We’re excited to announce our new Deductions feature, making it easier for you to manage and configure recurring deductions for your employees. The Deductions feature is now available, enabling automated payroll withholdings for services such as 401k, HSA, etc.
What’s New
Our new feature makes it possible for employers to configure recurring deductions for their employees. Configured deductions are automatically withheld from an employee’s recurring payroll check, with taxes automatically adjusted for.
How to Use
Our Deductions feature is easy to use.
Navigate to the Benefits section in Franklin
Select which type of deduction you’re managing
At release, we support the following automated deductions: HSA, 401k (traditional + roth), IRA (simple + roth), Section 125, 403b, and Garnishments.
3. Input the amount that should be deducted
Based on the deduction type, and if it’s a pre-tax or post-tax deduction, you will be required to enter either an Employee Contribution or Employer Contribution, and possibly other required fields.
Technical Underpinnings
Our Deductions feature was designed to be intuitive and flexible. With the ability to configure deductions based on fixed dollar amounts or percentages, it’s easy to set up recurring withholdings for a variety of services.
Additionally, this functionality was built on top of our payroll engine, designed to handle both traditional and cryptocurrency payments, so you can be sure that your employees’ withheld deductions are being distributed accurately, regardless of currency type.
Conclusion
We’re thrilled to offer our new Deductions feature to our users, and further round out the services Franklin provides to help companies manage all of their payroll and back-office tasks.
This feature serves as a base layer of functionality for us to be able to integrate additional product lines like health benefits, retirement accounts, and other perks. It was built to be encompassing of our current customer’s needs, while also flexible to the growth potential of custom deductions and other integrations.
