Add Payroll Election Exceptions

In the Payroll Elections tab, you can add exceptions to the integration method by earning or deduction code.

Note: If a benefit cost is mapped to multiple earning or deduction codes, each code must have the same methods defined.

In Benefits Setup > Payroll Integration Setup, when the Extension Method is set to Apply on Last Pay Period and the Payroll Integration Method is set to Based on Pay Date for a custom configuration, Dayforce extends the benefit end date to the pay date of the last pay period, provided that the pay date doesn’t exceed the plan year end. If the pay date is after the plan year end, Dayforce uses the original benefit end date instead. The earning or deduction is applied to the pay period containing the pay date, but only if the pay date occurs before the benefit end date.

Example:

• Benefit end date: December 20, 2024
• Pay period end dates: December 15, 2024, and December 29, 2024
• Pay date for December 29, 2024, period: January 3, 2025 (after plan year end)

In this example, the earning or deduction isn’t extended to the December 29, 2024 pay period because the pay date occurs after the plan year end. Instead, the earning or deduction applies to the December 15, 2024 pay period.

To add an exception:

1. Go to Benefits Setup > Payroll Integration Setup.
2. In the Payroll Elections tab, click New.
3. Select the Earning/Deduction in the drop-down list.
4. Select the Payroll Integration Method for the earning or deduction, in the drop-down list:
   • Based on Pay Date: The payroll election (earning or deduction) start date in payroll will be equal to the earliest pay period start date for which the benefit effective start date is on or before the pay date.
   • Based on Pay Period End Date: The payroll election (earning or deduction) start date in payroll will be equal to the earliest pay period start date for which the benefit effective start date is on or before the pay period end date.
5. Select the Transition Method for the earning or deduction, in the drop-down list. The transition method defines whether the per pay amount is preserved or recalculated when the new payroll integration rule is applied. By default, Preserve Per Pay Amount is selected.
   • Preserve Per Pay Amount
   • Recalculate New Per Pay Amount
6. Select the Extension Method for the earning or deduction, in the drop-down list. The extension method determines if the end dates of elections are extended. By default, Apply on Last Pay Period is selected and elections are extended.
   • Apply on Last Pay Period
   • Do Not Apply on Last Pay Period
7. Click Save.