Sage 50 payroll sub ledger has two payroll benefits created by default. The first one Benefit is only taxable on Federal and the second one Benef. (Que) is used for Quebec only. However, the program allows users to add more benefits, but by adding a new Benefit, it will be taxable in Federal and Provincial (whenever there are two separate taxes) and you can also add more Quebec benefits in the system. You have four steps to setup if your benefit includes an employee deduction and employer contribution. To be able to setup new benefits, you have to follow these steps:

STEP 1: Setting up the benefit

1. Make sure that all windows are closed by clicking on View / Close all other Sage 50 windows (If using a multiuser version, make sure you are in Single user mode).
2. Setup/Settings/Payroll/Income.
3. Select any available income (ex: Income 1..2..3) and change his name to your benefit name (ex: RSSP).
4. Under column Type, click on income and select the proper benefit.

STEP 2: Setting up Employee deduction (if needed)

1. Setup/Settings/Payroll/Deductions.
2. Select an available deduction and rename it to your benefit name.
3. Leave or remove the checkmark depending on the type of benefit you are setting up.

STEP 3: Setting up employer contribution - User defined expense (if needed)

1. Setup/Settings/Payroll/Names/Additional Payroll.
2. Under User-Defined Expenses, Change Expense… to your Benefit name.

STEP 4: Setting up Linked account

1. Under Setup/Settings/Payroll/Linked accounts/Incomes, link your payroll wage and salaries expense account
2. Setup/Settings/Payroll/Linked accounts/Deductions, link the employee deduction account (liability account)
3. Setup/Settings/Payroll/Linked accounts/User-Defined Expenses, link your employer deduction and expense account

When all that is done, click OK to save all the changes and your new benefit is now ready to be used. You can now open employees sub ledgers and enable and put the amount of the benefit under Income, Deduction and User defined expenses tab.