Add the beneficiaries to the Masterfile:

1. Navigate to Edit, Employee Masterfile
2. Select the Statutory tab
3. Select the Medical aid tab
4. Insert the number of Medical Aid Beneficiaries that belong to the medical aid including the Principal member (this includes the main member).
5. Save the Masterfile.

 TIP: Payroll might prompt “if you want the system to add the mandatory medical aid transaction to the payslip” click OK on this prompt

Add the correct transactions to the Payslip of the employee:

1. Navigate to Process, Payslips
2. Select the Default tab.
3. Add the transaction code 8090 (Medical Aid Employee) onto the payslip and enter the amount that will need to be deducted from the employee.
4. Add the Transaction code 9090 (Medical Aid Employer) onto the payslip and enter the amount that the company will be contributing to the medical aid.
5. Check if the code 6172 (Medical Aid Fringe Benefit) is on the payslip. If it is not, please enter this code.  This code will always be equal to the amount on transaction 9090.  Never override this amount.
6. Check if the code 8002 (Medical Aid Tax Credits) is on the payslip. If it is not, please enter this code.  This code does not affect the payslip.  It does not print on the payslip. This transaction will calculate the maximum amount of Medical aid tax credits based on the number of beneficiaries added to the Masterfile.
7. Check if the code 8000 (Medical Aid Tax Credits Applied) is on the payslip. If it is not, please enter this code. This amount usually displays a negative amount.  This transaction deducts the amount for the tax credit (thus giving the money back to the employee).
8. Once the codes 8090, 9090, 6172, 8002, 8000 have been added to the payslips you can save the payslip.
9. If this employee is 65 years of age or older, you will need to capture the following additional medical aid tax credit codes:
   1. 8003 (Additional Medical Tax Credits)
   2. 8008 (Add. Med. Aid Tax Credit Appl.)

 NOTE: For more information regarding medical aid tax credits, please view our Sage City Article regarding this matter.