Deduction
An amount taken out of gross pay, such as tax, a fund contribution, a loan instalment or a recovery.
A deduction reduces what the employee receives. Some are required, such as tax, and some are agreed, such as a loan instalment. Each should appear on the payslip as its own line with a plain label.
A deduction with no agreement or rule behind it is a risk. Keep the reason with the entry, and record who approved it, so that a question months later has an answer.
Related
General information, not tax or legal advice.
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