---
title: Configuring Allowances and Deductions
description: Set up consistent payroll components before assigning allowances or deductions to employees.
url: "https://flopay.app/docs/configuring-allowances/"
updated: "2026-10-18"
category: Configuration
---

# Configuring Allowances and Deductions

Set up consistent payroll components before assigning allowances or deductions to employees.

## 1. List approved components

Identify the earning and deduction components used by your organisation and confirm their intended purpose.

## 2. Configure each component

Enter clear names and review the available calculation and contribution settings.

## 3. Assign employee values

Apply the approved components and amounts to the relevant employees. Check recurring entries and effective periods.

## 4. Validate payroll output

Review a sample payroll record to confirm that each component appears and calculates as intended.