How to setup Employee Deduction record for 2020 W-4P

We have pension employees who fill out the new 2020 W-4P which still allows exemptions, how do we handle this is employee deductions with the 2020 or later checkbox? 

• Munis
• Deduction and Benefit Master
• Employee Deductions 

Do not check the 2020 or later W-4 checkbox in Employee Deductions for Pension employees filling out a 2020 W-4P. When that box is checked it does not take exemptions into consideration when calculating the federal withholdings.

 Two Options:

Uncheck the 2020 or Later W-4 checkbox for existing Pension Employees using the regular federal deduction code. 

1. Go to Employee Deductions (Payroll>Employee Maintenance>Employee Deductions).
2. When updating/adding a pension employee's 3000 deduction, uncheck the 2020 or Later W-4 checkbox. 

OR 

Create a separate federal deduction code for pension employees and leave the 2020 or later W-4 box unchecked on the Deduction and Benefit Master record. 

1. Go to Deduction and Benefit Master (Payroll>Payroll Setup>Deduction and Benefit Master)
2. Click Add. Define Deduction (3001 for example) and other applicable information. 
3. Leave the 2020 or later W-4 checkbox unchecked. Click Accept.