PeopleSoft Enterprise Global Payroll for Singapore 9.1 PeopleBook

Posting Festive Advances to Global Payroll

This section provides an overview of festive payroll integration and discusses how to:

Post and unpost festive advance payments.
Pay festive advance payments in Global Payroll.
Recover festive advance payments in Global Payroll.

Understanding Festive Advance Payroll Integration

The festive advance payment ensures that employees have sufficient money to pay for the larger-than-usual expenses often incurred during certain festival periods. This money is not a bonus or additional salary; it is a form of interest-free loan advanced by the employer, to be recouped by deductions made in subsequent payrolls.

After setting up some base information such as calculation rules and pay program and then calculating and reviewing the appropriate festive advance amounts for individual employees in Human Resources, Global Payroll then enables you to:

Distribute the amount to the employee.
Recover the advance from the employee in subsequent payrolls.

The following steps provide an overview of the integration between Human Resources and Global Payroll and the process involved in setting up, posting, paying and recovering festive advance amounts. A quick look at the steps involved in setting up and managing festive advances from Human Resources through to Global Payroll provides you with an understanding of the "big picture" of the Administer Festive Advance business process.

You firstly use PeopleSoft Human Resources to set up and manage your festive advances (steps 1–8) and then use Global Payroll to post, pay and then recover the advances (steps 9–12):

Set up your religions and ethnic groups using the Religions page and Ethnic Group page.
Set up the default religions and ethnic groups for your employee's using the Personal Data - Eligibility/Identity page.
Set up the rules by which the festive advance amounts are calculated using the Festive Advance Calc Rule (festive advance calculation rule) page.
Use the Festive Advance Pay Program page to group your festive advance payment rules to create the programs you'll use to pay festive advances to your employees. You select the festive advance earnings and deductions that will be used in Global Payroll to pay and then recover the festive advance after posting.
Link your festive advance pay programs to specific job codes using the Job Code Table - Job Code Profile page.
Override any default festive advance set up for specific employees using the Job Data - Employment Information page, and specify a date from which the employee is eligible for festive advance.
Identify eligible employees and calculate the festive advance based on setup, rules, and type of festive holiday using the Festive Advance Calculation page. Festive advance amounts are stored in FA Payments Table.
Review and confirm festive advance calculations.

View, change and approve calculated festive amounts online using the FA Employee Details page and FA Pay Details page.
Post calculated festive advance amounts to Global Payroll by using the run control page.

The posting process (GPSG_FA_POST AE) enables you nominate the calendar to which the payments are to be posted, and to copy the festive advances from the FA Payments table into the Global Payroll Positive Input tables.
Festive advance earnings for each festive amount type enable you to pay the festive advance.
When an advance is paid, it is then added to the following two accumulators:
- FAD AC ADV AMT (Advance Amount Accumulator): Holds the amount paid and is cleared out when each advance is paid so that it only contains the value of the last paid advance.
- FAD AC FA BAL (Outstanding Balance Accumulator): Used to hold the outstanding balance and is also reduced by the payback deductions.
Customary festive advance payback deductions, corresponding to each of the festive advance types (and supporting elements) enable you to deduct Festive Advance amounts in subsequent pays. This enables you to recover the entire outstanding festive advance payments when an employee terminates.

Posting and Unposting Festive Advance Payments

This section provides an overview of festive advance payment posting and unposting.

Understanding Festive Advance Payment Posting and Unposting

After you have reviewed the festive advance payment amounts in Human Resources, you can post the festive advances to Global Payroll. The GPSG_FA_POST AE (festive advance) posting process enables you nominate the calendar to which the payments are to be posted, and to copy the festive advances from the FA Payments table into the Global Payroll Positive Input tables. After payments are posted to Positive Input, the status of the festive advance payments is updated to prevent reposting. An unpost option included in the festive advance posting process also enables you to delete the posted advances from specified calendars on the Positive Input tables, provided the pay has not already been finalized.

Note. Only calendars that have not already been finalized are allowed. If the calendar is already calculated, iterative triggers are created.

On the Post/Unpost FA page, when the processing type is post, and the status is Approved, the GPSG_FA_POST AE (festive advance) posting process enables you to copy the festive advances from the FA_PAYMENT table into the Global Payroll Positive Input tables. If the calendar is open, and a trigger doesn't already exist, an iterative trigger (GP_ ITER_TRGR) row is created and the FA_PAYMENT row status is updated to Posted.

When the processing type is Unpost, and the status is Posted, the unposting process changes the row status of the FA_PAYMENT table to Approved.

Page Used to Post and Unpost Festive Advance Payments

Page Name	Definition Name	Navigation	Usage
Post/Unpost Festive Advncs SGP	GPSG_RC_FA_POST	Global Payroll & Absence Mgmt, Absence and Payroll Processing, Prepare Payroll, Post/Unpost Festive Advncs SGP, Post/Unpost Festive Advncs SGP	Run the Festive Advance Posting/Unposting process.

Paying Festive Advance Payments in Global Payroll

To pay the festive advances through Global Payroll, earnings elements are provided for each of the festive advance holiday types (Chinese New Year, Christmas, Deepavali and Hari Raya). The value of the earnings all come from positive input. You specify the earnings elements to be used for payment of the festive advances on the Festive Advance Pay Program page in Human Resources. To ensure you select appropriate earnings on this page, the system enables you to select only earnings with a category of FA (Festive Advance). All the elements created use this category. Separate earnings are provided for paying advances for each of the festive advance types and they are all set up identically.

Each of the festive advances (earnings) use the FAD FM ADVANCE post processing formula. Whenever an advance is paid, the formula adjusts the advance accumulator so it contains only the latest advance amount paid to the employee. The current value of the accumulator FAD AC ADV AMT is moved to variable FAD VR ADV CLR, which subtracts from the accumulator, effectively wiping out its current value.

The following festive advance earnings add to the FAD AC ADV AMT accumulator:

CNY ADV — Chinese New Year Advances.
DEEPAVALI AD — Deepavali Advances.
XMAS ADV — Christmas Advances.
HARI RAYA AD — Hari Raya Advances.

Recovering Festive Advance Payments in Global Payroll

Global Payroll enables you to make the actual festive advance payments through the Global Payroll system. However, as festive advance payments are advances, they must then be recovered through deductions in the payroll system in subsequent pay periods. Separate customary deductions corresponding to each of the festive advance types and supporting elements enable you to deduct festive advance amounts in subsequent pays. This enables you to recover the entire outstanding festive advance payments when an employee terminates.

You specify the deduction elements to be used for the recovery of the festive advances on the Festive Advance Pay Program page in Human Resources. To ensure you select appropriate deductions on this page, the system enables you to select only deductions with a category of FA (Festive Advance). All the elements created use this category. Separate deductions are provided for recovering advances for each of the festive advance types and they are all set up identically.

The following festive advance deductions enable you to recover festive advance payments (subtracts from the FAD AC ADV AMT accumulator):

CNY PBK — Chinese New Year Advance Recovery.
DEEPAVALI PB — Deepavali Advance Recovery.
XMAS PBK — Christmas Advance Recovery.
HARI RAYA PB — Hari Raya Advance Recovery.

Note. Deductions are delivered to recover 100% of the advance in the following period. To spread it out you should change the percentage on the deduction.

Managing Festive Advance Recoveries

The following supporting elements control the processing of festive advance recoveries (payback):

When an advance is paid, it is added to two accumulators:
- FAD AC ADV AMT (Advance Amount Accumulator): Holds the amount paid and is cleared out when each advance is paid so that it only contains the value of the last paid advance.
- FAD AC FA BAL (Outstanding Balance Accumulator): Used to hold the outstanding balance and is also reduced by the payback deductions.
The amount for the payback deductions is based on the first accumulator (the amount of the last paid advance). Although, in the delivered rules, it is 100% of that amount, you can change this to spread the repayments as required.

Note. Accumulators are updated at the end of the process, so the pay back deduction is calculated based on the accumulators from the previous pay, not including any newly paid advance.
A post processing formula, FAD FM ADV LIMIT is used with all of the deductions to limit the deduction amount to the outstanding balance (the second accumulator, FAD AC FA BAL). If an employee's termination date falls within the current period, the post processing formula overrides the deduction amount with the entire outstanding balance so that the advance is always fully repaid on termination.
Formula FAD FM ADV PBCK checks first whether there is any outstanding advance to be repaid (in accumulator FAD AC FA BAL) and if there is, whether the current deduction is the one specified on the employees FA Program for paying it back. The outstanding balance is also checked in the FAD GC ADV PBCK generation control to save calculating when there is no advance to repay. An error message is generated if the gross pay is less than the amount to be deducted.
Array FAD AR PBCK DEDN loads the deduction code that is assigned to the employees FA Program / Holiday Type into variable FAD VR PBCK DEDN.