This chapter provides overviews of frequency IDs, frequency for compensation conversions, frequency in PeopleSoft Enterprise Global Payroll, and frequency in PeopleSoft Enterprise Payroll for North America, and discusses how to define a frequency ID and countryspecific defaults.
This section discusses:
Frequency IDs.
Frequency with compensation rates.
Frequency with payroll calculations.
Frequency IDs are used in PeopleSoft Enterprise Human Resources, Global Payroll, and Payroll for North America. Frequency IDs are defined on the Frequency Table component (FREQUENCY_TBL). Each frequency ID has a frequency type and an associated annualization factor that represents the number of times that the period occurs in the course of a year.
In PeopleSoft HRMS, you use frequency IDs to define the periods of time in which compensation is quoted, standard hours are completed, and people are paid, to list a few examples.
PeopleSoft delivers a set of standard frequencies that are PeopleSoftmaintained. You can define additional, customermaintained frequencies for nonstandard periods. For example, you could define a monthlytype frequency with a nonstandard annualization factor of 13 to represent 13 monthly periods in a year
PeopleSoftMaintained Frequencies
PeopleSoft delivers and maintains the following frequency IDs in the Frequency Table component:
Frequency ID 
Description 
Frequency Type 
Annualization Factor 
A 
Annual 
Annual 
1 
B 
Biweekly 
Biweekly 
26 
BMX30 
Biweekly Mexico Factor 30.0 
Biweekly 
25.7142857 
BMX34 
Biweekly Mexico Factor 30.4 
Biweekly 
26.0571428 
C 
Contract 
Contract 
1 
D 
Daily 
Daily 
260 
D365 
Diaro 365 dias 
Daily 
365 
D426 
Daily 14 Payments 
Daily 
426 
DAR30 
Daily Argentina Facto 30.0 
Daily 
360 
DMX30 
Daily Mexico Factor 30.0 
Daily 
360 
DMX34 
Daily Mexico Factor 30.4 
Daily 
364.8 
F 
Every four weeks 
Every four weeks 
13 
H 
Hourly 
Hourly 
Use Standard Hours for Annualization 
HMX30 
Hourly Mexico Factor 30.0 
Hourly 
2880 
HMX34 
Hourly Mexico Factor 30.4 
Hourly 
2918.4008 
JM 
Japan Monthly 
Monthly 
12 
M 
Monthly 
Monthly 
12 
M13 
Monthly 13 payments 
Monthly 
13 
M14 
Monthly 14 payments 
Monthly 
14 
Q 
Quarterly 
Quarterly 
4 
S 
Semimonthly 
Semimonthly 
24 
SMX34 
Semimonthly Mexico Factor 30.4 
Semimonthly 
24.32 
W 
Weekly 
Weekly 
52 
WMX30 
Weekly Mexico Factor 30.0 
Weekly 
51.4285714 
WMX34 
Weekly Mexico Factor 30.4 
Weekly 
52.1142857 
When you associate frequency with compensation rates, you define the time period on which the compensation is based. For example, you might state a worker's base salary as 60,000 a year (annual frequency) or 5,000 a month (monthly frequency). When you associate these compensation rates with jobs, positions, salary steps, or individual job records, the system uses the annualization factor that is associated with this frequency to convert the compensation to other frequencies.
When you set up PeopleSoft Human Resources, you can define default compensation frequencies at several levels. You can usually change that default value when the system enters it into other pages.
This table lists important pages on which compensation frequencies are either specified or used:
Component or Page 
Default Compensation Frequency Value 
Default Frequencies page (DFLT_FREQUENCY) 
Specify default frequencies for each country and specify the order in which the system uses them to display base pay compensation in the Pay Rates group box on the Compensation page of the Job Data component. 
Compensation page (JOB_DATA3) of the Job Data component (JOB_DATA) 
Displays base pay compensation information in the frequencies that are specified for the country on the Default Frequencies page 
HRMS Options page (INSTALLATION_TBL1B) of Installation Table component (INSTALLATION_TBL) 
Set a default compensation frequency and a default work period for your organization. The system enters these default values in the Job Code table. 
Job Code Profile page (JOBCODE_TBL1_GBL) of Job Code component (JOB_CODE_TBL) 
Default compensation frequency and default work period values are taken from the Installation table. 
Comp Rate Code Table component (COMP_RATECD_TBL) 
Specify rate code frequencies on the Comp Rate Code table. The system enters these default values when you select the rate code in a pay components group box (found on a number of pages in PeopleSoft HRMS). You can also specify here whether the FTE (fulltime equivalency) calculation should be applied to the compensation associated with the rate code. 
Define Salary Plan component (SALARY_PLAN_TABLE) 
Specify default frequency for components of pay assigned to salary steps. 
Pay Group Table component (PAYGROUP_TABLE) 
Specify daily and monthly frequencies for the pay group . The system uses the frequency information to calculate pay rates. 
See Also
Global Payroll and Payroll for North America use frequency to define how often certain events happen.
Global Payroll uses frequency IDs when defining elements, generation control parameters, calendar periods, rate code elements, and system elements. In addition to using frequency defined on the Frequency Table page, Global Payroll also uses frequency defined on the Generation Control Frequency page (GP_GCTL_FREQUENCY).
Payroll for North America uses frequency IDs to define pay period frequency and to calculate pay rates and proration of pay.
See Also
Understanding Frequency in Global Payroll
Understanding Frequency in Payroll for North America
This section discusses:
Factors applied to the compensation rate.
Conversion of compensation rates to different frequencies.
Job Data pay rate frequencies.
PeopleSoft HRMS calculates and displays compensation rates in the hourly, daily, weekly, monthly, and other frequencies using standard frequency conversion formulas. Depending on the frequency being converted, the system performs the calculations by applying one or more of the following to the compensation rate:
Compensation frequency annualization factor.
Job standard hours.
Standard work period frequency annualization factor.
FTE (fulltime equivalency) factor.
Frequency Annualization Factor
Each frequency ID has an associated annualization factor that represents the number of times that the period occurs in the course of a year.
See Frequency IDs.
Standard Hours and the Standard Work Period
When converting hourly compensation rates, the frequency conversion calculations use the job standard hours and the standard work period. Job standard hours define how many hours the worker should work in the job. The standard work period defines the work period in which the standard hours should be completed. You define the standard work period by selecting a frequency ID (and its annualization factor) as defined on the Frequency Table component.
You define the standard hours and the standard work period on the following pages:
Component 
Page 
Assignment Level 
Installation Table 
HRMS Options 
Values for an organization 
Org Defaults by Permission Lst (OPR_DEF_TBL_HR) 
Settings (OPR_DEF_TBL_HR2) 
Values for a primary permission list 
Position Data (POSITION_DATA) 
Description (POSITION_DATA1) 
Values for a position 
Define Salary Plan 
Salary Plan Table (SALARY_PLAN_TABLE) 
Values for a salary plan 
Job Code 
Job Code Profile 
Values for a job code 
Job Data 
Job Information (JOB_DATA_JOBCODE) 
Values for an employee 
Job Openings (HRS_JOB_OPENING) 
Job Opening (HRS_JOB_OPENING) 
Values for an employment application 
The minimum and maximum standard hours values and the standard work period defined on the Business Unit HR Defaults page (BUS_UNIT_OPT_HR) are used for validation edits in the Job Data and Position Data components.
Defaults for Standard Hours and Standard Work Period
The system inserts the standard hours and the standard work period as default information only if both are defined. The following table describes the source of defaults in Job data under the specified conditions:
Condition 
Default Source 
You assign the worker a salary plan. 
Salary Plan Table page 
You assign the worker to a position. 
Description page of the Position Data component 
You assign the worker a job code. 
Job Code Profile page of the Job Code component 
You didn't indicate standard hours on the Salary Plan table, Job Code table, or Position Data table. 
HRMS Options page of the Installation component 
Fulltime equivalency (FTE) is the percentage of full time that a worker should normally work in a job. In calculating the FTE, the system uses your definition of the standard hours and the standard work period.
If you select Apply FTE for a compensation component, PeopleSoft Human Resources uses the standard hours and the standard work period to compute FTE to prorate holiday hours and pay for parttime and hourly workers.
Note. (FRA) For workers in French regulatory regions, the system uses the PAID_FTE field to prorate holiday hours and pay for parttime and hourly workers.
PeopleSoft Human Resources calculates FTE using the product of the standard hours of the job multiplied by the annualization factor of the job's standard work period which is then divided by the product of the default standard hours multiplied by the annualization factor of the default full time standard hours work period, as shown in this equation:
FTE Equation
In this equation, the default fulltime standard hours and default fulltime standard work period are from:
The Salary Plan component (if a salary plan is defined for the worker, and if both standard hours and standard work period are defined for this salary plan).
The Org Defaults by Permission Lst component (if no salary plan is defined for the worker, and if both standard hours and standard work period are defined in the Org Defaults by Permission Lst component).
The system converts compensation rates to daily, monthly, and other frequencies using standard formulas. The formula for converting to or from an hourly rate takes the standard hours and standard work period into account.
The system performs compensation rate conversions as follows:
Finds or calculates the annual rate for compensation.
Divides the annual rate using deannualization conversion calculations to calculate the rate at the desired frequency.
Multiplies the converted compensation rate by the FTE factor if Apply FTE is selected for the pay component.
Note. (FRA) For workers in French regulatory regions, the system uses the PAID_FTE field to multiply the converted compensation rate.
The system uses the following formulas to convert compensation rates to an annual frequency:
Original Frequency 
Formula for Conversion to Annual Frequency 
Hourly 
Annual Rate = Comprate × Job Standard Hours × Frequency Annualization Factor of Standard Work Period 
Monthly, daily, and other 
Annual Rate = Comprate × Frequency Annualization Factor 
DeAnnualized Rate Calculations
The system uses the following formulas to convert compensation rates from an annual frequency to another frequency:
NonAnnual Frequency 
Formula for Conversion from Annual Frequency 
Hourly 
Hourly Rate = Comprate / (Job Standard Hours × Frequency Annualization Factor of Standard Work Period) 
Monthly, daily, and other 
NonAnnual Rate = Annual Comprate / Frequency Annualization Factor 
The following examples illustrate the use of these formulas.
Example of Hourly to Monthly Compensation Rate Conversion
Teresa Johnson has the following job data information:
Employment Variables 
Values 
Comprate (hourly) 
10 
Job Standard Hours 
35 
Frequency Annualization Factor of Standard Work Period 
52 
Frequency Annualization Factor of Month 
12 
The following table shows how the system calculates Teresa Johnson's monthly FTE (fulltime equivalency) compensation rate. The total represents Teresa's monthly salary based on a thirtyfive hour workweek over a fiftytwo week year.
Rate 
Equation 
Annual 
10 × 35 × 52 = 18,200 
Monthly 
Annualized Comprate / Frequency Annualization Factor of Month 18,200 / 12 = 1516.67 
Example of Monthly to Biweekly Compensation Rate Conversion
Bill McKenny has the following job data information:
Employment Variables 
Value 
Comprate (monthly) 
2000 
Frequency Annualization Factor of Monthly 
12 
Frequency Annualization Factor of Biweekly 
26 
Apply FTE Selected 
Yes 
FTE Factor 
0.95 
The following table shows how the system calculates Bill McKenny's biweekly compensation rate:
Rate 
Equation 
Annual 
Comprate × Frequency Annualization Factor of Month 2000 × 12 = 24,000 
Deannualize 
Annualized Comprate / Frequency Annualization Factor of Biweekly 24,000 / 26 = 923.08 
Multiply by FTE 
923.08 × 0.95 = 876.85 
The system uses the countryspecific default frequencies to calculate and display the pay rates in the Pay Rates group box on the Job Data  Compensation page. The system finds the frequencies that are associated with the person's country on the Default Frequencies table. The order you list the frequencies on this table is the order in which the pay rates appear in the Pay Rates group box. The system converts compensation rates to the default frequencies using the standard formulas described in this chapter.
Because the PeopleSoft Global Payroll and Payroll for North America systems calculate daily and monthly pay rates using frequencies established for the pay group, it is possible that the compensation rates displayed on the Job Data  Compensation page will vary from the pay rates calculated with pay group daily and monthly frequencies. This would occur if the pay group daily or monthly frequency differs from the daily or monthly frequency specified for the country on the Default Frequency page. It is recommended that you establish pay group frequencies to match the default frequencies for the country whenever possible.
The pay rates calculated with pay group frequencies are available on the JOB record in the fields JOB.ANNUAL_RT, JOB.MONTHLY_RT, JOB.DAILY_RT, JOB.HOURLY_RT. These fields are referenced by the Job Summary page and can be referenced in PS Query.
See Also
Setting CountrySpecific Frequency Defaults
PeopleSoft Global Payroll uses frequency when defining elements, generation control parameters, calendar periods, rate code elements, and system elements. In addition to using frequency defined on the Frequency Table page, PeopleSoft Global Payroll also uses frequency defined on the Generation Control Frequency component.
This section discusses:
Frequency with element definitions.
Frequency with generation control.
Frequency with calendar periods.
Frequency with rate codes and system elements.
An element is the smallest component of PeopleSoft Global Payroll, and it is used in defining calculation rules to process your payroll. Elements can hold the values of pay (earnings), an amount to be deducted from pay (deduction), or time away from work (absence).
Elements (such as earnings, deduction, and absence) can be standalone. Supporting elements (such as rate codes or rounding rules) can be used with other elements to define a calculation rule. Each element is defined only once, but it can be used repeatedly.
For any earnings, deduction, or absence element, you must specify the frequency of the stated amount on the Earning/Deduction definition. For each item that you associate with a frequency, you must consider how the frequency fits into the overall processing picture. Selecting the correct frequency for earnings, deductions, and absence elements is essential for correct processing. For example:
Earnings element 
In what frequency is the stated amount paid? Is it per week, per month, or per year? 
Deduction element 
In what frequency is the stated amount withheld? Is the stated amount the amount to withhold each pay period, each month, or for the entire year? 
Absence element 
Is an employee entitled to three days of holiday time per month or per year? 
In PeopleSoft Global Payroll, you use frequency to define earnings, deduction, or absence elements.
To illustrate, we refer to defining an earnings element. However, the process is the same for earnings, deduction, and absence elements.
You define the calculation rule, frequency, and generation control for an earnings element on the Earnings  Calculation page (GP_ERN_DED_CALC).
See Defining Calculation Rules for an Earning Element.
Select a calculation rule and once you select a calculation rule, you must further define details for each component of the rule. For example, if you select Amount, specify the amount of the earnings element.
The following table lists the calculation rules and the components of the calculation rule for which frequency conversion is performed:
Calculation Rule 
Component 
Amount 
Amount (if necessary) 
Rate × Unit 
Unit 
Rate × Unit × Percentage 
Unit 
Base × Percentage 
Base 
Define the frequency that the stated amount represents. If you select Use Calendar Frequency, the system uses the frequency that's defined for the calendar period on the Define Calendars  Period page (GP_CALENDAR_PERIOD). If you select Use Specified Frequency, you can define your frequency directly on the Earnings  Calculation page by selecting from a list of frequencies.
See Creating Periods.
The Frequency field enables you to tell the system the frequency with which you are stating a value. For example, let's say that you select Use Specified Frequency, that you have a weekly payroll, and you create an earnings element with an amount of 100 and a frequency of Monthly. If you don't have any generation control conditions defined, the system annualizes and deannualizes the amount into a processing frequency amount. Let's assume that you define your organization's monthly frequency as 12 and the weekly frequency as 52. The system takes the 100 (monthly amount) and annualizes it to 1200. Next, it takes this annualized amount and deannualizes it into the payroll processing frequency (weekly, in this example). The amount paid each pay period is:
1200 / 52 = 23.08
The benefit of defining a frequency is that if your organization has multiple pay frequencies (such as weekly, semimonthly, and monthly), you don't have to create separate earnings for each frequency. The system automatically converts the amount into the corresponding pay period amount. Let's say that your organization decides to give an annual bonus of 1000 to all payees and this bonus is distributed throughout the year. Your hourly payees get paid weekly and your salaried payees get paid monthly. If you define an earnings bonus as BON = 1000, with a frequency of Annual, you can apply this earnings definition to payees who are paid weekly and payees who are paid monthly by using annualization and deannualization. The frequency assigned on the Earnings Calculation page calculates the bonus amount correctly, regardless of the pay frequency.
Note. In PeopleSoft Global Payroll, there is no distinction between organizational relationships (employee, contingent worker, or person of interest). Because payroll is processed for all types of people with jobs, the PeopleSoft Global Payroll documentation refers to both of them as payees.
Pay period frequency isn't hardcoded into the system. Instead, PeopleSoft Global Payroll uses the HR Frequency Table component to determine how a frequency is calculated. For example, a monthly frequency has a factor of 12 and a weekly frequency has a factor of 52. Frequencies that are defined on the Frequency Table page are easily used wherever you use frequency in the system.
PeopleSoft Global Payroll provides an additional generation control concept called "Generation Control Frequency" to help control the pay periods in which a specific earning or deduction is to be resolved (such as only the first pay period of a month, and so on). Generation control frequencies enable you to define meaningful names and associate the correct frequency ID with a pay period.
An example of a frequency that isn't on the HR Frequency Table is First of the Month. Let's say that you have a weekly pay frequency, but you want an earnings element to be paid only on the first pay period of the month. In PeopleSoft Human Resources, the frequency would be monthly. This might not work for your payroll purposes. So, in PeopleSoft Global Payroll, the earnings element would be defined (tagged) as First of the Month and paid only on the first pay period of the month.
The Generation Control Frequency component is part of generation control frequency processing.
Generation control enables you to tell the system, through various control methods, when to process an element. For example, if an earnings element is to be paid only on the first pay period of the month (for weekly payrolls), you can control the payroll so that this earning is only paid in Week 1, and not paid in the subsequent week's payrolls during the month:
First you define generation control ID parameters on the Generation Control  Conditions page (GP_GCTL_CONDITION).
Next, when you define an earnings element, you prompt against this table by selecting a generation control name on the Earnings  Calculation page.
Then you don't have to redefine the parameters for each earnings element.
If you leave the Generation Control field blank on the Earnings  Calculation page, the system assumes to be paid every time based on normal eligibility rules for the payee.
Note. If the frequency that you select is other than Use Calendar Period Frequency, the system deannualizes the earnings amount based on the pay period frequency. If a generation control frequency exists, the system deannualizes the earnings amount based on that frequency. The generation control frequency overrides the pay period frequency during frequency conversion. For example, let's say that you have an earnings element with an amount of 1200, an annual frequency, and a monthly pay period. If your organization's monthly frequency is defined as 12, and you don't have a generation control frequency for this earnings, the amount is deannualized to 100 per month (1200 / 12 = 100). If you have a generation control frequency for this earnings element, the amount is different. Let's say that you have defined a generation control frequency of quarterly. The earnings are deannualized to 300 (1200 / 4 = 300).
PeopleSoft Global Payroll delivers four predefined generation control frequencies: 1st Month, Annual, January, and Quarter. All generation control frequencies can be used in corresponding generation control elements.
Use frequency with calendar periods when defining the frequency that's being processed.
When processing a payroll or absence run in PeopleSoft Global Payroll, you must tell the system the time period to calculate. This is often referred to as the pay period. You define period selection criteria by defining a period ID on the Define Calendars  Period page.
See Creating Periods.
The period ID defines the start date, end date, and frequency of a particular pay period. This definition is kept separate from the pay calendar to make it easy to reuse and to provide optimum flexibility during processing.
Here are some examples of the time and frequency data that can be defined by a period ID:
Begin Date 
End Date 
Frequency 
June 1 
June 7 
Weekly 
June 1 
June 30 
Monthly 
June 1 
June 15 
Semimonthly 
June 1 
August 31 
Quarterly 
On the Define Calendars  Period page, the frequency is defined for deannualization when an earnings, deduction, or absence element is defined without generation control frequency. However, if generation control frequency is included (in the earnings, deduction, or absence element definition), and the element generation control and the calendar ID generation control match, the system uses this generation control frequency for the deannualization factor.
This table provides some examples of frequencies:
Frequency 
Element 1 
Element 2a 
Element 2b 
Element 3 
Amount 
1,200 
1,200 
1,200 
1,200 
Frequency (Element Definition) 
Monthly (12) 
Monthly (12) 
Monthly (12) 
Monthly (12) 
Generation Control Frequency 
None 
Monthly (12) 
Monthly (12) 
Semimonthly (24) 
Pay Period Frequency 
Semimonthly (24) 
Semimonthly (24) 
Semimonthly (24) 
Semimonthly (24) * 
Calendar Generation Control Frequency 
None 
Monthly (12) 
None 
Semimonthly (24) * 
Calculated Amount 
600 
1200 
Not resolved 
600 
You don't need to specify the associated frequency if it coincides with the pay period frequency.
See Job Data Pay Rate Frequencies.
When you define an earnings or deduction element that uses either a rate code or a frequencycontrolled system element, the earnings or deduction element should always have the frequency Use Calendar Period Frequency. System elements are delivered and maintained by PeopleSoft.
A system element that is frequencycontrolled resolves in the calendar frequency portion of payroll processing, according to the frequency that is specified for the element when it is set up. The system then deannualizes by the calendar frequency.
This section discusses:
Compensation frequency and pay frequency.
Examples of pay rate calculations.
Proration of compensation rates.
Exceptions to Frequency table use.
In Payroll for North America you use the frequencies on the Frequency Table component to specify pay period frequency on the Pay Group component. The system uses compensation and pay frequencies for the calculation and proration of pay rates during batch and online system processes.
See Also
This section provides examples of how the system uses compensation rates and frequencies and pay period frequency to calculate pay rates.
Example: Biweekly Pay Period Calculation of Monthly Compensation
This example illustrates how Payroll for North America calculates the pay period rate by annualizing monthly compensation using the following frequencies:
Description 
Frequency ID 
Frequency Type 
Frequency Annualization Factor 
Pay frequency (Pay Group table) 
B1 
B (biweekly) 
26.1 
Compensation frequency (employee's Job data setup) 
M 
M (monthly) 
12 
Using a compensation rate of 1,000 USD, the calculations of the annual compensation rate and pay period compensation rate are:
Annual Rate = Comprate × Compensation Frequency Factor
12,000.00 = 1,000.00 × 12
Pay Period (Biweekly) Rate = (Annual Rate) / Pay Frequency Factor
459.77 = 12,000.00 / 26.1
Example: Weekly Pay Period Calculation of Hourly Compensation
Payroll for North America uses the annualization factor of the standard work period frequency in combination with the standard hours to calculate pay rates or proration of hourly compensation.
This example illustrates how Payroll for North America calculates the weekly pay period rate of hourly compensation.
The pay group's pay period frequency definition is:
Description 
Frequency ID 
Frequency Type 
Frequency Annualization Factor 
Pay frequency (Pay Group table) 
W (weekly) 
W (weekly) 
52 
The employee's compensation frequency definition is:
Comp Rate 
Comp Frequency 
Standard Hours 
Annualization Factor of Std Work Period 
10.00 
H (hourly) 
40.00 
52 
The calculations of the annual compensation rate and pay period compensation rate are:
Annual Rate = Comprate × (Standard Hours × Standard Work Period Annualization Factor)
20,800.00 = 10 x 40 × 52
Pay Period (weekly) Rate = Annual Rate / Pay Frequency Factor
400 = 20,800.00 / 52
The system calculates proration for partial periods when events such as newhires, terminations, or pay rate changes occur in the middle of a pay period. It uses data that you specify on the Pay Group component in conjunction with compensation data to calculate proration.
See Understanding Proration Rules.
Some processes, such as deduction calculations and Canadian tax calculations, use the pay periods per year from the Pay Calendar Table page (PAY_CALENDAR_TABLE). The value in the Pay Periods Per Year field on the Pay Calendar Table page is derived from the pay frequency of the pay group.
See Also
Creating Pay Calendars and FLSA Calendars
To define a frequency ID and countryspecific defaults, use the Frequency Table component (FREQUENCY_TBL) and the Default Frequencies by Country component (DFLT_FREQUENCY).
This section discusses how to:
Define a frequency ID, type, and annualization factor.
Set countryspecific frequency defaults.
Page Name 
Definition Name 
Navigation 
Usage 
FREQUENCY_TBL 
Set Up HRMS, Foundation Tables, Compensation Rules, Frequency Table, Frequency Table 
Define a frequency ID, its frequency type, and its annualization factor. 

DFLT_FREQUENCY 
Set Up HRMS, Foundation Tables, Compensation Rules, Default Frequencies By Country, Default Frequencies by Country 
Specify countryspecific default frequencies by country. 
Access the Frequency Table page (Set Up HRMS, Foundation Tables, Compensation Rules, Frequency Table, Frequency Table).
Maintenance Responsibility 
Select a maintenance responsibility. Values are:

Frequency Type 
Select a frequency type. Values are:

Use Standard Hours for Annualization 
Select to have the system use job standard hours for annualization instead of the frequency annualization factor. The frequency annualization factor is set to 0, and that field becomes unavailable. Note. You can use only hourly frequencies that use standard hours for annualization for compensation and pay frequency in PeopleSoft Human Resources, PeopleSoft Payroll for North America, and PeopleSoft Global Payroll. 
Frequency Annualization Factor 
Defines how many frequency periods occur in one year. Examples:
Important! If you change the effective status, frequency type, or annualization factor of an existing frequency, you receive a warning message saying that previous calculations using this frequency aren't synchronous with the new values of the frequency. 
Access the Default Frequencies by Country page (Set Up HRMS, Foundation Tables, Compensation Rules, Default Frequencies By Country, Default Frequencies by Country ).
Select four frequencies to set as defaults for the specified country. The system uses these default frequencies to calculate pay rates in the Pay Rates group box on the Job Data  Compensation page. The order you list the frequencies on this page is the order in which the pay rates appear in the Pay Rates group box.
For example, you specify the 1st Frequency as annual, 2nd Frequency as monthly, 3rd Frequency as daily, and 4th Frequency as hourly for Canada. For an employee in Canada, the Pay Rates group box displays the following pay rates in this order: annual, monthly, daily, and hourly. The system converts compensation rates to the default frequencies using the standard formulas described earlier in this chapter.
See Also