PeopleSoft Global Payroll for Japan 9.1 PeopleBook

Administering Zaikei Deductions

This chapter provides an overview of Zaikei savings plans and discusses how to:

Set up Zaikei deductions.
Assign Zaikei deductions to payees.

Understanding Zaikei Savings Plans

Zaikei savings accounts are government-sponsored plans for employees that promote asset formation and accumulation in the form of savings for housing and pensions. Employers deduct a fixed amount from employee earnings (salary and bonuses). Preferential tax treatment may apply to interest earned on Zaikei savings. Employer participation in Zaikei plans is optional, but most provide this benefit to their employees.

Zaikei Account Products and Restrictions

Companies establish contracts with financial institutions to administer Zaikei plans on their behalf. Financial institutions modify their existing products to comply with Zaikei restrictions. These restrictions require that:

New accounts be created only by the company for which the employee works.
Contribution be made only through deductions from salaries and bonuses.
Employee withdrawals be made only through the company for which the employee works.
The account can be closed only by the company for which the employee works.

Understanding Element Assignment by Payee

The deductions from salary and bonuses for Zaikei savings are set up using the Element Assignment By Payee component in Global Payroll. The steps to set up Zaikei deductions and assign them to employees include:

Create a new element category for Zaikei deductions.

Note. You can use this element category for all non-legislative deductions, not solely for Zaikei deductions.
Define a deduction element for each Zaikei financial product that the company offers with the override level set to Payee.
Add the element as a member to accumulators for Zaikei deductions.
Assign the element to the payee.
Enter the effective date and the amount of the deduction for the payee.

Examples Presented in this Chapter

The deduction elements that are used in the examples in this chapter are delivered sample data. Other elements that are used in the examples are delivered as customary or statutory elements. You should consider the example a template for setting up Zaikei elements for your specific organizational needs. You must set up a deduction element for each Zaikei savings plan that your organization offers to employees. For example, if your organization has contracts with financial institutions A and B, and financial institution A has three Zaikei products and B has four, you will need to set up seven Zaikei deduction elements.

Delivered Sample Data for Zaikei Deductions

This table list the elements that are delivered as sample data that you can use for reference in creating your own elements. In some cases, you can use a delivered element, without modification, in your Zaikei setup.

Element	Element Type	Description
ZK GENERAL	Deduction	General Zaikei deduction.
ZK PENSION	Deduction	Zaikei deduction for pension savings.
ZK HOUSING	Deduction	Zaikei deduction for housing savings.
DENL	Element Category	Non-legislative deduction element category (for Zaikei elements).
ZK GC RUN TYPE FLG	Generation Control	Run type flag check.
ZK FM RUN TYPE FLG	Formula	Zaikei Run Type check flag (checks the run type of the Process).
ZK AC SAVINGS	Zaikei Savings Accumulator	All Zaikei deduction elements must be members of this accumulator. This accumulator is a member of accumulator ER AC TTL DED SAL (total amount of salary deductions) and accumulator ER AC TTL DED BON so that Zaikei deductions are deducted from gross earnings.
ZK SE DED	Zaikei Deduction Section	Delivered and Customary Zaikei deduction elements must be included in this section. This section is included in these existing process lists: JPRSAL JPRADJSAL JPRBON JPRADJBON

Printing Zaikei Deductions on Payslips and Reports

The amount of Zaikei deductions appears on JSALSLIP and JBONSLIP payslip IDs, for salary and bonus earnings respectively. When the amount is zero, neither the label nor the amount prints on payslips.

A segment accumulator for Zaikei deductions appears on these generic reports:

JGR02 (Accumulator List [Sal])
JGR04 (Accumulator List [Bonus])
JGR05 (Wage Ledger)

Setting Up Zaikei Deductions

This section reviews how to set up an element category for Zaikei deductions and discusses how to:

Establish categories.
Establish common settings
Enter the deduction name.
Set up the calculation.
Set up the accumulator.

Note. This section documents only the pages of the Deductions component that require modification or specific field entries to set up Zaikei deduction elements. The pages where no entries are required, or default settings are kept, are not documented. The examples are based on the ZK GENERAL deduction that is delivered as sample data.

Setting Up an Element Category for Zaikei Deductions

Set up an element category for Zaikei deductions and the common settings for the category before setting up the Zaikei deduction elements. Use the delivered element category DENL (non-legislative deduction) as a template for creating new element categories, or use this delivered data category for your Zaikei deduction elements.

Pages Used to Set Up Zaikei Deductions

Page Name	Definition Name	Navigation	Usage
Categories	GP_PIN_CATEGORY	Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Elements, Categories	Set up or use an existing category for Zaikei deduction elements.
Configuration by Category	GP_ED_SETUP_CAT	Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Elements, Payroll Element, Configuration by Category, Configuration by Category	Define the message set, message number, and standard page and positive input overrides for the category.
Deduction Name	GP_PIN	Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Elements, Payroll Elements, Deductions, Deduction Name	Define a Zaikei deduction for each financial product offered to employees, and select Payee in the Override Levels group box.
Calculation	GP_ERN_DED_CALC	Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Elements, Payroll Elements, Deductions, Calculation	For Zaikei deductions, enter the effective date of the deduction, set the Calculation Rule option to Amount, and set the Amount Type option to Payee Level.
Accumulators	GP_ERN_DED_AC_ADDL	Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Elements, Payroll Elements, Deductions, Accumulators	Specify the accumulator for Zaikei deductions.

Establishing Categories

Access the Categories page (Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Elements, Categories).

Define the category type for the Zaikei elements as a prerequisite to defining Zaikei deduction elements.

Establishing Common Settings

Access the Configuration by Category page (Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Elements, Payroll Element, Configuration by Category ).

The Variable ER VR RUN TYPE holds the name of the run type that the user selects. The generation control formula ZK GC RUN TYPE FLG compares this value with the RUN TYPE system element to determine whether to process the deduction.

The GPJP_RUN_TYP_VW prompt view enables the user to select Japan-specific run types, either SAL (Salary) or BON (Bonus) based on the sample data.

Entering the Deduction Name

Access the Deduction Name page (Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Elements, Payroll Elements, Deductions, Deduction Name).

Important settings for the Zaikei deduction on the Deduction Name page appear in the Override Levels group box. These override levels that are selected are:

Payee
Via Elements
Positive Input

The results are always stored.

See PeopleSoft Global Payroll 9.1 PeopleBook, Defining Earning and Deduction Elements.

Setting up the Calculation

Access the Calculation page (Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Elements, Payroll Elements, Deductions, Calculation).

The field entries on this page are the same for all Zaikei deduction elements that you create.

Calculation Rule	Select the Amount option.
Amount Type	Select the Payee Level option.
Generation Control	The generation control formula ZK GC RUN TYPE FLG determines whether to process the deduction based on the Run Type system element.

Setting Up the Accumulator

Access the Accumulator page (Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Elements, Payroll Elements, Deductions, Accumulators).

The field entries on this page are the same for all Zaikei deduction elements that you create.

Accumulator Element	Enter ZK AC SAVINGS.
Accumulator Sign	Select the Add option.

Note. On the Contributions tab, the Percent Option is Numeric and the Percent to Accumulate field entry is 100.000000.

Assigning Zaikei Deductions by Payee

This section discusses how to:

Assign elements by payee.
Set up element details.

Pages Used to Assign a Zaikei Deduction to a Payee

Page Name	Definition Name	Navigation	Usage
Element Assignment By Payee	GP_ED_PYE	Global Payroll & Absence Mgmt, Payee Data, Assign Earnings and Deductions, Element Assignment By Payee	Assign Zaikei deductions to a payee
Element Detail	GP_ED_PYE_DTL_SEC	Global Payroll & Absence Mgmt, Payee Data, Assign Earnings and Deductions, Element Assignment By Payee. Click the Element Name link in the Assignments group box.	Set up calculation and run type information for the assigned deduction.

Assigning Elements by Payee

Access the Element Assignment By Payee page (Global Payroll & Absence Mgmt, Payee Data, Assign Earnings and Deductions, Element Assignment By Payee).

After you set up the Zaikei deductions, assign them to individual payees. Two instances of each Zaikei deduction are assigned, one for the salary run type, and one for the bonus run type.

Setting Up Element Details

Access the Element Detail page (Global Payroll & Absence Mgmt, Payee Data, Assign Earnings and Deductions, Element Assignment By Payee). Click the Element Name link in the Assignments group box.).

Begin Date

Enter the date the Zaikei deduction begins.

Note. The Zaikei deduction amount is defined as of the period end date rather than payment date. For example, if you are going to begin the Zaikei deduction from the monthly salary with a period begin date of January 1, a period end date of January 31, and a payment date of February 10, enter January 31 in the Begin Date field on this page.