Viewing Delivered Termination Elements
This topic discusses:
Delivered termination earnings.
Delivered termination deductions.
Extra period termination earnings that are considered to be part of the termination process must be specified in the Termination Earning field on the Extra Period Definition page.
An employee who is entitled to extra periods in July and December, for example, would be paid the earnings LIQ PXTR JUL and LIQ PXTR DIC.
Note: PeopleSoft Global Payroll for Spain delivers sample earnings that are defined as PeopleSoft Delivered/Not Maintained. If you want to create your own termination elements, first define them on the Earnings page and then list them on the Extra Period Definition page.
See Extra Period Definition Page.
Example of Termination Earnings Calculation
Assume that an employee has a total gross annual compensation of 50.000 EUR. The labor agreement specifies that the employee receive two extra period payments: one paid on June 15 and the other on December 15. Your company has a monthly payroll, so in addition to the 12 regular payments, two other payments exist, making a total of 14 payments in a year. To get the gross compensation for the monthly payment, you make this calculation:
50.000/14 = 3571.43 EUR
Assume that the employee joined the company on March 1 and that the time frame for the June extra period is six months (from January to June). The extra period payment date is June 15. He will earn 4/6 times the gross compensation of the payment because he has been working for four months.
Remember that the payment date does not alter the result, so the extra period calculation takes into consideration the days worked up to June 30, regardless of the payment date. For example, if the payment date is June 15 and the time frame end date is June 30, the system calculates the days worked from May 15 to June 30.
The result for a monthly employee who joined the company in mid-May (using a month with 31 days) is:
((17+30) / 180) * 3571.43 = 0.261111 * 3571.43 = 932.54 EUR
The result for a daily employee is:
((17+30) / 181) * 3571.43 = 0.259669 * 3571.43 = 927.39 EUR
Now consider the example of an employee hired March 1 and terminated May 31.
If the employee is paid monthly, the result is:
((30 + 30 + 30) / 180) * 3571.43 = 0.5 * 3571.43 = 1785.72 EUR
If the employee is paid daily, the result is:
((31 + 30 + 31) / 181) * 3571.43 = 0.508287 * 3571.43 = 1815.31 EUR
This amount is paid through the earning element for the June extra period that is specified in the Termination Earnings field on the Extra Period Definition page.
Delivered Termination Earnings
This table lists the delivered termination earnings:
Earning |
Description |
---|---|
DEV PREAVISO |
Preadvised earning. This is the amount to add to the employee's last payment for preadvice days not fulfilled by the employer. Define preadvice days not fulfilled for an employee termination on the Termination Management ESP page. |
INDMNCN |
Termination indemnity. This is an existing element that stores the severance pay that is paid to a terminated employee. The calculation rule for this earning element has been modified from Amount to Unit * Rate, as defined on the Earnings - Calculation page. |
INDMNCN SENT |
Sentence indemnity. This is the amount of severance pay that the judge imposes during job litigation, as defined on the Manage Terminations ESP page. |
LIQ PXTR DIC |
December extra period termination. This is used for December extra period termination payment. The execution of this earning is conditioned to generation control FNQ GC LIQ DEV. |
LIQ PXTR JUN |
July extra period termination. This is used for July extra period termination payment. The execution of this earning is conditioned to generation control FNQ GC LIQ DEV. |
LIQ PXTR SEP |
September extra period termination. This is used for September extra period termination payment. The execution of this earning is conditioned to generation control FNQ GC LIQ DEV. |
SAL TRAMIT |
The amount calculated as job litigation salary. |
VAC NDSFRTDS |
Terminate vacation days paid at termination. This is used to store the amount corresponding to vacation days that are paid at termination. |
This table lists the delivered termination deductions:
Deduction |
Description |
---|---|
DD PREAVISO |
Preadvised deduction. This is the amount to subtract from the employee's last payment for preadvice days not fulfilled by the employee. Define preadvice days not fulfilled for an employee termination on the Termination Management ESP page. |
DD DESEMPLEO |
Unemployment benefits. This is the amount subtracted from an employee's job litigation salary for unemployment benefits accrued during the litigation period of an appealed termination. |
DTO PXTRA AUS |
Absence on extra period already paid. This deduction is generated in case an advance extra period is paid, and then an absence occurs after the extra period has already been paid. |
LIQ ADLNTO |
Advance termination. This is used for advance termination payment. Customer field 5 contains label 'LIQ ADLNTO' (See FNQ FM AYP VAL). |
LIQ PRSTMO |
Loan termination. This is used for loan repayments (Capital part) termination payment. Customer field 5 contains label 'LIQ PRSTMO' (See FNQ FM AYP VAL). |
LIQ V SS CC |
Vacation treatment for social security common contingency. This is used to calculate an employee's common contingencies contributions due to vacations not taken at the time of termination. |
LIQ V SS DS |
Vacation treatment for social security unemployment. This is used to calculate an employee's unemployment contributions due to vacations not taken at the time of termination |
LIQ V SS FP |
Vacation treatment for social security professional treatment. This is used to calculate an employee's professional training contributions due to vacations not taken at the time of termination. |
Note: The PeopleSoft system delivers a query that you can run to view the names of all delivered elements designed for Spain. Instructions for running the query are provided in the PeopleSoft Global Payroll product documentation.