Calculating Annual Wage Supplement

The AWS (Annual Wage Supplement) is also known as 13th Month Payment, and represents a single annual payment to an employee that is supplementary to the total amount of annual wage they earned. This earning element uses a Base × Percent calculation rule. The Base is derived from formula ERN FM AWS BASE.

The percentage is a numeric value assigned based on your specific requirements (for example 100, 50) depending on the portion of AWS you are paying. This is set up as 100, but you can override it at the payee level. Generation control ERN GC AWS is used to resolve the earning based on cut off date (using formula ERN FM AWS CUT OFF). The cut off date is entered at the earning or pay group override level. There is no proration.

Formula ERN FM AWS BASE retrieves the start date using formula ERN FM AWS START and the monthly rate, using array ERN AR AWS RATE (comprate as of the AWS rate date).

The base is calculated as:

ERN PR AWS DAYS (AWS days in the year) × ERN VR AWS MTH RT (AWS monthly rate)

AWS contributes to the following accumulators:

  • SGP GROSS.

  • CPF ADD WAGES SEG.

  • AWS_CMTDA.

  • AWS_CYTDA.