Example to Calculate Rates Based on Grade Ladder With Multiple Assignments

In this example, you calculate grade rate values for monthly salary payments for an employee with multiple assignments.

Scenario

Priya Krishnan has these two assignments in the Teacher Salary grade ladder:

• In her primary assignment, she's a Mathematics teacher in grade 3.

• She holds a temporary assignment as the replacement teacher for the Science teacher who's on maternity leave. On this temporary assignment, she teaches Science in grade 1 in the same grade ladder.

Follow these steps to calculate grade rate values for Priya Krishnan's primary assignment.

1. Set up grades, grade ladder, and rates for the Teacher job to record the level of compensation for all teachers in your school.

   Perform these tasks:

   • Use the Manage Grades task to set up five separate grades, 1 to 5.

   • For each grade, enter the rates as shown in this table.

     Grade	Annual Salary Amount
     1	16600
     2	19840
     3	20016
     4	23231
     5	27650

   • Use the Progression Grade Ladders task to set up a grade ladder, Teachers Salary, with Grades type. Add all five grades to the ladder.

2. Create a rate definition of category Grade Rate.

   Option	Value
   Periodicity	Monthly
   Periodicity Formula	Standard Rate Annualized
   Currency	US Dollar

   Add a rate contributor of type Grade Ladder.

3. When hiring an employee, on the Employment Information page, add the grade ladder and grade details as shown in these tables.

   Primary Assignment

   Option	Value
   Grade Ladder	Teacher Salary
   Grade	3

   Temporary Assignment

   Option	Value
   Grade Ladder	Teacher Salary
   Grade	1

4. Run the Generate HCM Rates process to calculate rates for employee's Primary Assignment. On the Home page, click the Submit a Flow quick action under the My Client Groups tab. After selecting a legislative data group, search for and submit the Generate HCM Rates process.

Result

The application returns a monthly rate value of 1668 (20016/12).