Rate Precision in Payslips

Use the Payslip Rate Precision process configuration parameter to set a fixed, positive integer value as the precision value for rates displayed on the payslip. The default value is two decimal places. Set this parameter before you run the Periodic Payroll Archive process.

A fixed rate precision value ensures ease of implementation, user control, and consistency across different rates and element entries. Setting the rate precision value doesn't impact the calculation of payroll or the accuracy or precision of payments. You are only defining the number of decimal places for the rates shown on the payslip.

The precision value you set for the number of decimal places for the rates displayed on the payslip, is dependent on these two factors:

• Currency: Some currencies require a rate precision value higher than the default value of two.

• Multiplying factor for the rate: The precision value you set for the element rates displayed on the payslip is dependent on how high you expect the quantity to be. For example, if you expect the quantity, say hours to be high, set a precision value higher than the default value of two.

Here are some factors you must consider while setting the precision value.

• The precision value you set on the Archive process applies for the calculation results and appears by default on all reports that use the archived data. However, you can configure your report template to display a value that's lower than the value on the Archive process.

• Any precision value you set on the report template overrides the value you set on the Archive process. For rates needing a lower precision value, you must define it in the report template. You can't set a value that's higher than that on the Archive process.

For example, suppose you want your hourly employees to see four decimal places for rates and the salaried employees to see only two decimal places on their payslips. Set the Payslip Rate Precision process configuration parameter to four decimal places. Then, modify the report template to display the rates with two decimal places only for salaried employees.