1. Implementing Payroll for Kuwait
  2. Primary Balances

Primary Balances

When you create an element, the element template creates a balance with a primary feed from the element to accumulate its run results. This is the primary balance for that element.

There are rules that govern primary balances and the input values that feed the balances.

For example, let's assume that Vision Corp has the following defined elements and balances that these elements feed into:

  • A Bonus element that generates the Earnings Calculated input value for the Bonus balance. The primary feed for this balance is the Bonus element.

  • A Festival Bonus element that's the primary feed for the Festival Bonus balance.

  • Both the Bonus element and the Festival Bonus element also feed the Discretionary Earnings balance. These are non-primary feeds.

Normally, a primary balance is only fed by a single input value as it's exclusive to an element. But there are exceptions to this rule. In the above example, let's say a few years later, Vision Corp has a revised compensation policy and defines the additional Bonus_v2 element to include additional input values for sales incentives. The Bonus_v2 element should feed into the same Bonus balance.

The Bonus balance has these two feeds now:

  • From the Bonus element, which is the primary feed.

  • From the Bonus_v2 element to take care of sales incentives. This is a non-primary feed.

This table explains the rules for the primary balances and the input values that feed the generated balances, for this example.

Rule

In this example

A primary balance can have only one primary balance feed.

The primary balance Bonus can only have a primary feed from the Bonus element, and therefore can't have a primary feed from the Bonus_v2 element.

A primary balance can have a non-primary feed from a different input value, as long as that input value doesn't feed any other primary balance.

Since Bonus_v2 element is assigned as a non-primary feed to primary balance Bonus, it can't have its own primary balance.

An input value can feed only one primary balance.

Since Bonus and Bonus_v2 elements feed a primary balance, example Bonus balance, it can't feed any other primary balance, say Festival Bonus. However, they can feed a non-primary balance like Discretionary Earnings.