1. Implementing Payroll for Saudi Arabia
  2. Example of Allowances Setup for Saudi Arabia

Example of Allowances Setup for Saudi Arabia

Here is an example to create an overtime allowance by which an overtime percentage of 100% is paid for regular days and 150% is paid for rest days.

To create allowance setup:

  1. Create grade rates to store the percentages. Navigate to task Manage Grades in Workforce Structures work area.

  2. Add a grade rate for each one of the percentages.

  3. Associate these grade rates to range values. Navigate to the Calculation Value Definition task in the Payroll work area.

  4. Associate the appropriate Grade Rate to the Range Value.

  5. When an element entry is created for an Overtime Allowance element, the hours entered is multiplied by the hourly salary and the appropriate overtime percentages defined in the previous steps is applied.