Calculation Value Definitions Examples
In these deduction examples, the calculation value depends on where the employee falls in an earnings range.
The From and To values of the range can be static or dynamic. Dynamic values are a fraction of the value of a database item, such as gross earnings. These examples also illustrate how to override the default calculation type for selected values in the range.
Static Values
The calculation value definition for a regional income tax uses a default calculation type of Flat Rate. However, for the lowest and highest incomes, a flat amount applies. For these two values, the Flat Amount calculation type overrides the default type, and uses a monetary value rather than a percentage. The Basis of Calculation Values field is blank, so the values are static.
The following table shows sample static values for this calculation value definition.
|
From Value |
To Value |
Calculation Type Override |
Rate or Amount |
|---|---|---|---|
|
0 |
199 |
Flat Amount |
0 |
|
200 |
999 |
_ |
4 (percent) |
|
1000 |
1999 |
_ |
6 (percent) |
|
2000 |
999,999,999 |
Flat Amount |
300 |
Dynamic Values
The calculation value definition for a tax exemption uses a default calculation type of Incremental Rate. The first and last values specify the Flat Amount calculation type, which overrides the default type. The Basis of Calculation Values field specifies the Gross Earnings YTD database item. This means the From and To values represent a percentage of year-to-date gross earnings.
The following table shows sample dynamic values for this calculation value definition.
|
From Value |
To Value |
Calculation Type Override |
Rate or Amount |
|---|---|---|---|
|
0 |
.1 |
Flat Amount |
300 |
|
.1 |
.2 |
_ |
10 (percent) |
|
.2 |
.9 |
_ |
30 (percent) |
|
.9 |
1 |
Flat Amount |
0 |
The first row defines a flat amount of 300 that applies to the first 10 percent of gross earnings. The second row defines a 10 percent rate that applies to the next 10 percent of gross earnings. The third row defines a 30 percent rate that applies to between 20 and 90 percent of gross earnings. The final row defines a flat amount of 0 between 90 and 100 percent.