Rate Conversion Rules
You can select specific formula rules when you create an element to manage rate conversions. Conversion rules apply to earnings classification elements, including standard, supplemental, absence, and time elements.
Use one of these approaches to specify these conversion rules.
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Periodicity, if you select a calculation rule for flat amount, hours multiplied by rate, or days multiplied by rate
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Work Units, if you select flat amount calculation rule for a standard or supplemental earnings element
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Proration, if the element is subject to proration
Unlike earning elements, Absence and Time Card elements don't have element input for conversion rules. To edit the conversion rules for such elements after they're created, do these steps:
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On the Calculation Value Definitions page, search for and select the time card element.
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Change the default value for the rate conversion rule from Standard Rate Annualized to Periodic Work Schedule Rate Annualized.
Conversion Rules
This table describes the predefined formula rules.
Conversion Rule |
Calculation |
Example |
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Standard Rate Annualized |
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Standard Rate Daily |
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Standard Working Hours Rate Annualized |
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Employee works 40 hours a week with a monthly salary of 1000 pounds: ((1000*12) / (40.00*52) = 5.77 an hour |
Assignment Working Hours Rate Annualized |
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Employee works 40 hours a week, with a 37.5 standard working hours a week, and a monthly salary of 1000 pounds: ((1000*12) / (37.50*52) = 6.15 an hour |
Periodic Work Schedule Rate Annualized |
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Employee assigned a payroll: Employee has a monthly salary of 1000 pounds, and is assigned a monthly payroll. The formula checks the work schedule details for the month. For a daily conversion: 1000 a month / 20 days in the month = 50 Employee not assigned a payroll:
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Work Schedule Calculations
For the Periodic Work Schedule Rate Annualized rule, the formula determines whether a work schedule exists for a person. The calculation begins at the assignment level and continues in the mentioned order until it finds a schedule.
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Assignment
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Position
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Job
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Department
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Location
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Legal Employer
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Enterprise
Consider these conditions to accurately calculate elements for a payroll period:
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Confirm that a work schedule assigned to a person exists at the start date of the payroll period in which you're paying the person.
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If a person has multiple assignments for a term, create the work schedule at terms or assignment level, but not at both levels. You could find calculation errors while setting up schedules at both levels.