Payroll Costing of Elements for the US

Costing is the financial accounting of your payroll costs. It breaks down the costs of a payroll into customer-defined units, such as a location, division, or project.

For further info, see Global Human Resources Cloud Implementing Payroll Costing Guide in the Help Center.

Costing configuration involves:

• Costing payroll payments

• Costing user-defined elements

• Costing the Predefined Tax Elements

Cost Payroll Payments

Costing of payments is a separate post-payments process. If you're not using Oracle Cloud General Ledger, you can disable the Transfer to Subledger Accounting task by copying the US Simplified Flow, creating your own flow, and removing the task.

Note:

For further info on payroll flows, see the Payroll Flow Patterns and Flows for the US in the Help Center.

For further info, see Oracle Cloud Global Human Resources Payroll Costing Guide (1918574.1) on My Oracle Support.

Cost Your User-Defined Elements

When you define elements through the Elements task, the process may create some associated indirect elements.

• Results elements

• Retroactive elements

You must create element eligibility records for these elements as well as their base elements.

You cost these elements using the Costing tab of the element eligibility record of the Elements task.

For further info, see the Element Eligibility for the US in the Help Center.

To set up costing for your user-defined elements:

1. Start the Elements task.

2. Create element eligibility records for the base element.

3. Search for each indirect element.

4. Select each element, and create eligibility records for it.

5. Select Costing, and set up costing for the element eligibility records.

Cost the Predefined Tax Elements

When you create a tax card for a person, it automatically creates a US Taxation element entry. You must define eligibility for this element as an open link. Do not cost this element.

The US Taxation element has these related elements.

Element Name	Input Value	Notes
County Mental Health Tax Not Taken	Tax Calculated
County Miscellaneous Employee Tax	Tax Calculated
County Miscellaneous Employee Tax Not Taken	Tax Calculated
Family Leave Insurance Employee Tax	FLI Tax Calculated
Family Leave Insurance Employee Tax Not Taken	FLI Tax Calculated	You must cost this element the opposite of the Family Leave Insurance Employee Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
Family Leave Insurance Employer	Tax Calculated
Federal Income Tax	Tax Calculated
Federal Income Tax Not Taken	Tax Calculated	You must cost this element the opposite of the Federal Income Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
Federal Unemployment Tax	Tax Calculated
Head Tax Not Taken	Tax Calculated	You must cost this element the opposite of the Work Head Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
Long Term Care Employee Tax	Tax Calculated
Long Term Care Employee Tax Not Taken	Tax Calculated
Medical Leave Insurance Employee	Tax Calculated
Medical Leave Insurance Employee Tax Not Taken	Tax Calculated	You must cost this element the opposite of the Medical Leave Insurance Employee Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
Medical Leave Insurance Employer	Tax Calculated
Medicare Employee Tax	Tax Calculated
Medicare Employee Tax Not Taken	Tax Calculated	You must cost this element the opposite of the Medicare Employee Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
Medicare Employer Tax	Tax Calculated
Residence City Tax	Tax Calculated
Residence City Income Tax Not Taken	Tax Calculated	You must cost this element the opposite of the Resident City Income Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
Residence County Tax	Tax Calculated
Residence County Income Tax Not Taken	Tax Calculated	You must cost this element the opposite of the Resident County Income Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
Residence County Mental Health Tax	Tax Calculated
Residence School District Tax	Tax Calculated
Residence School Tax Not Taken	Tax Calculated	You must cost this element the opposite of the Residence School District Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
Residence State Income Tax	Tax Calculated
Residence State Income Tax Not Taken	Tax Calculated	You must cost this element the opposite of the Residence State Income Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
Social Security Employee Tax	Tax Calculated
Social Security Employee Tax Not Taken	Tax Calculated	You must cost this element the opposite of the Social Security Employee Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
Social Security Employer Tax	Tax Calculated
State Disability Insurance Employee Tax	Tax Calculated
State Disability Insurance Employee Tax Not Taken	Tax Calculated	You must cost this element the opposite of the State Disability Insurance Employee Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
State Disability Insurance Employer Tax	Tax Calculated
State Transit Tax	Tax Calculated
State Transit Tax Not Taken	Tax Calculated	You must cost this element the opposite of the State Transit Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
State Unemployment Insurance Employee Tax	Tax Calculated
State Unemployment Insurance Employee Tax Not Taken	Tax Calculated	You must cost this element the opposite of the State Unemployment Insurance Employee Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
State Unemployment Insurance Employer Tax	Tax Calculated
Voluntary Plan Employee Disability Insurance Tax	Tax Calculated
Voluntary Plan Employee Disability Insurance Tax Not Taken	Tax Calculated	You must cost this element the opposite of the Voluntary Plan Employee Disability Insurance Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
Voluntary Plan Employer Disability Insurance Tax	Tax Calculated
Work City Tax	Tax Calculated
Work City Income Tax Not Taken	Tax Calculated	You must cost this element the opposite of the Work City Income Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
Work County Tax	Tax Calculated
Work County Income Tax Not Taken	Tax Calculated	You must cost this element the opposite of the Work County Income Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
Work County Mental Health Tax	Tax Calculated
Work County School District Tax	Tax Calculated
Work Head Tax	Tax Calculated
Work School Tax Not Taken	Tax Calculated	You must cost this element the opposite of the Work County School District Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.
Work State Income Tax	Tax Calculated
Work State Income Tax Not Taken	Tax Calculated	You must cost this element the opposite of the Work State Income Tax base element. For example, if you're crediting the base element to account 1234, then you must debit the Not Taken element from account 1234.

When you calculate payroll, the process:

1. Processes the element entry for the US Taxation element.

2. Creates run results for the related elements based on their element entries.

3. Feeds tax elements with indirect results.

These tax elements are fed with indirect results. If you want the costing to override the default for the tax elements, you must:

1. Manually define eligibility for each of them.

2. Cost the individual element eligibility records for the indirect results.

To do so:

1. Start the Elements task.

2. Create element eligibility records for the tax elements described above.

3. Cost the element eligibility records for the tax element on the Costing tab.

   Cost the Not Taken elements opposite of the others.

   For example, if you credit account 1234 for the Federal Income Tax element, then you must debit account 1234 for the Federal Income Tax Not Taken element.