The behaviour of the pay factor field varies in Payroll Maintenance depending on what pay type is being used.
The following pay types have different behaviours:
- N (Normal Pay)
R (Deduction - Pre-Tax (Non-Superannuation))
The following pay types are not recommended for use with the payroll factor:
- T (Tax Adjustment)
- H (HECS-HELP)
- A (Non-Taxable Allowance)
- D (Other deductions)
- U (Superannuation - Salary Sacrifice)
- Z (Termination)
N (Normal Pay) Behaviour
The behaviour of the N pay type depends largely on the default pay amounts for the pay code you are working with.
Example 1
In this example an employee might work part-time (factor 0.5) as a librarian, and therefore is entitled to half the librarian's wage. In this case, the librarian's wage is $1000.00 so the person is paid $500.00.
| NLIB | 1000.00 | 0.5 | 50 |
If the default amount for a librarian is not defined then the factor has no effect. In fact, it should not be there, unless combined with rate and amount values.
Example 2
The next two examples indicate how the factor is affected depending on whether or not there are default values defined for pay codes.
| NLIB | 1000.00 | 0.5 | 500.00 |
| NOTHR | 800.00 | 0.5 | 400.00 |
Example 3
In this scenario there is no default amount for NOTHR. Synergetic then calculates the pay factor based on the first line of pay. Subsequent pay lines do the same thing.
| NLIB | 1000.00 | 0.5 | 500.00 | |
| NOTHR | 0.00 | 0.5 | 250.00* | NOTHR calculates 0.5 (50%) of 500.00 |
R (Salary Sacrifice) behaviour
The behaviour of the R pay type is very straightforward, it simply sums up the totals of the lines before it (that are not type R) and applies the pay factor calculation.
Example 1
| N | 1000.00 | ||
| R | 0.1 | -100.00* | Pay Type 'R' calculates 0.1 (10%) of the 'N' amount |
Example 2
This example shows two lines of Salary Sacrifice, indicating that they are both calculated from the N line and are not affected by the value of the other R line.
| N | 1000.00 | ||
| R | 0.1 | -100.00* | 0.1 (10%) of 1000.00 |
| R | 0.2 | -200.00** | 0.2 (20%) of 1000.00 |
Example 3
In this example, we demonstrate how the R includes all non-R lines above it on the calculation.
| N | 1000.00 | ||
| R | 0.1 | -100.00 | 0.1 (10%) of 1000.00 |
| R | 0.2 | -200.00 | 0.2 (20%) of 2000.00 |
| N | 500.00 | ||
| R | 0.1 | -150.00 | 0.1 (10%) of 1500.00 |
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