The section describes the settings used to create a Payment Basis and how the settings incorporate Company policies. The rules are applied when each Leave Request is created and are effected in Payroll when the Request is confirmed for payment.
Description - Enter a brief description of what the payment base is created for
Pay type - From the drop-down list, select the type of the base
Calculation basis - Determines whether any previous leave should be counted against a new request:
Standalone (this means any new instances of this leave will get this full entitlement irrespective of previous leave)
Last 12 months (this means any leave of the same type in the previous 12 months will reduce the entitlement accordingly)
By default, system will use Standalone basis if field is left blank
Deduction basis - Determines how to calculate the salary deduction for a part month. It also determines calculation basis for Occupational pay. Within a period of x Days at rate 1/2/3, the rate of pay and days for deductions may be calculated vs.:
Calendar days per period or per year
Business days per period or per year
By default, system will use Calendar days per period on parenting leave and Business days per period on Sick leave if field is left blank
Working days or Calendar days (if irregular, will use second option provided)
Working days or Mon-Fri (if irregular, will use second option provided)
Calendar days (ignores Job Role)
Mon-Fri (ignore Job Role)
Working days or Assumed days (if irregular, it will always using Assumed days as this applying a pro-rata factor to the Available days within the period).
By default, system will use Working days or Calendar days on sickness leave if the field is left blank
Statutory Basis (Parenting) - Determines whether to pay daily, or only for completed weeks for Parenting:
Daily
Weekly
Weekly Occupational
By default, system will use Daily on parenting Leave if the field is left blank
Calendar days
Working days
By default, the system will use Calendar days on sickness leave and parenting if the field is left blank
Actual: By select this option, employer pension contributions will be made on actual pensionable pay (the same as the employee contributions)
Average weekly earnings: With this option, the employer pension contribution during the absence will be made based on the number of weeks of absence * average weekly earnings instead of any Statutory and/or Occupational pay being paid
Full pay: With this option, the employer pension contribution during the absence will be made based on the amount of salary being deducted for the absence
By default, the system will use Actual on sickness leave and parenting if the field is left blank. More detailed information can be found on Employer Pension during Absence page.
The Government sets a statutory level of pay that must be paid to all employees who are absent for certain reasons. XCD reflects the current level, and will also differentiate between Statutory Sick Pay, and Statutory pay for the various parenting leaves
Statutory rate 1: Can be set either as higher or standard: for Statutory Maternity Pay and Statutory Adoption Pay, a higher rate is paid for the first 6 weeks.
Higher rate - this applies a rate of 90% of Average weekly earnings rounded up to the penny
Standard rate - the rate is copied from the payroll settings directly
Statutory rate 2: Should be set as standard: for Statutory Maternity Pay and Statutory Adoption Pay, a standard rate is paid for the remaining 33 weeks.
Occupational pay is an optional payment that you can make as an employer. During the payment base setup, you can enter the Occupational parameters in line with the company's policies, for instance, occupational pay is based on criteria such as length of service
The basis should give a rate which applies at any given point during the Leave Request. The fields that need to be populated are:
Occupational Rate 1: this defines how occupational payments should be made from the start of Statutory pay (or start of the Leave request for unpaid leave) for a given number of weeks/days or until statutory pay has ended
Weeks/Days at Occupational rate 1: this is the number of weeks/days for which Rate 1 should run.
Occupational Rate 2: this defines how occupational payments should be made after Rate 1 has run out for a given number of weeks/days or until statutory pay has ended
Weeks/Days at Occupational rate 2: this is the number of weeks/days for which Rate 2 should run
Occupational Rate 3: this defines how occupational payments should be made after Rate 2 has run out for a given number of weeks/days or until statutory pay has ended
Weeks/Days at occupational rate 3: this is the number of weeks/days for which Rate 3 should run