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Maximum {Withdrawal} Limit

This instruction explains how to define the maximum limit of a foreclosure order in the salary model. The instruction guides you through creating two new salary types ("Foreclosure upper limit" and "Foreclosure at limit"), adding them to formulas and salary bases, formatting the salary model, and updating the settlement point settings.

Creating a fixed upper limit salary type

Create a new salary type "Foreclosure upper limit". Set a limit for the salary type, for example, 150 euros in the employee's salary basis, above which foreclosure cannot be withheld.

You can open the view or perform the function by selecting Payroll > Payroll > Salary model management > Company-specific salary types > Add new salary type

  1. Set group: Deductions

  2. Set payslip group: Not considered

  3. Set source: Employee salary basis

Creating a foreclosure at limit salary type

Create another salary type "Foreclosure at limit".

  1. Set group: Deductions

  2. Set payslip group: Not considered

  3. Set source: User's formula

  4. Add accounting debit and credit accounts for foreclosure to the salary type

  5. Set income type: According to income register guidelines

Add foreclosure at limit salary type to the formula of to be paid salary type

The new salary type "Foreclosure at limit" will replace the old "Foreclosure" salary type and will be added to the formula of the "To be paid" salary type. The to be paid salary type is specific to the salary model. Make the necessary changes to each salary model to ensure the foreclosure deduction works correctly and as desired. In the future, the salary type "Foreclosure at limit" will be used in payroll and on the payslip, and its value can be either a normal foreclosure or the foreclosure upper limit.

You can open the view or perform the function by selecting Payroll > Payroll > Salary model management > Desired salary model > Formulas

You can open the view or perform the function by selecting Salary type formulas tab > click the edit icon on the row of the to be paid salary type

Add "Foreclosure at limit" to the formula of the to be paid salary type as shown in the image below.

When the salary type Foreclosure at limit has been linked to the formula of the to be paid salary type in the desired salary model, define a formula for the salary type.

You can open the view or perform the function by selecting Payroll > Payroll > Salary model management > Desired salary model > Formulas > Salary type formulas tab > Foreclosure at limit > Edit

Set the conditional statement as follows:

Conditional statement: If foreclosure (salary type that calculates the euro value of foreclosure on the payslip) is less than the foreclosure upper limit (150 euros).

If the value is true, then the payslip will show foreclosure according to the foreclosure salary type, which calculates foreclosure according to the settlement point.

If the value is false, the payslip will show the foreclosure upper limit of 150 euros from the salary type.

Setting a fixed limit in employee salary basis

Set the foreclosure upper limit in the employee's salary basis.

You can open the view or perform the function by selecting Payroll > Personnel > Salary basis management

If another employee also has foreclosure, but no upper limit, set, for example, 999999 in the foreclosure upper limit column in their salary basis.

Formatting the salary model

Edit the formatting of the salary model to place the deducting salary types in the correct position and hide "Foreclosure upper limit" from view by removing the selection from "Visible".

You can open the view or perform the function by selecting Payroll > Payroll > Salary model management > desired salary model > Formatting tab

The formula built for foreclosure looks like this:

Removing foreclosure salary type from the formula of to be paid salary type

Also remove the accounting debit and credit accounts and income type allocation from the salary type "Foreclosure" in the salary type settings. Leave the allocations and income type allocation only for the "Foreclosure at limit" salary type, which will be used in the future in payroll to withhold foreclosure.

Settlement point settings

Edit the settlement points to set the company's share to be settled for collection to be based on "Foreclosure at limit", so that the value of the deducting salary type on the payslip is obtained for the settlement. Define the share to be settled in the settlement point settings in the field "Deducting salary type on payslip".

Payroll > Payroll > Settlements > Go to settlement point settings > desired foreclosure settlement point

Example

No foreclosure upper limit example:

(examples show all salary types created for foreclosure)

An upper limit is defined, foreclosure would have been €517.29, but the program only deducts €150.00:

On the payroll voucher, only "Foreclosure at limit" is allocated, which can be either foreclosure or foreclosure limit.

Frequently asked questions

  • What should I do if the employee has foreclosure, but no upper limit has been defined for it?
    In that case, set, for example, the value 999999 in the foreclosure upper limit column in the employee's salary basis.

  • Which salary type will be used in the future to handle foreclosure in payroll?
    In the future, only the salary type "Foreclosure at limit" will be used in payroll and on the payslip.

  • Where should the "Foreclosure at limit" salary type be added?
    It must be added to the formula of the "To be paid" salary type to replace the old "Foreclosure" salary type. Remember to add it to every salary model in use.

  • How should the settlement point settings be changed?
    Edit the settlement points so that the company's share to be settled for collection is based on "Foreclosure at limit", so that the correct value of the deducting salary type on the payslip is obtained for the settlement.

Keywords: foreclosure, distraint order, maximum foreclosure limit, salary model, salary type, conditional statement, payroll, settlement point, payment prohibition

*This article has been translated using an AI-based translation tool. The contents or wording of these instructions may differ from those in other instructions or in the software.
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