This help article covers how to add a new holiday calculation method and how to change the divisor of the holiday calculation method. In addition, it provides guidance for creating a new salary type to be used as divisor in situations where working time tracking is not in use. Finally, it goes through manual definition of the number of previous working days and related considerations.
CONTENT
Holiday calculation method
Select Pay > Settings > Holiday calculation settings > Holiday calculation methods > Add new holiday calculation method.
Instructions: Adding a new holiday calculation method
In the example below, copy the holiday calculation method “Average daily earnings from commission pay (KPA)”.
Set as the target salary type the salary type that is used as the basis for holiday pay, and select Continue.
In the next step, enable the option “Can be set for wage earners”.
Divisor of the holiday calculation method
Note that by default the divisor for the price of one annual holiday day in the holiday calculation method is “Working days done during the holiday credit year being processed”. This means that the working days are retrieved directly from working time tracking.
Define the divisor differently if working time tracking is not in use in the company. Define the divisor, for example, using a salary type that counts the weekdays in the pay period. If necessary, define the divisor with a fixed number.
Creating a salary type
Create a new salary type that acts as the divisor.
Select Pay > Payroll > Salary model management > Select at the salary type name > Formulas > Salary types formulas tab > Add new salary type and link it to the salary model.
Create the salary type with the following settings:
Salary type name: Working days in pay period
Group: Salaries and allowances
Payroll list group: Not considered
Source: User formula
Calculation: Included in calculation by default
Save
Start adding the formula for the salary type from the green plus sign.
Set the formula: Pay period calendar data > Weekdays in pay period > Save.
Hide the salary type from the payslip on the “Formatting” tab of the salary model.
Divisor of the holiday calculation method
Return to the formula of the holiday calculation method and change the divisor.
Select Pay > Settings > Holiday calculation settings > Holiday calculation methods > Select holiday calculation method.
Set the newly created salary type “Working days in pay period” as the divisor.
Define that the value of the salary type is read from the period of the holiday credit year that is being processed.
Also define the divisor in the formula for the holiday pay accrual divisor, which can be found at the end of the holiday calculation method formula under “Accrual”.
Define the divisor in another way if working time tracking is not in use. By default, the accrual formula may contain, for example, the salary type “Working days done in pay period”, which refers to working time tracking.
From the ready-made options, select Pay period calendar data > Weekdays in pay period.
Notes
Keep the salary type enabled in payroll so that a value is generated when you define the divisor as a salary type. Before activating the salary type, manually define the number of previous working days, for example via salary history information or on a payslip.
Select Pay > Settings > Payroll settings > Salary history information.
Make an adjustment in payroll on the “Payroll accountant view” tab of the payslip if the number of working days must be changed for a given month for an individual person.
Do not forcibly set the value of weekdays in the pay period as the calculation formula value for the salary type if you want to define the days entirely manually in payroll. Use a free style, as long as the end result is as desired and the formulas work!
Frequently asked questions
How should I proceed if working time tracking is not in use in the company?
Define the divisor differently, for example with a fixed number or by creating a new salary type that counts the weekdays in the pay period.Why must the new salary type be hidden from the payslip?
The salary type created as a divisor is background data that is hidden on the “Formatting” tab of the salary model so that it does not appear unnecessarily on the employee’s payslip.How do I define the number of previous working days before activating the new salary type?
Define the number of previous working days manually either via salary history information or directly on the payslip.Where can I find the formula for the holiday pay accrual divisor?
The formula for the holiday pay accrual divisor can be found at the end of the holiday calculation method formula under “Accrual”.
Keywords
Holiday calculation method, divisor of the holiday calculation method, salary type, working days in pay period, working time tracking, payroll, salary model management, salary history information, holiday pay accrual.
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.