A maximum limit can be set for trade union dues if necessary, beyond which the dues cannot rise. The maximum limit for trade union dues is defined in each employee's salary basis, allowing different unions' limits to be considered with the same salary type changes.

CONTENT

1. Establish a salary type for the trade union dues limit

Pay > Payroll > Salary model management > select the desired salary model row from the right side and click the Formulas button.

  1. In the opened view, click the link "Add a new salary type and attach to the salary model".
  2. Provide the basic data for the salary type as shown in the image:
  3. Save. When establishing the salary type, a new column "Trade union dues limit" will appear in the Salary basis. It is visible to all employees but is only used with the salary model to which the changes in this guide have been made.
  4. You can open the view or perform the function by selecting Pay > Personnel > Salary basis management.
  5. Add the maximum amount of trade union dues for each employee in the Salary basis. If the employee does not have a trade union dues limit, give a value in the box that cannot be exceeded, e.g. 999999. Leave the box empty if no trade union dues are collected at all (an empty box means zero for the formula).

2. Establish a new trade union dues limit (conditional statement) salary type

Give a conditional statement to the new trade union dues salary type for interpreting the trade union dues limit. Name the salary type as you wish. This salary type will appear on the employee's payslip.

You can open the view or perform the function by selecting Pay > Payroll > Salary model management > select the desired salary model row from the right side and click the Formulas button.

  1. In the opened view, click the link "Add a new salary type and attach to the salary model".
  2. Provide the basic data for the salary type as shown in the image. Select debit/credit postings according to your company's recording practices.
  3. Save.
  4. Provide the calculation formula for the salary type as shown in the image:
  5. Use the conditional statement to define the logic for the new trade union dues salary type: if the result obtained with the original trade union dues calculation formula is less than the defined trade union dues limit, use the sum calculated with the original formula for collecting trade union dues. If the original trade union dues calculation formula produces a larger result than the defined trade union dues limit, use the limit value for collecting the dues.
  6. You can open the view or perform the function by selecting Pay > Payroll > Salary model management > select the desired salary model row from the right side Formulas button > select the Edit button from the right side of the To be paid salary type row.
  7. Edit the formula of the salary type in the opened view. You can get a new row from the green plus at the end of the view.
  8. Add the last two rows "Calculation" and "minus sign" as well as "Salary type" and "Trade union dues limit (conditional statement)" to the formula as shown in the image. Save.

3. Changes to the original trade union dues salary type

Remove the original Trade union dues salary type from the formula of the Calculated salary type (To be paid salary type), because when using the conditional statement it is no longer used as a collecting salary type on the payslip, but only for calculating the amount of dues. Also remove its postings and hide it from the payslip.

You can open the view or perform the function by selecting Pay > Payroll > Salary model management > select the desired salary model row from the right side Formulas button > select the Edit button from the right side of the To be paid salary type row.

  1. Edit the formula of the salary type in the opened view.
  2. Remove the original Trade union dues salary type from the formula (in the image, the last salary type in the formula) using the red cross on the right side of the row. Also remove the Calculation row (minus sign) before the row.
  3. You can open the view or perform the function by selecting Pay > Payroll > Salary model management > Company-specific salary types tab > click the name of the original Trade union dues salary type.
  4. Remove the postings from the original Trade union dues salary type. Remove the postings in the opened view.
  5. Save. (Hiding the original Trade union dues salary type from the payslip is handled in section 4.)

4. Edit the payslip layout

Edit the payslip layout because changes have been made to the salary types related to the collection of trade union dues. In the opened view, you can hide salary types and change their position on the payslip.

You can open the view or perform the function by selecting Pay > Payroll > Salary model management > select the desired salary model row from the right side Formulas button > select the Format tab.

  1. Hide the Trade union dues limit salary type from the payslip by removing the check from the Visible box. Save the change.
  2. Move the Trade union dues (conditional statement) salary type below the Net wage or salary heading by going over the dot pattern at the beginning of the row. When the mouse cursor changes to a four-headed arrow, drag the row in the Format view. Save the change.
  3. Hide the original Trade union dues salary type from the payslip by removing the check from the Visible box. Save the change.

5. Edit the settlement point

Edit the information of the Settlement points for those unions to which employees with this salary model belong, because the salary type that makes the trade union dues deduction on the payslip has been changed. Leave unchanged those settlement points that only include employees with salary models that do not have the limit handling in use.

You can open the view or perform the function by selecting Pay > Payroll > Obligations > Settlements > Manage settlement points.

  1. Select the Edit button from the right side of the desired Trade union settlement point.
  2. Change the Calculation section "Reducing salary type on payslip" dropdown to the salary type "Trade union dues limit (conditional statement)". Save.

6. Using the trade union dues limit with other salary models

These changes only affect the salary model where the changes have been made. Other possibly used salary models work as before, without the trade union dues limit. Give the Trade union dues salary type salary model-specific posting rules if the change is not intended to be implemented with other salary models, because removing postings from the original Trade union dues salary type removes postings from all company trade union dues.

Perform the following steps if you want to implement the use of the trade union dues limit also with another salary model:

  1. Attach the Trade union dues limit (conditional statement) salary type to the formula of the To be paid salary type of the respective salary model (see detailed instructions above in section 2).
  2. Add a calculation formula to the Trade union dues limit (conditional statement) salary type (see detailed instructions above in section 2).
  3. Edit the original Trade union dues salary type according to the instructions in section 3 above.
  4. Edit the payslip layout according to the instructions in section 4 above.
  5. Edit the settings of the Settlement points according to the instructions in section 5 above.
  6. Add values for employees in the Salary basis column Trade union dues limit (see detailed instructions above in section 1).

Frequently asked questions

Question: What happens to the operation of other salary models if postings are removed from the original Trade union dues salary type?
Answer: Removing postings from the original Trade union dues salary type removes postings from all company trade union dues. If the change is not intended to be implemented with other salary models, it is advisable to give the Trade union dues salary type salary model-specific posting rules.

Question: What happens if the Trade union dues limit box in the Salary basis is left empty?
Answer: An empty box means zero for the formula, in which case no trade union dues are collected.

Question: How does the conditional statement interpret the trade union dues limit in practice?
Answer: If the result obtained with the original trade union dues calculation formula is less than the defined trade union dues limit, the sum calculated with the original formula is used for collecting trade union dues. If the original calculation formula produces a larger result than the defined limit, the limit value is used for collection.

Keywords: trade union dues, trade union dues limit, salary type, salary model, conditional statement, payroll, payslip, settlement point

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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