Edit Pay Element - A summary of the activity

Through the “Edit Pay Element” activity, you can modify or delete an existing pay element.

What You Can Modify: You can change the details of the pay element extensively, as follows:

• The description and alias of the pay element

• The classification of the pay element record

• The attributes of the pay element.

•  Attributes modifiable at Pay set mapping.

• Attributes of accumulators

You can also choose to apply these modifications to the corresponding records in the other available languages. In addition, you can modify the mapping of the pay element record with the organizational units within the organization unit group. This means that you can make the payroll available to

• All organizational units.

• Those organizational units to which the user logged in.

• Selective organizational units only. If you choose this option, you are to enter the “Org. Unit(s) Mapping” page from where you can choose the required ones to map or unmap.

Note: After the pay element is mapped to an account number in the Finance Book /General Ledger, it cannot be modified.

Marking the Pay Element for Deletion: Apart from modifying the record, you can also mark the pay element record for deletion. This means that you specify that the record to be deleted. The record will be unavailable for further usage unless this action is revoked.

Pay elements are the various atomic components of a pay structure, combinations of which form the pay structures. Typical pay elements include Basic Salary, Dearness Allowance, House Rent Allowance and Statutory Deductions. The purpose of different pay elements is to compute pay in a measurable way, for various cadres in the company. This information is later taken into account by the system, to calculate the employees’ consolidated salary.

Classifying pay elements: Pay elements can be classified into ten types. They are as follows: Earnings, Reimbursement Elements, Loan Deductions, Fund Deductions, Tax Deductions, Statutory Deductions, Benefit Deductions Arrears Earnings, Arrears Deductions and Other Deductions.

Assigning attributes for a pay element: After a pay element is classified into one of these types, it must be assigned with different attributes. These attributes are described below.                   

• Recurring and non-recurring element: A pay element is said to be recurring if it occurs at a stated interval in a pay structure. Example, House Rent Allowance. If a pay element does not recur, it is called a non-recurring element.

• Taxable and non-taxable element: if a pay element is subject to tax, it is called a taxable element. Example, Basic. Otherwise, it is a non-taxable element.

• Separate Round Off: To round off a number is to increase or reduce it to the nearest whole or simple number. “Separate Round Off” of a pay element indicates that the difference of the value to its nearest whole number will be posted under a separate account number in General Ledger.   

• Cash Flow Posting: Cash flow is the money coming into and going out of a business. Money coming into the business is called Inflow, example, Arrears Deductions. Money going out is called Outflow, example, Basic. A pay element’s cash flow posting can be of three types: “In, “Out“ or “N“.

When the pay element’s cash flow posting type is “None”, there is neither inflow nor outflow of cash. Example, PF, which although classified as a deduction, is neither an inflow nor an outflow for the business.

Specifying whether an attribute can be modified during pay element-payset mapping: Apart from assigning the pay element with these attributes, you must also specify whether these attributes can be modified while performing the “Pay Set – Element Mapping” activity. This is because there are some attributes in a pay element that differ from one location to another. For example, a certain pay element might be taxable in one country and exempted from tax in another country.  In such instances, the attribute of the pay element must be changed at the time of mapping it to a payset.

Mappings pay element to organization units: Each pay element is mapped to one or more organization units, which means that the pay element will henceforth be available to these organizational units.

Translation of Record in Chosen Language: You can also translate the details into any of the available languages. All languages using English characters are permitted. These languages must have been specified during the installation of the application.

Mapping of Accumulators: Apart from these modifications you can also modify the mapping of accumulators to the pay element.

 Getting familiar with the pages inside

Prerequisites

A pay element must have been created in “Create Pay Element Activity”.

What you can do in this activity

Modify a pay element

Map accumulators

Modify a pay element

You can select a pay element and modify its attributes.

• Select a pay element in the “Select Pay element for Modification” page.

•  Modify the attributes in the “Edit Pay element” page and.

•  Select the “Save” pushbutton to save the details.

Map accumulators

You can select a pay element map it to various accumulators. You can also modify the existing mapping.

• Select the pay element in the “Create Pay Element” page to which you want to map accumulators.

•  Select the “Map Accumulators” page.

•  Modify the accumulators mapping to the pay element.