Wiki: IPCU

DEFINE PAY COMPONENT USAGES#

Please note, the pay component usages are already supplied thus users may not alter the usages defined.

Pay component usages are the High Line defined reasons for which a pay component may be created. Certain pay component usages are mandatory for the successful operation of the payroll calculation process (e.g. gross and net).

Other usages are mandatory based on the country in which an organization operates (e.g. U.S. legislated taxation usages, Canada legislated taxation usages), dictated by the state/province where the organization has located its business premises (e.g. state/provincial taxation), or are required to support taxation calculations (e.g. earnings subject to a tax deduction).

Many usages are optional, but are standard in the majority of organizations (e.g. earnings, deductions and benefits), or are usages that facilitate auditing, balancing and reconciliation activities. The following set up must be done for pay components for the following usages:

Usage 4 - Employee Advance - The pay component must be placed in the GROSS element.
Usage 5 - Advance Recovered - The pay component must be in the TOTAL DEDUCTION element.

In addition, special attention must be paid when the pay component is defined. The ‘Create Arrears’ and ‘Collect Back’ toggles located in the Acct/Arrears tab of the IPPC function, MUST be ON for both of these two components. Failure to follow these conditions will result in UPCALC exception messages.

Pay component usages are created and maintained through the Define Pay Component Usages (IPCU) form by High Line only. Users may not alter the usage set ups established in this table.

You may access this feature under the Screen/Form menu: Payroll > Setup and Definitions > Define Pay Component Usages

‘Define Pay Component Usages’ Usage and Examples

Define Pay Component Usages data is stored in the P2K_PR_PC_USAGES tables.

Usage: This field displays the High Line assigned pay component usage code which uniquely identifies the usage within the system. PC_Usage_Code is a mandatory 4-digit numeric field.

Type: This field classifies the major usage category to which a PC usage belongs, for example, time, earnings, benefits, legislative, statistical, or user defined. PC_Usage_Type is a mandatory fixed lexicon (X_PC_USAGE_TYPE).

Description: This field describes the purpose of the pay component usage. Description is a 50-character alphanumeric field.

PC G/L Type: This field indicates the type of general ledger account associated with the pay component for this usage. E.G. A general account or a specific tax liability account for the employee’s work or residence tax jurisdiction. PC_GL_Type is an optional fixed lexicon (X_PC_GL_TYPE).

Legislation: This field indicates that the usage is used for the specified legislation only. This information is mostly used for legislated taxation pay components. Legislation is an optional field you may fill from the fixed lexicon (X_LEGISLATION).

Unique: If the Unique Item toggle is checked, one and only one pay component may be defined with this usage (e.g. gross, net). If the toggle is not checked, more than one pay component may share this usage. Unique_Item is an optional toggle field.

Mandatory: If the Mandatory toggle is checked, there must be a pay component with this usage. If the toggle is not checked, the usage is completely optional. Mandatory is an optional toggle field.

Associated Pay Components#

PC: A PC Code is a unique number code from 1 to 9,999 assigned to uniquely identify the pay component within the system.

Abbreviation: This field holds a short description of the pay component used for printing on check and

deposit statements, lists and pay registers.

PC Description: This field provides a short description of the pay component.

Element: This field displays the pay element associated to the pay component with this usage.

Element Description: This field provides a short description of the element.

Basic: If the ‘Basic’ toggle is checked, the element is made up by a list of pay components only, and is considered a basic element. If the toggle is not checked, the element may be made up by a list of pay components and also refers to another element (also known as an element mapping). This type of element is known as a compound element. By mapping one element to another it is possible to greatly reduce the amount of pay component keying that is required to set-up all of the required elements.