Summary

This deduction calculation method calculates the Quantity using the sum of selected transaction totals for the current pay period.

The transaction totals selected are those allowance codes that are attached to the allowance group selection in the Deduction | Details (iii) tab.

When using a transaction of this method, it makes no difference what quantity is used initially because PayGlobal will recalculate it during a process. We recommend that the quantity is entered as a unit of '1'.

Calculation

PayGlobal uses the following steps to calculate the transaction total::

1. Derive the value of Rate as entered in the transaction. Generally rate code '0' and a rate unit used for this transaction.
2. Derive the Quantity using:

   Quantity = Sum of all Transaction Quantities for Allowances in the current pay matching allowances included in the Allowance Group specified in the Deductions | Details (iii) tab.

3. Calculate the Transaction total for this transaction using:

   Transaction total = Quantity * ( Rate  / 100 )

4. Obtain the value of Maximum amount as set in the Deduction | Details (i) tab.
5. The transaction total used is:

   The lesser of Transaction total and Maximum amount

6. Obtain the value of Min nett pay as entered in the Deductions | Details (i) tab.

Is the transaction total more than the nett pay?

Calculate the nett pay using:

Nett Pay = Min nett pay / 100

If the transaction total is more than the nett pay, the setting of the Full amount only field in the Details (ii) tab page of the deduction takes effect.

• Yes

  Transaction total is '0'. The full amount is only deducted if the transaction total can be paid.

• No

  The transaction total is recalculated using:

  Nett Pay = Nett pay * (Min nett pay / 100)

  This transaction total is rounded to the nearest dollar.

See also

Deduction Calculation Methods