Summary

The Quantity of a transaction using this deduction calculation method uses:

The lesser of the Total Gross for the period or the standard earnings for the period

Calculation

PayGlobal uses the following steps to calculate the transaction total:

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

   Quantity = The lesser of:

   Taxable Gross calculated for the pay period being processed
   -or-
   Total profiled hours * Employee's default rate * number of weeks in the pay period

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

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