Chapter 7

7 : Payment/Deduction Profiles

                               "D" "Edit/Create payment/deduction profiles"

This is the section of payrollBash that provides the user the opportunity to customise the way that the nominal codes are structured together with the range of payment and deduction types/profiles that are avaiable at the Payroll Preperation stage .

The opening menu :



                     Soap plc     Pay & Deduction Database




                      Menu
 (N)ominal
 (O)time
 (P)ayment
 (D)eduction
 P(e)nsion
 (Q)uit
Please enter choice

7.1:Nominal Codes

The programme produces a nominal analysis report each period and the codes and narrative employed are determined by the following procedures.

Select "N" from the above menu.



Enter a number to edit, (c)reate ,(o)vertime, (p)ayment,(d)eduction or q to quit this sub-menu


1  2000            Basic Pay
2  2200            ER NI
3  2300            ER COMP
4  7000            Inland Revenue
5  7250            Pension
6  7500            Wages Control
7  9999            Wages Suspense
8  2100            Over Time
9  3250            Mileage
10 3355            Expenses
11 7010            Tax Credit
12 7020            Student Loan
13 7050            Stat Sick Pay
14 7060            SMP
15 7070            SPP
16 7080            SAP
17 7090            IOU Loans

The nominal code need not be exclusively numbers and may contain spaces.
You could change "Basic Pay" nominal code from "2000" to "Pay 01" and "Overtime" to "Pay 02" .
Narrative can also be changed at will although the intitial 6 codes, Basic Pay - Wages Control, will always be interpreted by the programme as essentially what they currently mean . Thus you may change the narrative of "Basic Pay" to for eg., "Assets" but payrollBash would continue to post the Basic Salary and Wage costs to this account . The same rationale applies to the other 5 codes. Therefore it would only make sense to change "Basic Pay" to something like " Fixed Labour Costs".

"Deletion" isn't an available option . You could always just edit a code to something like "0000" "Null" and not use it until you wished to "create" a new code and instead of using the create facility you could edit this one. [ Throughout payrollBash the "delete" option has been fastidiously avoided as its consequences can be unforseen and catastrophic.]

7.2:Overtime

The Overtime profiles act in concert with

"Hour Rate" set by "C" "Edit/Create payroll database"
"Overtime" input supplied within "1" "Prepare input:Overtime/Payments/Deductions".

There is currently a maximum of 5 Overtime profiles available.

Unlike "Payments" and "Deductions" there is no option to amend the "Retain" or "Tax/Ni" attributes as they are (d)ismiss and "tnp" respectively by default.

Enter a number to edit, (c)reate , (n)ominal, (p)ayment,(d)eduction or q to quit this sub-menu


#  Narrative          Factor Nominal Code    Code Narrative
1  O/T: 1T              1.00 2100            Over Time
2  O/T: 1.5T            1.50 2100            Over Time
3  O/T: 2T              2.00 2100            Over Time

The "Factor" must be in decimal and the Nominal Code must pre-exist or have been set-up through the creation of a Nominal Code per the previous section. The narrative can be edited as desired and the result will be mirrored in the payslips .

7.3:Payments

The first 5 payments types are the "Statutory Payments" which require to be "ring fenced" in order that the p11's and the year-end reports can be completed. Therefore there is no facility to edit their description as the programme relies upon their postion as Payment 1,2,3,4 and 5 .

There are a further 10 "Payment" profiles available for creation.


Enter a number to edit, (c)reate , (n)ominal,(o)vertime,(d)eduction or q to quit this sub-menu

#  Description     Tax/NI   Nominal Code     Nominal Narrative  Retain
1  SSP             tn       7050             Stat Sick Pay      k
2  SMP             tn       7060             SMP                k
3  SPP             tn       7070             SPP                k
4  SAP             tn       7080             SAP                k
5  Tax Credit      x        7010             Tax Credit         d
6  Mileage         x        3250             Mileage            d
7  Misc Expenses   x        7010             Tax Credit         d

Tax/NI

This is where you stipulate if the payment/deduction is subject to :

tax
ni
pension
x non of the above

Thus , if you were to create a payment/deduction type such as "Commission" and the terms of the pension trust deemed this to be pensionable then you would enter "tnp" for this field .["pnt,tnp,npt...." is equally valid.]

Retain

This is where you decide how the payment/deduction is to be treated by "Period-end" when it selectively extracts the payments & deduction input supplied within "1" "Prepare input:Overtime/Payments/Deductions" to contruct the next months initial payroll input file.

dismiss . Overtime is dismissed by default.
keep. I have set up all Statutory Payments as keep but you are free to alter this to dismiss.
reducing balance. An example of this type would be a Loan deduction.As a payment it may be a Probationary period award. The balance is automatically updated every period end and it is printed on the payslip . Once the balance becomes zero the payment/deduction is dismissed.
accumulating balance.Savings would fit this category.The balance is automatically updated every period end and it is printed on the payslip

7.4:Deductions

The first deduction type is a "Statutory Deduction" which requires to be "ring fenced" in order that the p11's and the year-end reports can be completed. Therefore there is no facility to edit its description as the programme relies upon its postion as Deduction 1.

There are a further 8 "Deduction" profiles available for creation.


Enter a number to edit, (c)reate , (n)ominal,(o)vertime,(p)ayment or q to quit this sub-menu

#  Description     Tax/NI   Nominal Code     Nominal Narrative  Retain
1  Student Loan    x        7020             StudentLoan        d
2  I O U           x        7090             IOU Loans          k
3  Loans           x        7090             IOU Loans          r

7.5:Pensions

There is only one "Pension" profile which requires to be "ring fenced" in order that the pension as detailed within "Payroll Preperation" is calculated correctly. There is no provision to create more pension profiles and the "Retain" attribute is "k" by default and cannot be changed. The tax/ni attribute is determined by the type of pension set within "Payroll Preperation".


Enter a number to edit, (n)ominal,(o)vertime,(p)ayment or q to quit this sub-menu

#  Description     Nominal Code
1  Pension         7250             Pension

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