Adding Fringe Benefits and Adjustments to a Position History

Overview

Within an employee's position history, employers can add Fringe Benefits and Adjustments that would feature in each payroll generated for the employee.

Fringe Benefits and Adjustments will need to be created on Talexio before they can be added to an employee's position history.

Contents

1. Permissions
2. Adding Fringe Benefits and Adjustments
3. Calculation of Fringe Benefits and Adjustments
4. Effects of Start and End Dates

Permissions

The ability to add Fringe Benefits and Adjustments to an employee's position is given with the permission Manage Employment Position History. This permission can be granted on Individual, Unit or Global Level.

Adding Fringe Benefits and Adjustments

Adding Fringe Benefits and Adjustments to an employee position is a simple process. By adding these to the position history, these Fringe Benefits and Adjustments will be applied to the employee's payslips for that particular position

1. From the employee's profile, select the Employment tab.
2. From the Employment tab, click on the Edit icon for the relevant position.
3. In the position, select the Remuneration Package tab.
4. Scroll down to the Fringe Benefits or Adjustments section.
5. Click + Add Fringe Benefits or + Add Adjustments.
6. Complete the relevant fields for the Fringe Benefit(s) or Adjustment(s)
   1. Name - The dropdown provides the names of the Fringe Benefits or Adjustments already created on the system for you to choose from. If your benefit is not present, it will need to be created.
   2. Annual Amount - The amount added to the Annual Amount field should be the amount to be given to the employee over one whole year (12 months). Even if the Fringe Benefits or Adjustments are not going to be given for a whole year, the amount added should be the amount to be given to the employee if it was provided over one whole year (12 months).
   3. Taxable - This is the percentage value of the amount that is taxable. This would be determined based on the type of Fringe Benefits or Adjustments being added. 
   4. Start Date - This is the date when the Fringe Benefits or Adjustments should begin applying to the employee. If this is left blank, it will apply from the Start Date of the position automatically.
   5. End Date - This is the date when the Fringe Benefits or Adjustments should begin applying to the employee. If this is left blank, it will apply until the position is ended automatically, or until the end date is supplied and added to the Fringe Benefits or Adjustments.
7. Save the employee position

Calculation of Fringe Benefits and Adjustments

As stated in the step 6.2 in the previous section, Fringe Benefits and Adjustments are based on an annual amount. The annual amount will then be divided based on the employees payroll frequency to give an amount per payslip for the Fringe Benefits and Adjustments.

Calculation:

(Annual Amount / Payroll Frequency) = Amount per payslip

Example for Monthly Payrolls: (€1200 / 12) = €100 per payslip

Effects of Start and End Dates

If an adjustment is to be given for a specific time period, a Start and End Date needs to be added. If the Start date or End Dates coincide with the payroll period Start Date or End Date respectively, then the amount per payslip will be according to the calculation above.

When the Start Date or End Date is not the same as the payroll period, the Fringe Benefits or Adjustments amount per payslip will be calculated pro rata based on the Basic Hours for the period the Fringe Benefits or Adjustments were active.

Calculation:

((Annual Amount / Payroll Frequency) / Payslip Total Basic Hours) * Basic Hours for the period the Fringe Benefits or Adjustments were active = Amount per payslip

Example for 4 Weekly Payrolls: ((€1300 / 13) / 160hrs) * 152hrs = €95 per payslip