Concept: Fringe Benefit Actuals (CAN, USA)
Fringe benefits are a form of benefit sometimes offered in addition to a worker's wages or salary such as tuition assistance, company vehicles, or company phones. Fringe benefit actuals are the values posted to the Fringe Benefit Journal after you complete a pay calculation. Workday bases fringe benefit actuals on the percentage you specify in your fringe commitment rules.
If you configure fringe benefits on your payroll commitment rules, then Workday automatically calculates fringe benefit actuals based on a worker's actual earnings each time you run a regular on-cycle or off-cycle pay calculation. Workday records the calculated value on the
Additional Pay Components
tab of a worker's payroll result. The Fringe Benefit Journal
that you can access from the Other Accounting
tab displays the journal lines and worktags associated with the fringe benefit actuals.You create a payroll commitment rule that places a 5% fringe benefit on workers' hourly pay if their earnings are between $1000 and $5000. Workday uses the formula:
Earning Amount × Fringe Percent
to determine fringe benefit actuals.
Pay Component | Amount | Fringe Percent | Fringe Benefit Value |
|---|---|---|---|
Base Pay - Hourly | $2,500 | 5% | $125 |