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Administrator Guide
Last Updated: 2023-06-23
Example: Create Earnings for Varying Sickness Entitlements (FRA)

Example: Create Earnings for Varying Sickness Entitlements (FRA)

This example illustrates how to create earnings for time offs with varying rates.
Global Modern Services provides sick leave entitlements with different rates over the course of a worker's sick leave. Workers receive:
  • 100% of their salary for the first 10 days.
  • 50% of their salary for the next 10 days.
  • Unpaid time off for any additional days after 20 days.
You want to set up earnings to ensure that workers receive the correct payment for each portion of their time off.
  • Create 3 time off plans:
    • Plan Sickness 100%
       with time off balance limits between zero and 10.
    • Plan Sickness 50%
       with time off balance limits between zero and 10.
    • Plan Sickness 0%
       with no time off balance limit.
  • Create accruals for each time off plan.
  • Create 3 time offs based on 3 new time off types:
    • TO Sickness 100
    • TO Sickness 50
    • TO Sickness 0
  • Create an absence table that contains tiers for each of the time off plans and time offs.
  • Security:
    Set Up: Payroll (Calculations - Payroll Specific)
     domain in the Core Payroll functional area.
  1. Create an arithmetic calculation to calculate a percentage of a worker's daily rate.
  2. Access the
    Create Earning
     task.
    1. Enter these settings:
      Option
      Description
      Name
      Sickness - 100 Payment
      Code
      Sickness 100
      Effective Date
      Enter today's date.
    2. In the
      Calculation
       field, select
      FRA Days * Rate rounded to the Nearest 0.01
      .
    3. Add these rows in the
      Related Calculations
       section:
      Related Calculation
      Override Calculation
      FRA Days
      TO Sickness 100 - Time Off Paid
      Rate
      Base Salary Divided by 30 Multiplied by Percent
      Percent
      100
    4. On the
      Non-Effective Dated
       tab, select
      FRA Adds to Gross [FRA]
       from the
      Groups
       prompt to add the earning to gross pay.
  3. Access the
    Create Earning
     task.
    1. Enter these settings:
      Option
      Description
      Name
      Sickness - 50 Payment
      Code
      Sickness 50
      Effective Date
      Enter today's date.
    2. In the
      Calculation
       field, select
      FRA Days * Rate rounded to the Nearest 0.01
      .
    3. Add these rows in the
      Related Calculations
       section:
      Related Calculation
      Override Calculation
      FRA Days
      TO Sickness 50 - Time Off Paid
      Rate
      Base Salary Divided by 30 Multiplied by Percent
      Percent
      50
    4. On the
      Non-Effective Dated
       tab, select
      FRA Adds to Gross [FRA]
       from the
      Groups
       prompt to add the earning to gross pay.
Workday uses the absence table to determine which rate to pay the worker based on the number of absence days. Workday displays the absence dates for each earning on the worker's payslip.
Add any other appropriate pay component groups to the new time off earnings to configure impacted payroll calculations and DSN reporting. Examples: General Contribution Reductions, social security ceiling, DSN working time declaration.
Create a deduction for the time off based on an aggregate calculation of:
  • TO Sickness 100 - Time Off Total
  • TO Sickness 50 - Time Off Total
  • TO Sickness 0 - Time Off Total