On the Earnings window, you select a rule that determines how Oracle Payroll calculates the amount of the earnings or payment. The system then generates the appropriate element input values. The available calculation rules are:
Flat Amount
Hours * Rate * Factor
Percentage of Earnings
Premium
Oracle Payroll generates earnings or non-payroll payments with this rule that include an Amount input value for entry of an amount. No calculations are necessary to determine the amount of this earnings or payment.
Input Value for Amount Rule Flat Amount
| Input Value Name | Purpose of Entry |
|---|---|
| Amount | Gives the formula the earnings or payment amount. |
Oracle Payroll generates earnings with this rule that include the Hours , Rate Code, Rate, and Multiple input values. Hours holds the number of hours worked at a particular rate or rate code. An entry in the Rate Code input value signals that the rates for this earnings come from the Wage Rates table. An entry of a rate to the input value Rate overrides entry of a rate code. With the multiple input value you enter a multiple for the calculation. For example, for a pay increase of 5% above the standard, you enter .05 in this input value.
Input Value for Amount Rule Hours * Rate * Factor
| Input Value Name | Purpose of Entry |
|---|---|
| Hours | Gives formula the hours worked at each rate. |
| Rate Code | Gives formula the codes by which to locate rates in the Wage Rates table. |
| Rate | Gives formula the rates to use. Entries here override Rate Code entries. If you leave this field empty, Oracle Payroll derives the rate based on:
|
| Multiple | Gives formula the multiplier to use for the calculation. |
Oracle Payroll generates elements for earnings with this rule with the input value Percentage, for entry of the percentage to use in the calculation.
Input Value for Amount Rule Percentage
| Input Value Name | Purpose of Entry |
|---|---|
| Percentage | Gives formula the percentage to use. |
For a salaried employee, the formula for this rule locates the employee's regular monthly earnings as an entry in the Monthly Salary input value (Periodic Salary in Canada) of the earnings Regular Salary.
For a waged employee, it calculates the regular earnings in a pay period by finding the employee's wage rate and multiplying it by the hours normally worked in a pay period. It locates the employee's usual hours worked by referencing the work schedule or, if there is none, the standard working hours for their assignment. It finds the wage rate by referencing, in this order:
The employee's salary basis
The rate code entered for the employee for the earnings Regular Wages
The rate entered for the employee for Regular Wages.
See: HR Organizations: Entering a Work Schedule and Business Groups and HR Organizations: Work Day Defaults
The Premium calculation rule calculates overtime premium and uses the blended rate for non-exempt employees. Oracle Payroll generates elements for overtime earnings with this rule with the input values of FLSA Allocated Earnings and FLSA Allocated Hours to use in the calculation.
Input Value for Amount Rule Premium
| Input Value Name | Purpose of Entry |
|---|---|
| FLSA Allocated Earnings | Gives formula the FLSA allocated earnings |
| FLSA Allocated Hours | Give the formula the FLSA allocated hours |
The formula uses the allocated balances to determine the blended rate. The Premium calculation rule determines if the calculation uses the standard rate or the blended rate. The formula applies a factor of .5 to calculate the pay value amount.