The survey of the classifications identifies:
The processing priority range, default priority, and cost type for each classification
A list of the predefined secondary classifications within each primary classification
Primary element classifications are supplied as startup data, and you cannot delete or update them as they are designed to meet legislative requirements.
| Classification | Meaning |
|---|---|
| Balance Initialization | Balance Initialization elements are used specifically for the loading of initial values into balances. You mainly use these elements when transferring data from another payroll system. |
| Information | Information elements can be used to represent information items that are not used in payroll processing. They can also be set up to hold information for use in other elements, and to trigger the processing of other elements, for example, loan details. |
| Earnings | Earnings elements represent most payments made to an employee. These payments are usually subject to deductions of tax and Social Insurance, and are normally processed in the regular payroll run each period. |
| Retro Earnings | Earnings elements represent most payments made to an employee. These payments are usually subject to deductions of tax and Social Insurance, and are normally processed in the regular payroll run each period. Retro Earnings are as above, but are retrospective. They handle changes in the current year. |
| Imputed Earnings | Imputed Earnings elements are non-cash remuneration elements, such as personal use of a company provided car, or company paid premiums for group term life insurance. |
| Retro Imputed Earnings | Imputed Earnings elements are non-cash remuneration elements, such as personal use of a company provided car, or company paid premiums for group term life insurance. Retro Imputed Earnings are as above, but are retrospective. They handle changes in the current year. |
| Pre-Tax Deductions | Pre-Tax Deductions elements are voluntary deductions made before taxation. |
| Pre-SI Deductions | Pre-SI Deductions elements are voluntary deductions carried out before SI contributions are calculated. |
| SI Information | SI Information elements are initialization elements used for the loading of initial social insurance values into balances. |
| Employee SI | Employee SI elements are used to calculate the social insurance to deduct from an employee's gross wage. |
| Retro Employee Deductions (Employee SI) | Employee SI elements are used to calculate the social insurance to deduct from an employee's gross wage. Retro Employee Deductions (Employee SI) are as above, but are retrospective. They handle changes in the current year. |
| Net Employee SI | Employee SI elements are used to calculate the social insurance to deduct from an employee's net wage. |
| Retro Employee Deductions (Net Employee SI) | Employee SI elements are used to calculate the social insurance to deduct from an employee's net wage. Retro Employee Deductions (Net Employee SI) are as above, but are retrospective. They handle changes in the current year. |
| Employer SI Charges | Employer SI Charges elements represent payments made to the SI providers by the employer for the employee. |
| Retro Employer Charges | Employer SI Charges elements represent payments made to the SI providers by the employer for the employee. Retro Employer Charges are as above, but are retrospective. They handle changes in the current year. |
| Tax Information | Tax Information elements are initialization elements used for the loading of initial taxation values into balances. |
| Employee Tax | Employee tax elements represent the employee tax deductions. |
| Retro Employee Deductions (Employee Tax) | Employee tax elements represent the employee tax deductions. Retro Employee Deductions (Employee Tax) are as above, but are retrospective. They handle changes in the current year. |
| Employer Tax | Employer tax elements represent the employer tax deductions. |
| Voluntary Deductions | Voluntary Deductions elements are for deductions that the employee authorizes the employer to make on his/her behalf. |
| Involuntary Deductions | Involuntary Deductions elements for compulsory deductions, such as court orders. |
| Employer Pension Contribution | Elements in the Employer Pension Contribution classification hold the amount of the employer contributions to an employee's pension scheme. |
| Reductions | For employees who pay premium for extra pension, Reductions elements enable the reduction of taxable and SI income balances before Oracle HRMS calculates deductions. This results in employees paying less tax and SI contributions without treating the Reduction elements as deductions from the gross incomes. |
| Retro Reductions | As for Reductions, but for retrospective reductions in the current year. |
The following table shows the default processing priority and costing details for the primary classifications supplied.
| Primary Classification | Priority Range | Default Priority | Cost Type |
|---|---|---|---|
| Balance Initialization | 0 - 0 | 0 | Credit |
| Information | 1 - 1000 | 500 | Debit |
| Earnings | 2001 - 3000 | 2500 | Debit |
| Imputed Earnings | 4001 - 5000 | 4500 | Debit |
| Retro Earnings | 5501 - 5600 | 5550 | Debit |
| Retro Imputed Earnings | 5601 - 5700 | 5650 | Debit |
| Retro Employee Deductions | 5701 - 5800 | 5750 | Credit |
| Retro Pre-Tax Deductions | 5701 - 5800 | 5750 | Credit |
| Retro Pre-SI and Pre-Tax Deductions | 5701 - 5800 | 5750 | Credit |
| Retro Employer Charges | 5801 - 5900 | 5850 | Credit |
| Pre-tax Deductions | 6001 - 7000 | 6500 | Credit |
| Pre-SI Deductions | 6001 - 7000 | 6500 | Credit |
| SI Information | 8001 - 9000 | 8500 | Credit |
| Employee SI | 10001 - 11000 | 10500 | Credit |
| Employer SI Charges | 12001 - 13000 | 12500 | Credit |
| Tax Information | 14001 - 15000 | 14500 | Credit |
| Employee Tax | 16001 - 17000 | 16500 | Credit |
| Employer Tax | 18001 - 19000 | 18500 | Credit |
| Net Employee SI | 20001 - 21000 | 20500 | Credit |
| Involuntary Deductions | 22001 - 23000 | 21500 | Credit |
| Voluntary Deductions | 24001 - 25000 | 24500 | Credit |
| Employer Pension Contribution | 26001 - 27000 | 26500 | Credit |
| Reductions | 7501 - 7600 | 7550 | Credit |
| Retro Reductions | 5901 - 6000 | 5950 | Credit |
This table shows the predefined secondary classifications supplied. You cannot update or delete these predefined classifications.
An element is automatically given any default secondary classifications defined for its primary classification.
| Primary Classification | Secondary Classifications | Default |
|---|---|---|
| Earnings | Travel Allowance : Earnings | No |
| Earnings | Sea Days Discount : Earnings | No |
| Earnings | ABW Allowance : Earnings | No |
| Earnings | ABW Allowance for tax stoppage : Earnings | No |
| Earnings | WAO Allowance : Earnings | No |
| Earnings | Total ZVW Contribution : Earnings | No |
| Earnings | Subject to Standard Tax : Earnings | No |
| Earnings | Subject to Special Tax : Earnings | No |
| Earnings | Non Taxable : Earnings | No |
| Earnings | SI Gross Salary Subject to Standard Tax : Earnings | No |
| Earnings | SI Gross Salary Subject to Special Tax : Earnings | No |
| Earnings | SI Gross Salary Non-taxable : Earnings | No |
| Earnings | SI Income Subject to Standard Tax : Earnings | No |
| Earnings | SI Income Subject to Special Tax : Earnings | No |
| Earnings | SI Income Non-taxable : Earnings | No |
| Earnings | Wage in Money Tax SI: Earnings | No |
| Earnings | Tips and Fund Payments Tax SI: Earnings | No |
| Earnings | Wage in Money Tax Only: Earnings | No |
| Earnings | Holiday Allowance Payment: Earnings | No |
| Imputed Earnings | Holiday Allowance Payment: Imputed Earnings | No |
| Imputed Earnings | Wage in Kind Tax SI: Imputed Earnings | No |
| Imputed Earnings | Tips and Fund Payments Tax SI | No |
| Imputed Earnings | Wage in Kind Tax Only: Imputed Earnings | No |
| Imputed Earnings | Subject to Standard Tax Only : Imputed Earnings | No |
| Imputed Earnings | Subject to Special Tax Only : Imputed Earnings | No |
| Pre-tax Deductions | Standard Tax Deduction: Pre-Tax Deductions | No |
| Pre-tax Deductions | Special Tax Deduction: Pre-Tax Deductions | No |
| Pre-SI and Pre-Tax Deductions | SI Income Standard Deduction: Pre-SI and Pre-Tax Deductions | No |
| Pre-SI and Pre-Tax Deductions | SI Income Special Deduction: Pre-SI and Pre-Tax Deductions | No |
| Pre-SI and Pre-Tax Deductions | SI Income Non Tax Deduction: Pre-SI and Pre-Tax Deductions | No |
| Pre-SI and Pre-Tax Deductions | SI Gross Standard Deduction: Pre-SI and Pre-Tax Deductions | No |
| Pre-SI and Pre-Tax Deductions | SI Gross Special Deduction: Pre-SI and Pre-Tax Deductions | No |
| Pre-SI and Pre-Tax Deductions | SI Gross Non Tax Deduction: Pre-SI and Pre-Tax Deductions | No |
| Pre-SI and Pre-Tax Deductions | Deduction Standard Tax SI : Pre-SI and Pre-Tax Deductions | No |
| Pre-SI and Pre-Tax Deductions | Deduction Special Tax SI : Pre-SI and Pre-Tax Deductions | No |
| Pre-SI and Pre-Tax Deductions | Deduction Special Tax SI : Pre-SI and Pre-Tax Deductions | No |
| Pre-SI and Pre-Tax Deductions | Deduction Standard Tax SI : Pre-SI and Pre-Tax Deductions | No |
| SI Information | (None) | N/A |
| Employee SI | Subject to Standard Tax : Employee SI | No |
| Employee SI | Subject to Special Tax : Employee SI | No |
| Employee SI | Non-taxable : Employee SI | No |
| Employer SI Charges | Subject to Standard Tax : Employer SI Charges | No |
| Employer SI Charges | Subject to Special Tax : Employer SI Charges | No |
| Employer SI Charges | Non-taxable : Employer SI Charges | No |
| Retro Earnings | Subject to Standard Tax : Retro Earnings | No |
| Retro Earnings | Subject to Special Tax : Retro Earnings | No |
| Retro Earnings | Non-taxable : Retro Earnings | No |
| Retro Earnings | SI Gross Salary Subject to Standard Tax : Retro Earnings | No |
| Retro Earnings | SI Gross Salary Subject to Special Tax : Retro Earnings | No |
| Retro Earnings | SI Gross Salary Non-taxable : Retro Earnings | No |
| Retro Earnings | SI Income Subject to Standard Tax : Retro Earnings | No |
| Retro Earnings | SI Income Subject to Special Tax : Retro Earnings | No |
| Retro Earnings | SI Income Non-taxable : Retro Earnings | No |
| Retro Earnings | Wage In Money Tax SI : Retro Earnings | No |
| Retro Earnings | Tips and Fund Payments Tax SI : Retro Earnings | No |
| Retro Earnings | Wage In Money Tax Only : Retro Earnings | No |
| Retro Earnings | Holiday Allowance Payment: Retro Earnings | No |
| Retro Imputed Earnings | Holiday Allowance Payment: Retro Imputed Earnings | No |
| Retro Imputed Earnings | Subject to Standard Tax : Retro Imputed Earnings | No |
| Retro Imputed Earnings | Subject to Special Tax : Retro Imputed Earnings | No |
| Retro Imputed Earnings | Non-taxable : Retro Imputed Earnings | No |
| Retro Imputed Earnings | SI Gross Salary Subject to Standard Tax : Retro Imputed Earnings | No |
| Retro Imputed Earnings | SI Gross Salary Subject to Special Tax : Retro Imputed Earnings | No |
| Retro Imputed Earnings | SI Gross Salary Non-taxable : Retro Imputed Earnings | No |
| Retro Imputed Earnings | SI Income Subject to Standard Tax : Retro Imputed Earnings | No |
| Retro Imputed Earnings | SI Income Subject to Special Tax : Retro Imputed Earnings | No |
| Retro Imputed Earnings | SI Income Non-taxable : Retro Imputed Earnings | No |
| Retro Imputed Earnings | Wage In Kind Tax SI : Retro Imputed Earnings | No |
| Retro Imputed Earnings | Tips and Fund Payments Tax SI : Retro Imputed Earnings | No |
| Retro Imputed Earnings | Wage In Kind Tax Only : Retro Imputed Earnings | No |
| Tax Information | (None) | N/A |
| Employee Tax | (None) | N/A |
| Employer Tax | (None) | N/A |
| Net Employee SI | (None) | N/A |
| Involuntary Deductions | (None) | N/A |
| Voluntary Deductions | (None) | N/A |
| Employer Pension Contribution | (None) | N/A |
| Information | (None) | N/A |
| Balance Initialization | (None) | N/A |
| Reductions | Standard Tax Reduction: Reductions | N/A |
| Reductions | Special Tax Reduction: Reductions | N/A |
| Reductions | SI Gross Salary Standard Tax Reduction: Reductions | N/A |
| Reductions | SI Gross Salary Special Tax Reduction: Reductions | N/A |
| Reductions | SI Gross Salary Non-taxable Reduction: Reductions | N/A |
| Reductions | SI Income Standard Tax Reduction: Reductions | N/A |
| Reductions | SI Income Special Tax Reduction: Reductions | N/A |
| Reductions | SI Income Non-taxable Reduction: Reductions | N/A |
| Retro Reductions | Standard Tax Reduction: Retro Reductions | N/A |
| Retro Reductions | Special Tax Reduction: Retro Reductions | N/A |
| Retro Reductions | SI Gross Salary Standard Tax Reduction: Retro Reductions | N/A |
| Retro Reductions | SI Gross Salary Special Tax Reduction: Retro Reductions | N/A |
| Retro Reductions | SI Gross Salary Non-taxable Reduction: Retro Reductions | N/A |
| Retro Reductions | SI Income Standard Tax Reduction: Retro Reductions | N/A |
| Retro Reductions | SI Income Special Tax Reduction: Retro Reductions | N/A |
| Retro Reductions | SI Income Non-taxable Reduction: Retro Reductions | N/A |
| Retro Pre SI Pre Tax Deductions | Deduction Special Tax SI : Retro Pre SI Pre Tax Deductions | No |
| Retro Pre SI Pre Tax Deductions | Deduction Standard Tax SI : Retro Pre SI Pre Tax Deductions | No |
Pre-Tax Deductions, Pre-SI and Pre-Tax Deductions Primary Classifications
These elements enable you to create your own Pre-Tax or Pre-SI Deductions. If you create them, be aware of the following behaviours:
If a deduction is Pre-SI, by default it is also Pre-Tax, and uses the classification Pre-SI and Pre-Tax Deductions.
If the deduction is Pre-Tax only, it uses the Pre-Tax Deductions only.
Using Pre-Tax Deductions, you must clarify the deduction's related tax category to reduce the appropriate taxable income:
Standard Tax Deduction
Special Tax Deduction
Using Pre-SI and Pre-Tax Deductions, you must clarify the deduction's related tax category to reduce the SI Income:
SI Income Standard Deduction
SI Income Special Deduction
SI Income Non Tax Deduction
If a deduction is Pre-SI, it reduces the SI Income, and you must specify an SI Income secondary classification. It is optional, however, whether SI Gross is reduced, so it is not mandatory for the SI Gross secondary classification to be assigned.
If you assign more than one secondary classification, the tax categories must correspond to the classifications.