You need such a tool to enable correct calculation of certain payments. Typically, you use net-to-gross calculations in two cases:

• You need to know the gross cost effect of a planned salary or a payment increase.

• You want to give a reward or bonus to the employee, free of any employee charges. Since the tax administration considers the payment as taxable income, you need to know how much to pay as gross to get a zero-cost value for the employee.

See: Net-to-Gross Processing of Earnings

1. Create the iterative elements for the net-to-gross calculation in the Element window, with the primary classification as Salary in Money.

   See: Defining an Element

   See: Setting Up Elements for Net-to-Gross Processing

   Attention: You must select the Termination as Final Close for all elements that you create.

   Note: You can also use the predefined element for net to gross calculation. See: Predefined Elements

2. Select the iterative formula as FI_CALC_GROSSUP.

3. Click the Usages button if you want to exclude any elements from the net-to-gross calculation.

   Note: You must exclude the elements from the run type, Process Separately.

   Note: The NetPay balance will reflect all earnings elements and all statutory deductions during net-to-gross calculation. This balance considers neither voluntary nor involuntary deductions.