If you have defined your own payroll elements, you can write formulas to calculate earnings and deductions.

For guidance on writing efficient payroll calculation formulas, see: Formula Writing Techniques. For important information about using element input values in payroll formulas, see: Input Values in Payroll Formulas.

   To define elements and their formulas:

1. Design your element and how it will be calculated.

2. Write any formulas required to validate input values (formula type = Element Input Validation).

3. Write a formula, if required, to define the rules for skipping the element during payroll processing (formula type = Element Skip).

4. Define the element, referencing any formulas written in steps 2 and 3.

5. Write the formula or formulas for calculating the run results (formula type = Oracle Payroll).

6. Associate each Oracle Payroll type formula with the element in the Formula Result Rules window, and specify what happens to the formula results for this element.

   Note: You can associate several formulas with a single element, each one for use with a different employee assignment status. You can also use the same formula for more than one element. In this case, if the formula references pay or input values (through the Inputs statement), each element must have pay and input values with the same names.