Description
For employees who have not used all of their leave entitlement by theend of the calendar year, a reserve amount has to be determined,according to §6, Chp. 1 No.3 of the Income Tax Laws for the outstandingleave days in the past year. This leave provision ensures that expensesthat could arise in the future from this untaken leave, are covered.
The following individual parts must be included in vacation pay:
- the gross pay that the employee would receive for the
number of leave days outstanding (Vacation pay)
- the Employer's social insurance contribution
(supported by the system)
- possible vacation pay
You should not include annually-agreed special payments - such as
Christmas bonus, profit-sharing payments, additions to
company pension reserves and anniversary reserves.
Also, do not include payments that are not part of wages or salaries
(for example, capital formation savings payments).
Vacation pay is calculated in the standard system as follows:
- Specify a key date in the selection screen.
This month relevant for the calculation determines
from which month the payroll results are read.
- For the calculation of vacation pay, the month of the
key date is used.
First, the monthly vacation pay is determined
from this month's payroll results.
This additional monthly pay is converted to
vacation pay that the employee would receive for the
number of vacation days outstanding.
This vacation pay is part of the vacation reserve.
- The outstanding vacation days are determined using the entered
relevant vacation period - start and relevant
vacation period - end parameters. If the end-date is within
an infotype 5 record, the outstanding vacation days proportionally
are taken into account until the key date (end date).
Previously, all outstanding vacation days and all
infotype 5 records that were affected by the start date were
included.
- The vacation pay is added to the normal gross pay,
and a dummy social insurance calculation is carried out.
The difference between the social insurance contributions
of this dummy payroll and the social insurance
contributions of the normal calculated month is regarded as
additional ancillary payroll costs. These additional
ancillary costs are the second part of the vacation reserve,
Only the employer contributions for social insurance
are taken into account here.
- You can also add vacation bonus to the vacation pay.
To do this, specify a percentage in the Additional vacation
bonus % parameter. The vacation bonus is then
calculated as a percentage of the vacation pay. The
ancillary payroll costs are determined from this sum.
Setting vacation reserve
In table T512E, under the form indicator DURL, specify the
wage/salary types to be considered from the program to create
vacation reserves.
By maintaining the entries under this form indicator, you control
which wage types
- the vacation pay
- the current salary for the dummy SI calculation
should consist of.
The wage type is part of the vacation pay and current pay.
If an employee's wage type, vacaction pay, and SI-liable salary
all have to be taken into account, simply add the wage type
under the DURL indicator and add a
calculation indicator in the relevant column.
The wage type is exclusively part of vacation pay
If a wage type is exclusively to be taken into account for
creating vacation pay, include this wage type under
the DURL form indicator, and mark this wage type
in the Type column with the letter 'U' (left ranging).
The wage type is exclusively part of the current gross amount
If a wage type is exclusively taken into account to create
the gross amount from the current payroll results
for the dummy payroll, include this wage type under the
DURL form indicator and mark this wage type in the
WType column with the letter 'B' (left ranging).
Example entries under the DURL indicator:
WType Tab No Fnst Gr UGr ZTyp STyp WTyp RZ
/102
MM00 -
M760 U -
In this example, the vacation pay and SI gross amount are
made up as follows:
Vacation pay = /102 (Current monthly SI-liable gross amount)
- MM00 (Overtime pay)
- M760 (Capital formation savings)
Gross amount for
dummy payroll = /102 (Current monthly SI-liable gross amount)
- MM00 (Overtime pay)
If an employee has leave without pay in a payroll month,
the current pay is lower than normal.
The output payroll results are recalculated for this employee.
The basis for this is the /462 wage type, which has an
estimation base for the current pay in this month.
Wage types that are assigned a 'U' in the Stype in
table T512E, are used as output wage-types for a recalculation.
In the standard system, this is the wage type '/462' as described
above:
WType Tab Nr Fnst Gr UGr ZType SType WType RZ
/462 U
Example:
At the end of December, an employee still has 10 vacation days.
The employee works an average of 20 days a month.
The payroll results of the current month for the
employee are:
WType Amount
/102 1,252 DM
MM00 200 DM
M760 52 DM
With the above key, the amount of vacation pay is:
/102 - MM00 - M760 = 1,000 DM
Since the employee still has 10 days and an average 20 work days, hisvacation pay is 500 DM.
The current pay is determined from the payroll results as follows:
/102 - MM00 = 1052 DM = current pay for this month.
A dummy payroll is now carried out where the vacation pay
(total of vacation pay + possible vacation bonus), is entered as a
one-off payment.
The social insurance contributions are recalculated with this dummypayroll. The difference between the old SI contributions and thenewly-calculated SI calculate in the program are determined asadditional ancillary payroll costs, and added to the reserveamount. With the addition of 87 DM additional ancillary payrollcosts, the reserve vacation pay is:
500 DM + 87 DM = 587 DM reserve vacation pay

Program parameter
You must make the following entries in the selection screen:
RESET N1
Key date to calculate vacation pay
The key date is usually 31. December or the end of the fiscal year.
To run the program, you need the payroll results from the key date
month.
Payroll logging
For test purposes, you can display the course of the
dummy payroll run for each personnel number.
First, the ancillary payroll costs assigned to
an employee in the evaluation month, are displayed.
Next, the ancillary payroll costs that arise if the
employee is calculated together with the vacation pay.
In this wage-type overview, the vacation pay is indicated with '/001'.
The current gross amount is displayed with the '/002' wage type.
The social insurance-liable pay that forms the
basis of the dummy payroll run, and results from the sum of
/001 and /002, is assigned to the '/102' wage type.
Finally, the difference between the ancillary payroll
costs of both payroll runs is displayed.
Individual statement list
The individual statement list displays the most important
results regarding the vacation reserve for each personnel number
in a single-line overview.
The following is displayed:
- vacation pay
- the resulting additional ancillary costs
- number of average working days in a month
- the oustanding annual vacation up to the key date
- the calculated vacation pay resulting from these specifications.
If you select this parameter, the individual statment list is
displayed.
Error/note list
You can use this parameter to control whether an error/note should beissued, if persons are rejected or not taken into account. If youselect this parameter, you receive an error/note list.
Total per cost center
Select this parameter, if you want the total of the reserve data to bedisplayed for each cost center.
Company grouping
You can specify a feature here that controls how your personnelareas/subareas are grouped into a company report. The result of such agrouping is that, using this report, the total of outstanding vacationdays, and the reserve vacation pay can be issued on separate sheets.
If you leave this parameter blank, a summary is issued for eachpersonnel (sub)area.
Wage types to calculate the monthly vacation pay
As mentioned above, monthly vacation pay is
determined by the program from the payroll results.
You must now enter which wage types from the payroll
results should be used to create the vacation pay.
For the parameter, enter the form indicator in
table T512E, where these wage types are listed.
The form indicator DURL is set in the standard system.
Enter how each wage type should be processed by the program.
- You can use the calculation-indicator field to control
whether a positive amount of a wage type should be taken
from the vacation pay. If this is the case,
mark this wage type in this column with the character '-'.
- If you want to use certain wage types only for certain
employee groups, you can control this using the 'S-Type'
field.
Mark these wage types with a number in this column.
The number stands for a certain employee group. You can
define which number is connected to a certain employee
group in a feature. Enter the feature name in the next parameter.
If you do not need to differentiate between the use of
wage types according to employee groups, you do not
have to specify a feature name in the next parameter.
You must arrange specifc wage types for employee subgroups
that have an unpaid absence in the evaluation month.
For this employee subgroup, all wage types that have the
indicator U in table T512E in the S-Type
column.
Control of Wage type selection
Here, you can specify the name of a feature with which you
can control whether only certain wage types should be
evaluated for certain employee groups.
The feature DURLB is set in the standard system.
The number that you assign to an employee group in this
feature is used in table T512E.
If the employee is in an employee group, for which you
have assigned a number in this feature, only the wage types
from the payroll results that have this number in the SType
column in table T512E, are used to create the vacation pay.
In the standard system, the feature DURLB is set
to assign this number to employee groups.
Technical social insurance wage types
The program determines the ancillary payroll costs that are to be
reserved from the monthly pay and the monthly vacation pay.
Specify the form indicator where the technical
wage types are contained in table T512E.
The wage types are taken into account when determining
the ancillary payroll costs.
In the standard system the form indicator DSVL is set.
All wage types that represent an employer's bonus for
social insurance contributions are stored here.
The wage types that have the number '2' in the 'SType'
column, represent the ancillary payroll costs.
If there is a wage type for ancillary payroll costs for a
one-time payment, then this wage type must be marked with
an 'X' in the 'WTType' column.
This means that these marked wage types are not taken into
account when the 'ancillary payroll costs without vacation pay'
are calculated for possible ancillary costs due to other one-time
payments, which are included in the evaluation month.
Example: T512E
Mo Form WTyp Tk Nr Fstr Gr UGr ZType SType WType
01 DSVL /353 0 0 2 X
This affects the wage types /353, /363, /373 and /3Q3
in the standard system.
Determining the ancillary payroll costs
Parameter Ancillary payroll cost calculation with SI income
threshold deficit:
This parameter is used to ensure that the SI income threshold
deficit wage types are transfered from the relevant month, and
that they are taken into account for the dummy calculatation
of ancillary payroll costs. The result is that, under certain
conditions, the dummy vacation pay is not completely
contributed if the SI income-threshold deficit is not adequate.
Whereas the ancillary payroll costs calculation without SI
income threshold deficit ensures that the amount of
vacation pay is increased, so that the determined dummy vacation pay
is always completely contributed.
Here, the wage types /340, /341, /342 and /3P8 are increased
to the amount of the vacation pay (one-off payment).
The third option would be to enter a flat-rate percentage as
a parameter for the ancillary payroll costs. In this way. in
addition to the actual calculation of the ancillary payroll
costs, a flat-rate calculation of these costs is carried out.
This option is only possible for further analysis within the
activated payroll log.