Earning codes (form) 6.2 CU7 and prior

Článek
10/19/2018

Applies To: Microsoft Dynamics AX 2012 R3, Microsoft Dynamics AX 2012 R2

Click Payroll > Setup > Earnings > Earning codes.

Earning codes identify the type of earnings that workers receive for their services. Earning codes control various parameters that relate to earnings, such as accounting rules, tax laws, reporting requirements, and gross up capability.

This topic describes functionality that is available only if the Payroll - USA configuration key is selected.

Each earning type should have a unique earning code. Workers can have multiple earnings codes assigned to them and can receive more than one type of earnings each payroll period. Earning codes are assigned to workers in several situations:

When an earning is received on a recurring basis, including every pay period.
When an earning has a unique flat amount for a worker position.
When an earning has a unique rate for a worker position.

Poznámka

Earning codes are shared across legal entities, with the exception of the information on the Accounting tab. The information on the Accounting tab applies to the legal entity that you specify when you complete the information on the tab.

Tasks that use this form

Earning code examples

Form-level controls

Button	Description
New	Create a new earning code. Poznámka Earning codes are included in the disposable income definitions that are used when garnishment and tax levy amounts are calculated. When you create an earning code, consider whether your disposable income definitions should be updated. For more information, see Disposable income definitions (form) 6.2 CU7 and prior.
Delete	Delete the selected earning code. Poznámka After an earning code has been used to process payroll or is assigned to a gross up earning code, the earning code cannot be deleted. Earning codes are included in the disposable income definitions that are used when garnishment and tax levy amounts are calculated. When you delete an earning code, consider whether your disposable income definitions should be updated. For more information, see Disposable income definitions (form) 6.2 CU7 and prior.
Maintain versions	Open the Maintain versions form, where you can schedule future earning code changes or view values that have been previously assigned to the earning code. For more information, see Maintain payroll versions (form).
Current records	Click the arrow button to display the following options: Display the records as of – Enter a date, and then click Apply to view all of the earning codes that were or will be active on the date you entered. Display all records – Select this check box, and then click Apply to view all of the earning code versions for the selected interest code. Poznámka These options are available only if you are currently viewing active versions, only. For more information, see Maintain payroll versions (form).
Display current	View only active earning code versions. Poznámka This button is available only if you are currently viewing all expired, active, and future versions, or earning codes that are active on a specific date. For more information, see Maintain payroll versions (form).

General

The information on this tab is used to determine the amount of earnings when the selected earning code is assigned to a worker.

Field	Description
Include in payment run type	When you generate pay statements, you must select the payment run to generate pay statements for. Only those earning codes that match the payment run are included on the pay statements. Primary – A standard payment run type, such as weekly or biweekly earning codes like regular pay, holiday pay, vacation pay, or double-time pay. Tip If you select Primary, the earning code can be included only in a Primary payment type, which is limited to one run per pay period To use this earning code more than one time per pay period, select Primary and additional. This flexibility is often helpful if you make a mistake that needs to be corrected in the same payment run. Additional – A special run, in addition to the primary run, such as a bonus or travel reimbursement. Primary and additional – The earning code is considered for inclusion if either Primary or Additional is selected in the Include in payment run type field. Tip This is the most common payment run selection. Gross up – A run that is designed to include only earning codes that are designated to be included in the Gross up payment run type. The gross up value is the amount that is added to the net take home pay so that a worker receives a specified amount, for example, a moving or car allowance. Poznámka If this option is selected, you can modify the value in the Gross up earning code field. Automatic – Earning codes that have a payment run type of Gross up are generated automatically when earning codes are processed. If you select this option, the amount, based on the amount of taxes withheld for the gross up earning code, are calculated.
Base earnings component	If selected, the earnings that are calculated using this earning code are included when determining worker base pay. Base pay settings are used to generate earnings for salaried workers, and base pay figures are used to calculate and determine benefits that are based on pay.
Rate basis	This field is used with the Amount or multiplier field to determine the earnings amount. When you select Flat amount, the Amount or multiplier value is treated as a currency amount. Flat amounts are used when the earning amount is not based on a worker’s fixed compensation. To pay a worker a recurring 500.00 car allowance. Select Flat amount in the Rate basis field and enter 500.00 in the Amount or multiplier field. To pay a worker .25 for each piece produced, select Flat amount in the Rate basis field and enter .25 in the Amount or multiplier field. The employee will receive .25 for each piece produced. When Hourly, Pay period, Monthly, or Annually is selected, the earning rate is calculated from the workers’ compensation settings based on the time frame of the rate basis. The calculated fixed compensation for the worker is multiplied by the Amount or multiplier value to determine the earning rate. The rate is multiplied by the quantity on the earnings statement line to determine the amount. To set up an earnings code for double-time pay for hourly workers, select Hourly in the Rate basis field and enter 2 in the Amount or multiplier field. If the calculated hourly equivalent for the worker on the Fixní kompenzace zaměstnance (formulář) form is 35, the employee will receive 70 for each hour logged for this earning code. To set up a one percent uniform allowance that is paid out each pay period, select Pay period in the Rate basis field and enter .01 in the Amount or multiplier field. The employee will receive one percent of their pay each pay period.
Unit of measure	Select the unit of measure that is used to record the unit of work. Hours –Earnings that are paid by the hour. Pieces –Earning codes that are paid by per each piece produced. Each –All earning codes in which the earnings amount is not determined by the amount of hours worked or pieces produced.
Productive	Productive hours represent regular work hours, where non-productive hours represent hours that were not actually worked, such as vacation and sick pay hours. This information is used in several benefit and tax calculations.
Tax method	The tax rate that is used to determine the amount of tax withheld for this earning code: Regular – Taxes are calculated using the standard rate. Supplemental – Taxes are calculated at a supplemental rate. Exempt – No tax is charged on the earnings calculated using this earning code.
Fringe benefit type	The benefits that the worker is taxed on, even though they do not receive any direct compensation for them. For example, life insurance and health benefits.
Amount or multiplier	The multiplier that is used to calculate earnings, unless the rate basis is a flat amount. If the Rate basis is a flat amount, the value in this field is treated as a currency amount. For example, if you enter 500 in this field, the value is considered a flat amount of 500.00. When the Rate basis is Hourly, Pay period, Monthly, or Annually, this field is used with the Rate basis field to determine the earnings amount. The rate basis method determines the appropriate compensation rate for workers. Workers that have different hourly rates can all use the same hourly earning code because the correct hourly rate is calculated for each worker and position. For example, if the compensation rate is 24,000 per year and the worker’s pay cycle is monthly, select Pay period as the rate basis and enter a multiplier of 1. The generated earnings will be 2,000.
Gross up earning code	This code is used to create an earnings statement line for the amount of taxes withheld. When an earning code is created that has the Include in payment run type value set to Gross up or Automatic, the Tax method, Base earnings component, Rate basis and Unit of measure are set to predefined values and cannot be changed. Poznámka This field is only available if Gross up is selected in the Include in payment run type field.
Base definition	This field specifies how the earning code is used to calculate workers’ compensation and general liability insurance: Not applicable – The calculations do not acknowledge the earnings. Base time – The calculations use 100% of the earnings. Time and a half – The calculations use 150% of the earnings. Double time – The calculations use 200% of the earnings.

Accounting

The financial dimensions and posting rules that are applied when the selected earning code is assigned to a worker.

Poznámka

Earning codes are shared across legal entities, but the settings on the Accounting tab are specific to the selected legal entity.

Field	Description
Legal entity	The legal entity for the dimension template, default dimensions, accounting rules, and project category that are used with the earning code.
Project category	The project category that the earnings are charged to, if applicable. Poznámka If the Unit of measure is set to Hours for this earning code, this list is limited to project categories that bill hourly. Conversely, if the Unit of measure is not set to Hours, the project category list will only contain projects that are billed as expenses.
Distribution template	The template that is used to determine the default dimension values and percentages for earning distributions. This information can be changed on an individual earning line. Poznámka If you select a template in this field, it will override the template assigned to the position when you create pay statement earning lines.
Default financial dimensions	The default financial dimensions for the main account. When you select a financial dimension value, the Where the %1 dimension is used field group displays where the dimension is used in account structures and advanced rule structures. Poznámka The dimension values from the earning code and the position are added to the earning line and can be changed. When a value for the same dimension is specified for both the earning code and the position, the dimension value for the earning code is used.
Posting rules	The accounting rules that are applied when earnings are posted that are generated for this earning code. The main account for distributions is based on the department, job, and worker selections for each posting rule. Poznámka The main account cannot be changed on an earning line.

Reporting

This tab contains tax-related information that is required by the IRS.

Field	Description
Form W-2 control data	The box number and label on Form W-2 that is used to report tax-related information to the IRS.

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