A Prevailing Wage Calculations maintenance function is reached by selecting the Schedule Code hyperlink on the Prevailing Wage Schedules. It appears as the first of two tabs and allows you to set up calculations for Prevailing Wages.
Prevailing Wage Schedules
Trade
This is the PW Trade code. These codes are set up in Payroll > Global Setup > Prevailing Wage Trades.
Calc No.
This is the number code of the calculation used for the Prevailing Wage. It has a hyperlink that directs you to the Prevailing Wage Calculations Summary screen.
When a calculation has new calculation rates, effective after the original date, copy the original calculation number and update the Effective Date and rates. Do NOT create another calculation or it will use both calculations when processing payroll. It is recommended not to make the original calculation dormant. It will not be accessible if a timecard is entered for the prior effective period.
Effective Date
The date that the calculation is effective.
Description
A description of what the calculation is used for.
Fringe or Deduction
Whether this is a Fringe or a Deduction calculation. The options are: Fringe Included in Pay, Fringe Not Included in Pay, Deduction.
Group Code
The PW Group Code, this will be blank for Australia.
Percent
The percentage of the calculation, if applicable.
Flat Amount
The flat amount for the calculation, if applicable.
Rate per Day
The rate per day if the calculation is not a flat amount or a percentage of the gross amount.
Amount per Regular Hour
Amount per Overtime Hour
Amount per Double Time Hour
The calculations as amounts per Regular, Overtime, and Double Time Hour.
Item
The Pay Item number, 1 - 999.
Dormant
Whether the calculation is dormant.
Prevailing Wage Calculations Summary
When you select the Calc No column hyperlink on the Prevailing Wage Calculations screen, a new Prevailing Wage Calculations Summary screen appears. It also appears if you use the Add, Copy, or Update buttons on this screen.
Prevailing Wage Calculations Summary
The Prevailing Wage Calculations Summary screen contains the following 3 tabs:
Main
The Main tab of the PR Prevailing Wage Calculations Summary screen displays general information, rates, monthly calculation periods, amounts per hour, maximum amounts and hours, processing information, and STP information.
General Info Fields
Description
A description of what the calculation is used for.
Fringe or Deduction
Whether this is a fringe or deduction calculation. The options are: Fringe Included in Pay, Fringe Not Included in Pay, Deduction.
Calculation Type
Not used in Australia
Item
The Pay Item number, 1 - 999.
Group Code
The PW Group Code, this will be blank Australia
Dormant
Whether the calculation is dormant.
Monthly Calculation Periods Applicable Fields
There are six checkboxes in this layout. You can check any of these boxes to indicate whether a particular Cost Period (from 1 through 6) is applicable to this Prevailing Wage calculation.
Rates Fields
Percent
The percentage of the calculation, if applicable.
Percent Basis
The basis of the percentage rate. The options are: Item Current Amount, Gross by Worked Hours, Gross by Paid Hours, Gross by Regular Hours.
Percent Basis Item
The number of the item for the percent basis. This field is disabled if you selected any of these options for the Percent Basis field: Gross by Worked Hours, Gross by Paid Hours, Gross by Regular Hours.
Flat Amount
The flat amount for the calculation, if applicable.
Flat Amount Spread Basis
The spread basis for the flat amount. The options are: Total Gross and Regular Gross.
Rate per Day
The rate per day if the calculation is not a flat amount or a percentage of the gross amount.
Amount Per Hour Fields
All Hours – this will show Regular, Overtime and Double Time
Regular - will only show Regular
Overtime - will only show Overtime
Double Time - will only show Double Time
The calculation as an amount per Regular hour, Overtime hour, and Double Time hour.
Maximum Amount Fields
Per Period
Per Month
Per Quarter
Per Year
The maximum amount to be allowed per pay period, per month, or per year for the Prevailing Wage calculation.
or Item Current Amount
The current amount of this item. Not used in Australia
Maximum Hours Fields
Per Period
The maximum hours allowed per pay period for the Prevailing Wage calculation.
Period Maximum Basis
The basis for the maximum hours to be allowed per pay period. The options are: Worked Hours, Paid Hours, Regular Hours, Percent Basis.
Per Month
The maximum hours to be allowed per month for the Prevailing Wage calculation.
Month Maximum Basis
Select the basis for the maximum hours to be allowed per month. The options are:
Worked Hours, Paid Hours, Regular Hours, Percent Basis.
Processing Information
Federal Taxable
Whether PAYG is to be calculated on PW Calculation or not
Super Payable
Whether Super is to be calculated on the PW calculation or not
Supplier
If the PW calculation is to be linked to an Accounts Payable Supplier for generating Invoice
Single Touch Payroll Information
Reportable via STP
Is the PW calculation to be included in the STP reporting.
Pay Sum Code
Select the category in which the PW calculation should be reported.
Pay Sum Box
If a sub-category is required select subcategory for the PW calculation to be reported via STP File – this is dependent on the pay sum code - not all categories have subcategories.
Qualifying Earnings
Qualifying earnings (QE) refers to the earnings on which employers are required to make superannuation contributions under the Payday Super reforms. Essentially, it's the amount paid to employees that includes OTE, salary sacrifice super contributions and other earnings currently included in employees salary and wages for SG purposes.
Participation Rules
The Participation Rules tab of the PR Prevailing Wage Calculations Summary contains the following can-do list fields for the calculation: valid Costing Companies, Earning Categories and Prevailing Wage Skills.
Participation Rules Tab
Taxable Details
This tab is not available when using Add or Copy for a PW Calculation.
The Taxable Details tab defines whether Payroll tax and Workers Compensation to be calculated on the Prevailing Wage Calculation.
Taxable Details Tab
Tax Authority Type will always be State
If payroll tax and workers compensation is payable for all states, enter the wildcard * in the Tax Authority Pattern.
If different rules apply to different states, you will need to define each state.
In the above example, payroll tax will be calculated on NSW and QLD only, workers compensation will be calculated on NSW and VIC. If a state does not have payroll tax or workers compensation, then it must be included in the rule but the boxes will be blank.
If you define a rule for one state, you must define for all states. Otherwise use the * wildcard.
Save each line.