Overview
A cost item is any element that can be used to predict and calculate future developments of organizational departments such as basic salary, vacation pay and full-time salaries at the assignment level. There are four information tabs at the bottom that further expand the capabilities of a cost item. The deductions tab lists the deduction and cost item relationship for a deduction calculation. A deduction can be viewed, added or deleted in this tab. The dependant tab represents cost items calculated on other cost items. For example, another expense can appear from producing an employee's salary. Each cost item, by law, may be associated with an income tax which will be recorded in the Income Tax tab within the Cost Item function. The last tab is Effective Date which manages all the different dates that document when the cost item will become effective.
Navigation
Human Capital ► Budgeting and forecasting ► Support Entities ► Cost Item
Cost Item screen Fields
Fields | Description |
Code | Unique identifier for each record |
Language | Select the language used to register the description and name |
Name | Name of the Cost Item. |
Description | Long description of the Cost Item. |
Sequence | This determines the order of calculation. |
Type | Select from the Drop Down Menu the Type of Cost Item that users are creating. |
Frequency | Use of Cost Item - Daily, Hourly etc. |
Frequency based on | Initially it is Not Applicable. If selected, the Frequency can be modified. |
Is Basic Salary | If checked, Cost Item is a Basic Salary earning. |
Is ProRated | If checked, Cost Item will be ProRated. A ProRated Cost Item will be used mainly for a salary increase in the middle of a pay period or if an employee resigns in the middle of the month. |
Is this limiting the Basic Cost Item | This is the reduction amount of a cost item in association with a specified effective date. |
May this paid on different periods then the regular periods | If checked, this is paid on different periods. |
Is this linked to a NON-Salary scale | When Frequency is DAILY or HOURLY, Non Salary Scale can not be selected. When Frequency is NOT DAILY or HOURLY, Non Salary Scale can be selected. If selected, extra fields in Cost Items will be mandatory to complete in order to specify which scale to use. |
Is Statutory Holiday | Will be checked if Cost Item is a Statutory Holiday and will be used as a pay calculation. When selected, Is Limiting Regular will be selected and cannot be unselected. Frequency will display DAILY when Is Statutory Holiday is selected. |
Does this cost item have an effect on the pay | Default is true. It indicates if the cost item affects the pay. |
Inactive Date | By default, is null. Once a date is entered the Cost Item will no longer be available on and after that date. |
Maximum value by calculation | It allows setting the maximum value for the cost calculation. |
Should pay excess value | If checked then allows paying the excess value for the cost item. |
Overview
This is part of the HCS Cost Item. It appears as a tab in the form.
Allowed Combinations screen Fields
Fields | Description |
Pay Zone | Pay zone is mandatory if cost item scale group is specified. |
Cost Item Scale Group | The Cost Item Scale Group includes the information related to the group used in the Cost Item Scale. |
Cost Item Scale | The Situation field is used to describe the employment status of the employee in the assignment. Up to four levels can be used to describe the situation. |
| Situation Code Combination | Select the value from the drop down |
Overview
This is part of the HCS Cost Item. It appears as a tab in the form.
Coding Block Debit Tab screen Fields
Fields | Description |
Coding Block | This is the final line of coding that will be created in Cost item financial coding block. |
Percentage | Percentage should be in decimal format. |
Situation Code Combination | This function organizes and manages these combinations of situation codes that are to be associated with a specific cost item. |
Overview
This is part of the HCS Cost Item. It appears as a tab in the form.
Dependant screen Fields
Fields | Description |
Active | If checked, the dependant is active (applicable during calculation). |
Considered Cost Item | The Cost Item that will be used as the dependant. |
Rate | The percentage amount of the cost item that the deduction will apply to. Range from 0 – 100. |
Overview
This is part of the HCS Cost Item. It appears as a tab in the form.
Effective Date screen Fields
Fields | Description |
Effective Date | The date at which the cost item becomes effective. |
Amount For Frequency | The amount of the cost item. |
Rate | The percentage of the amount to be calculated for the cost item. |