Fixed amount Methods of Calculation are used when the Earning, Deduction, Company Contribution or Calculation field is a fixed amount for all or a number of employees. Employees for whom such a method isto be used must be linked to the relevant method.

The advantage of having methods for fixed amounts is that you can change the method when the amount changes and all the employees’ payslips that are linked to the method will immediately recalculate.

When you add a Method of Calculation for a Deduction, you can add a Method of Calculation for the Company Contribution on the same screen.

EXAMPLE: The company will start making deductions for Parking from this month onwards. The deduction amount for parking is R100.00 per month.

To access the Methods of Calculation option from the VIP Main Menu:
Click on Payroll
Click on Definitions
Click on Methods of Calculation
Click on Add

Click on the Parking Deduction line

Enter 1 for Method Number 1

Select the Method Type as 'Fixed Amount'

Enter the value on the ‘Fixed Amount’ line. Also enter a Short Description

When finished click on close.

When existing the Methods of Calculation Screen the system will ask you to recalculate. If you have created a new method and no employees are linked to the method as yet, it is ok to select 'No'.