Solution Properties
Solution ID:
200517055352207
Last Modified Date:
Mon Jan 19 08:53:36 UTC 2026
Taxonomy Path:
Case category//How do I...//processing
Author:
[email protected]
etirement Reform Setup
Description
Sage 300 People require you to correctly configure and link specific payroll components to process retirement reform.
These settings ensure accurate pension, retirement fund, employer contribution, and fringe benefit calculations.
Link all mandatory payroll fields before the system allows you to save deduction and company contribution definitions. System health checks and alerts flag missing setups, but Sage 300 People support doesn't guide retirement reform design or statutory decisions.
Incorrect setups can cause incorrect fringe benefit values, including zero amounts where the law doesn't allow this.
Cause
Resolution

Create the retirement fund

  1. On the navigation pane, expand Parameters.
  2. Expand Payroll.
  3. Double‑click Retirement fund.
  4. Select New.

Important notes

  • Don't select the N A retirement fund option for South African tax countries
  • This option isn't valid for South African retirement reform processing

Link the retirement fund to the company

  1. On the navigation pane, expand Parameters.
  2. Expand Payroll.
  3. Double‑click Company retirement fund.
  4. Select New.

Create the deduction definition

  1. On the navigation pane, expand Company management.
  2. Expand Payroll definitions.
  3. Double‑click Deductions.
  4. Select New.

Mandatory field

  • Linked company contribution

If this field isn't completed, the system prevents saving the deduction definition.

You can select an existing company contribution from the list or select the create option to add a new one.

Create the company contribution

  1. Create the company contribution from within the deduction definition or separately.
  2. Complete all mandatory fields.
  3. Save the definition.

Mandatory fields

  • Company retirement fund
  • Linked deduction

If you create the deduction first, the system automatically links the deduction definition.

Read‑only fields after saving

  • Deduction type
  • Company contribution type
  • Linked company contribution
  • Company retirement fund

Review the system health check

A system health check displays on the Sage 300 People landing page.
This check identifies incomplete or incorrectly linked mandatory retirement reform fields.

Correct all highlighted configurations by linking the required deduction and company contribution fields.

Understand the basic alert

A basic alert warns when the calculated retirement fund fringe benefit is zero Rand.

According to paragraph 12D, subsection six of the Seventh Schedule, a zero fringe benefit value is only valid when:

  • Retired employees retired from the retirement fund, or
  • The contribution applies to dependants or nominees of a deceased fund member

Incorrect fringe benefit values usually occur due to incorrect calculation logic or an incorrect rate factor.

Review fringe benefit field behaviour

The following fields on the Retirement reform fringe benefit payslip definitions screen are read‑only:

  • Fixed
  • Recurrence amount
  • Recurrence type

Any values previously captured in these fields produced incorrect fringe benefit calculations. The system ignores these values and blocks fringe benefit processing.

Steps to duplicate
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