The pension scheme records should be set up before the payroll records are created.
Pension schemes are either used in a basic mode with just a code and description, in a more advanced mode to record BACS payment details or in a special advanced mode with advanced calculation methods supported.
To access the Pension schemes
The Payroll Password form is displayed.
Enter your payroll password.
The PAYROLL menu is displayed.
Select the Miscellaneous options option.
The PR MISCELLANEOUS MENU is displayed.
Select the Pension schemes option.
The Pension schemes form is displayed.
Pension schemes Form
The Pension schemes form is displayed when you select the Pension schemes option from the PR MISCELLANEOUS MENU.
Maintenance of the Pension schemes
The Pension schemes record consists of four TABs.
To create a pension scheme first click the Create button and then enter the Pension scheme code and other details followed by clicking the Create button. To amend a Pension scheme record enter the Pension scheme code and click the Amend button, make the amendments and click the Save button to save the changes.
General Tab
The General form is displayed when you select the General TAB from the Pension schemes form.
Pension scheme: Enter the two character scheme code. This is the unique field to the Pension schemes data file and represents the payroll record Pension TAB field called Pension scheme.
Tip : Click the Ellipsis button
to search for a pension scheme code from the Pension schemes file.
Description: The fifty character description. The pension scheme description is shown on the payroll record.
Special pension: Tick this field if special pension calculations are to occur. This field is only available if a kcc user at payroll priority 9 has activated special pension calculations within payroll system parameters by ticking the field called Special pensions. Special pensions are advanced styles of calculations specially developed within the payroll system for specific users and not covered by standard system installations. Once the Special pension flag on the pension scheme is ticked an extra Tab called Special appears.
What do you want to do?
BACS Tab
The BACS form is displayed when you select the BACS TAB from the Pension schemes form.
The BACS TAB is only shown if the payroll type is linked to a BACS company.
BACS payment: Tick the BACS payment field if the pension scheme payment is to be paid by BACS. BACS payments are consolidated into a single transaction per pension scheme for all of the employees within each payroll type when copied into the BACS submission module. Leave it blank if the payment is being paid by another method such as cheque. Once the BACS payment field is ticked the other fields on the BACS TAB are accessible.
Bank sort code: Six digit sort code.
Note: If the sort code entered begins with zeros the leading zeros are not shown but are used on the BACS transmission.
Bank account number: Eight digit account code.
Bank account type: Normally this is zero but this needs to checked with the financial organisation represented by the pension scheme. This is required for BACS payments.
Bank account name: Eighteen character account name.
BACS reference: Eighteen character reference for the pension scheme payment.
Payment category: A one character payment category if payments are to be generated into their own BACS batch otherwise left blank if the payment is to be combined with other BACS transactions for the payroll period.
Tip : Click the Ellipsis button
Payment made to BACS: The amount of the pension schemes for each payroll type transferred to the BACS Submission module for transmission to BACS during the current payroll period. This amount allows for two or more payment runs to be processed for the employee by BACS within a single payroll period. If money has been transferred to the BACS Submission module using the Miscellaneous options menu option called Transfer BACS buffer to BACS but the money is not being transmitted to BACS due to an error it may be necessary to reset this field to zero using the Miscellaneous options menu, Utilities menu option called Zero off BACS transfer amounts.
What do you want to do?
Special Tab
The Special form is displayed when you select the Special Tab from the Pension schemes form and tick the Special pension field on the General TAB of the pension scheme record. This field is only available if advanced pension calculations are activated on the payroll system.
Pension gross is basic: Ticking this field means the gross pay for pension is first set to the basic period pay on the Static 1 TAB of the payroll record plus the pay from any addition/deduction records that are flagged to be included in Gross pay for pension. In other words, any spurious fields ticked for gross pay for pension on the rates table are ignored.
Cap identifier: Enter from the drop down either 1,2,3 or 4 to define any global accumulator used for capped contributions recorded via the addition/deduction records. For example, commission payments. If nothing is capped the cap identifier may be left blank.
Cap ratio: Enter the maximum ratio of the Annual salary field on the payroll record that may be used to cap any identified addition/deduction records using the cap identifier field. Entering 1.5 means 150% of the annual salary may be used via identified additions/deductions for gross pay for pension purposes.
Pension disregard: Tick this field if a pension disregard amount stored within the payroll system parameters is to be taken off gross pay for pension prior to any % contribution calculations.
Disregard hours/week: The minimum number of hours per week as defined on the Static 1 TAB of the payroll record before a ratio of the hours paid to the employee is instead used with the pension disregard value. For example, if the pension disregard value is 100 pounds, the hours per week of the employee is 40 and the disregard hours/week is 30 then 100 pounds is disregarded. If the employee however works less than 30 hours such as 10 hours, the disregard value is 100 pounds x 10/30 = 33.33 pounds.
Pension deduction code 1: the first deduction code to be used on the payroll record for the employee pension contribution. This must exist attached to the payroll record at an active status for the calculation to take place.
Pension deduction code 2: the second deduction code to be used on the payroll record for the employee pension contribution. This must exist attached to the payroll record at an active status for the calculation to take place.
Pension benefit code 1: the first benefit code to be used on the payroll record for the employer pension contribution. This must exist attached to the payroll record at an active status for the calculation to take place.
Pension benefit code 2: the second benefit code to be used on the payroll record for the employer pension contribution. This must exist attached to the payroll record at an active status for the calculation to take place.
Age: Three age bands, if the age of the employee at the end of the payroll period date does not exceed a band then that band is used. For example, if age 1 is 0, age 2 is 30 and age 3 is 45. If an employee is aged 29 band 1 is used, aged 35, band 2 is used, aged 45, band 3 is used.
Employee Percent 1The % contribution to be applied to Gross pay for pension for the first deduction record.
Employee Percent 2The % contribution to be applied to Gross pay for pension for the second deduction record.
Employer Percent 1The % contribution to be applied to Gross pay for pension for the first benefit record.
Employee Percent 2The % contribution to be applied to Gross pay for pension for the second benefit record.
What do you want to do?
Audit Tab
The Audit form is displayed when you select the Audit Tab from the Pension schemes form.
The audit data TAB is system maintained and may be used to check when and by who a pension scheme record has been created or amended.
The following fields are displayed on the Audit Tab. All of these fields are self-explanatory and thus no explanation is supplied.
Date created
Time created
Created by
Creation terminal
Date amended
Time amended
Amended by
Amendment terminal
What do you want to do?
PUSH BUTTONS:
Exit: Returns you to the PR MISCELLANEOUS MENU.
Help: Displays help on the current application in your default company browser.
Amend: Click the Amend button after entering a pension scheme if wanting to amend the pension scheme for the current payroll company.
Save: Saves any changes that you have made to the pension scheme form.
Cancel: Cancels any changes that you have made to the pension scheme form and returns you to the PR MISCELLANEOUS MENU.
