Setting Up Workers' Compensation Formulas in Sage 300 CRE Payroll

Setting Up Workers' Compensation Formulas in Payroll

For custom Workers' Compensation calculations that include bonuses or other specifics beyond the basic rates, use this method:

Guideline for Mod Rates Workflow
  1. This guide is exclusively for Mod Rates.
  2. If you're unsure or need help, reach out to help@bangertinc.com
  3. Here, we provide suggestions on how to configure WC using formulas for Basis Modification.
  4. If you calculate WC based on Straight pay or Gross pay, avoid using formulas.
  5. Always test changes on your data.
  6. For any support with this process, contact your Business Partner or Consultant.

Guide to Setting Up WC Basis Modification Rates Formulas for Workers' Compensation

For a modified Workers' Compensation Basis, you'll need a formula to determine the correct value. Here are steps and examples to help guide you through the setup. Remember, not all formulas may be needed for your specific needs.

1. Setting Up the Formula for WC Fringe:
  1. When using a formula for WC fringe calculation, choose "Formula" as your calculation method at the top of your window.
  2. From the provided examples, pick and set up the appropriate formula.
  3. For instance, if you've made a formula named "WCBASIS*WCMOD", place this in the formula field at the top of the WC Table. When processed, the result of this formula gets multiplied by the value entered in the "Amount" column for each WC Code.
2. Applying the Formula for a Specific WC Code:
  1. For each WC Code that you want the formula applied to, input the formula name in the "Formula" column in the grid.
  2. It's essential to also make an entry in the "Amount" column for the WC Code. The formula will then utilize the rate set up in the "Amount" column.
Additional Formula to Note:
You can create a formula that calculates the straight pay amount for each time entry. Make sure to only include pays that are relevant for the WC calculation.

WC-Basis-Time:

IF(Pay ID [PR Time] = “REG”, Amount [PR Time],IF(Pay ID [PR Time] = “SAL”, Amount [PR Time],IF(Pay ID [PR Time] = “OT”, Amount [PR Time] / 1.5,IF(Pay ID [PR Time] = “DT”, Amount [PR Time] / 2.0,IF(Pay ID [PR Time] = “BONUS”, Amount [PR Time],IF(Pay ID [PR Time] = “CASH”, Amount [PR Time] ) ) ) ) ) )

The Workers’ Compensation Board may adjust your workers’ comp rate influenced by your company’s past performance. This adjustment can result in either an increased or decreased WC rate. When your WC rates undergo changes due to an experience factor, take these steps to modify your WC setup accordingly:

Draft a formula named WCMOD. This formula should encapsulate your Factor or Rate. For instance, if your adjusting factor stands at .69, input this value into the formula. This formula will then tailor the calculated Basis.

WCMOD:

0.69

3. Construct an additional formula, WCBASIS*WCMOD. This integrates the two previously defined formulas. Position this formula at the pinnacle of the WC Table, adjacent to the Formula calculation method.

WCBASIS*WCMOD

WC-Basis-Time(Public formula)*WCMOD(Public formula)

4. If your rate undergoes changes, update the WCMOD formula to mirror your revised rate.

5. The subsequent formula helps determine the accurate WC Amount. This formula retrieves the Amount from the WC Fringe Table.

WCRATE: Note that "WC" in this formula pertains to the WC Fringe ID. If your WC Fringe ID differs, adjust that value to align with your specific Fringe ID.

LOOKUP(Amount(PR Workers'Comp Rate),"","WC",WC State(PR Time),WC Code(PR Time))/100

6. Position the following formula in the WC Table Grid, specifically under the Formula column.

WCBASISWCMODWCRATE:

WC-Basis-Time(Public formula)*WCMOD(Public formula)*WCRATE(Public Formula)

The outlined steps above enable you to influence your WC Basis using your WC Modification rate.

Whenever you make alterations to your software, testing is advised. To do so, input checks, process one, and subsequently, execute the WC Reports for validation.