...
- Expand the Expense menu.
- Expand the Per Diem Setup menu.
- Click Deduction Rule
- Click the Add button.
- In the Effective Date field, enter a date from which this deduction will be effective.
- (V8.3 and higher) To assign the deduction rule to a specific Operating Unit, select a specific Operation Unit, otherwise leave the field as ALL
- (V8.3 and higher) To assign the deduction rule to a specific Department, select a specific Department, otherwise leave the field as ALL
- (V8.3 and higher) To assign the deduction rule to a specific Location, select a specific Location, otherwise leave the field as ALL
- If the deduction will apply to only one country, enter the country. Otherwise, leave this field as All
- If the deduction will apply only within one state in the selected country, enter the state. Otherwise, leave this field as All
- If the deduction will apply only within one city in the selected country/state combination, enter the city. Otherwise, leave this field as All
- In the ID field, select the expense type for which this deduction will apply. (See ID Field Definition table below)
- In the Value Type field:
- Select % of original rate for 1/2 day if the deduction is a percentage of money off the 1/2 day per diem rate.
- "Rule Based" option is selected in the ID field and specifies the deduction rule set in the "Deduction Rule" table should be based on the percentage of full daily rate
- Select % of original rate for 1/4 day if the deduction is a percentage of money off the 1/4 day per diem rate.
- "Rule Based" option is selected in the ID field and specifies the deduction rule set in the "Deduction Rule" table should be based on the percentage of full daily rate
- Select % of original rate for 3/4 day if the deduction is a percentage of money off the 3/4 day per diem rate.
- "Rule Based" option is selected in the ID field and specifies the deduction rule set in the "Deduction Rule" table should be based on the percentage of full daily rate
- Select % of original rate for full day if the deduction is a percentage of money off the full day per diem rate.
- "Rule Based" option is selected in the ID field and specifies the deduction rule set in the "Deduction Rule" table should be based on the percentage of full daily rate
- Select Absolute Value specified with a currency if the deduction is a specific amount of money.
- If "Rule Based" option is selected in the ID field this option specifies if the deduction rule set in the "Deduction Rule" table should be based on the absolute value instead of percentage.
- Select Absolute Value specified with a currency for 1/2 day if the deduction is a specific amount of money for the 1/2 day
- If "Rule Based" option is selected in the ID field this option specifies if the deduction rule set in the "Deduction Rule" table should be based on the absolute value instead of percentage.
- Select Absolute Value specified with a currency for 1/4 day if the deduction is a specific amount of money for the 1/4 day
- If "Rule Based" option is selected in the ID field this option specifies if the deduction rule set in the "Deduction Rule" table should be based on the absolute value instead of percentage.
- Select Absolute Value specified with a currency for 3/4 day if the deduction is a specific amount of money for the 3/4 day
- If "Rule Based" option is selected in the ID field this option specifies if the deduction rule set in the "Deduction Rule" table should be based on the absolute value instead of percentage.
- Select Absolute Value specified with a currency for full day if the deduction is a specific amount of money for the full day
- If "Rule Based" option is selected in the ID field this option specifies if the deduction rule set in the "Deduction Rule" table should be based on the absolute value instead of percentage.
- Select Percentage from Adjusted Per Diem Rate if the deduction is a percentage of the per diem rate after any other deductions have been applied (ex: Allowance Rule).
- If "Rule Based" option is selected in the ID field then this option specifies if the deduction rule set in the "Deduction Rule" table should be based on the percentage of the adjusted daily rate (so in case where 1st/last day 75% deduction is applied, the additional deduction will apply to the 75% of the daily rate)
- Select Percentage of Per Diem Rate. (Note: Currency is N/A if the deduction is a percentage of the per diem rate.)
- If "Rule Based" option is selected in the ID field, then this option specifies if the deduction rule set in the "Deduction Rule" table should be based on the percentage of full daily rate
- Select % of original rate for 1/2 day if the deduction is a percentage of money off the 1/2 day per diem rate.
- In the Breakout Flag Field:
- Select Yes, apply to adjusted per diem rate - System looks at the "Deduction Fixed Rate" table and applies adjusted deduction based on the adjusted daily rate.
- Select Yes, apply to original per diem rate - System looks at the "Deduction Fixed Rate" table and applies full deduction based on the fill per diem rate.
- Select No - System ignores the "Deduction Fixed Rate" and reads the deduction percentage/value set in the "Deduction Rule" table
...
The table below illustrates the effect on an expense report's per diem calculation for a user who enters a breakfast (20%), lunch (30%) and dinner (50%) while also claiming meals per diem of $50 per day.
Meals Per Diem | Meal Expense | Deduction | Per Diem Paid |
|---|---|---|---|
$50 | None | None | $50 |
$50 | Breakfast | $10 (20%) | $40 |
$50 | Lunch | $15 (30%) | $35 |
$50 | Dinner | $25 (50%) | $25 |
$50 | Breakfast, lunch and dinner | $50 (sum of the three above) | 0 |
Setting Up the Example
Reducing per diem for a breakfast charge
Field | Selection | Reason/Effect |
|---|---|---|
Effective Date | Any date before the meal expense occurs | Effective date must be the date of the expense to be effective. |
Expense Type | Breakfast | Deduction reduces per diem if there is a breakfast charge. |
Rate Flag | Percentage of Per Diem Rate | The deduction is to be a percentage of the meals per diem rate. |
Value/Percentage | 20 | Meals per diem is to be reduced 20% if there is a breakfast charge. |
Per Diem Type | Meals Per Diem | Deducts from meals per diem |
Reducing per diem for a lunch charge
Field | Selection | Reason/Effect |
|---|---|---|
Effective Date | Any date before the meal expense occurs | Effective date must be the date of the expense to be effective. |
Expense Type | Lunch | Deduction reduces per diem if there is a lunch charge. |
Rate Flag | Percentage of Per Diem Rate | The deduction is to be a percentage of the meals per diem rate. |
Value/Percentage | 30 | Meals per diem is to be reduced 30% if there is a lunch charge. |
Per Diem Type | Meals Per Diem | Deducts from meals per diem |
Reducing per diem for a dinner charge
Field | Selection | Reason/Effect |
|---|---|---|
Effective Date | Any date before the meal expense occurs | Effective date must be the date of the expense to be effective. |
Expense Type | Dinner | Deduction reduces per diem if there is a lunch charge. |
Rate Flag | Percentage of Per Diem Rate | The deduction is to be a percentage of the meals per diem rate. |
Value/Percentage | 50 | Meals per diem is to be reduced 50% if there is a dinner charge. |
Per Diem Type | Meals Per Diem | Deducts from meals per diem |
Effect on Expense Report
Action | Meals Per Diem Rate | Deduction's Effect | Employee Sees on Report |
|---|---|---|---|
Employee enters $15 breakfast expense for 2/1/2002 | $50 | Subtracts $10 (20%) from $50 per diem | A breakfast expense of $15 (deduction performed and explained when per diem entered and saved.) |
Employee enters $20 lunch expense for 2/2/2002 | $50 | Subtracts $15 (30%) from $50 per diem | A lunch expense of $20 (deduction performed and explained when per diem entered and saved) |
Employee enters $40 dinner expense for 2/3/2002 | $50 | Subtracts $25 (50%) from $50 per diem | A dinner expense of $40 (deduction performed and explained when per diem entered and saved. |
Employee enters per diem expense for 2/1/2002 to 2/3/2002. | $50 | Per diem calculated at $150 | Per diem of $150, with three separate deductions totaling $50, leaving $100 per diem payable to employee, plus the three meals totaling $75. Total due to employee = $175. |
ID Field Definition of Provided/Taken and Rule Based
Note: When the non-rule based Provided/Taken are being used the system option needs to be setup to specify if the deduction/allocation should be based on the full rate or adjusted rate (this is in system options)
ID Field | Definition/Effect |
|---|---|
| [Breakfast Provided Rule Based] | System reads the deduction rate specified in the Value/Percentage field in the Deduction Rule table and ignores the "Deduction Fixed Rate" table for breakfast |
[Breakfast Provided] | System looks at the "Deduction Fixed Rate" table to read the deduction amount for breakfast |
| [Breakfast Taken Rule Based] | System reads the deduction rate specified in the Value/Percentage field in the Deduction Rule table and ignores the "Deduction Fixed Rate" table for breakfast |
| [Breakfast Taken] | System looks at the "Deduction Fixed Rate" table to read the breakout amount for breakfast |
| [Breakfast, Lunch, Dinner Provided Rule Based] | System reads the deduction rate specified in the Value/Percentage field in the Deduction Rule table and ignores the "Deduction Fixed Rate" table for breakfast, lunch, and dinner |
| [Breakfast, Lunch, Dinner Taken Rule Based] | System reads the deduction rate specified in the Value/Percentage field in the Deduction Rule table and ignores the "Deduction Fixed Rate" table for breakfast, lunch, and dinner |
| [Dinner Provided Rule Based] | System reads the deduction rate specified in the Value/Percentage field in the Deduction Rule table and ignores the "Deduction Fixed Rate" table for dinner |
| [Dinner Provided] | System looks at the "Deduction Fixed Rate" table to read the deduction amount for dinner |
[Dinner Taken Rule Based] | System reads the deduction rate specified in the Value/Percentage field in the Deduction Rule table and ignores the "Deduction Fixed Rate" table for dinner |
[Dinner Taken] | System looks at the "Deduction Fixed Rate" table to read the breakout amount for dinner |
[Lunch Provided Rule Based] | System reads the deduction rate specified in the Value/Percentage field in the Deduction Rule table and ignores the "Deduction Fixed Rate" table for lunch |
[Lunch Provided] | System looks at the "Deduction Fixed Rate" table to read the deduction amount for lunch |
[Lunch Taken Rule Based] | System reads the deduction rate specified in the Value/Percentage field in the Deduction Rule table and ignores the "Deduction Fixed Rate" table for lunch |
[Lunch Taken] | System looks at the "Deduction Fixed Rate" table to read the breakout amount for lunch |
| [One Meal Provided] | System looks at the "Deduction Fixed Rate" table to read the deduction amount for one meal |
| [One Meal Taken] | System looks at the "Deduction Fixed Rate" table to read the breakout amount for one meal |
| [Three Meals Provided] | System looks at the "Deduction Fixed Rate" table to read the deduction amount for three meals |
| [Three Meals Taken] | System looks at the "Deduction Fixed Rate" table to read the breakout amount for three meals |
| [Two Meals Provided] | System looks at the "Deduction Fixed Rate" table to read the deduction amount for two meals |
| [Two Meals Taken] | System looks at the "Deduction Fixed Rate" table to read the breakout amount for two meals |