This chapter provides overviews of methods of counting service periods and how pages are documented and discusses how to:
Set up elapsed time service.
Set up hours counting service.
Credit service based on hours worked.
Set up hours equivalence service.
There are two types of methods for counting service periods. The two hours methods, hours counting and hours equivalence, are based on the hours an employee works during a computation period. These methods require parameters for converting hours to service units. The elapsed time method is based on the time an employee works within a date range.
There are three methods of counting service periods:
Elapsed time—Calculates an employee's service by measuring the time between two dates—for example, between the hire date and the termination date. The amount of service credited does not depend on the hours the employee works during the time period.
Hours counting—Uses the actual number of hours an employee works in a computation period. Requires hours data provided by the hours consolidation process.
Hours equivalence—Credits an employee with a specific number of hours, based on the time spent in a “service included” status.
There is a component for each method.
See Also
Pages Used to Set Up Elapsed Time
Pages Used to Set Up Hours Counting Service
Pages Used to Set Up Hours Equivalence Service
In this chapter, the pages for each method are documented under their respective components—for example, the pages for the elapsed time method are documented under “Pages Used to Set Up Elapsed Time.” However, several pages are the same in more than one component—for example, the Service Status page is used in all three components. Where pages are common to multiple components, the pages appear in the “Pages Used” sections for each component. However, this chapter documents the details of the page usage only once; here it clarifies any differences in the way that you use the pages for different methods.
Note. A page may contain different fields or field values, depending on the options you select. For example, the lookup buttons appear on the Min/Max Hrs page only if you select Min or Max in the Limit field. If you select None, these buttons do not appear.
To set up elapsed time, use the Service-Elapsed Time (SERVICE_ELAPSED) component.
This section lists the pages used to set up elapsed time and discusses how to:
Define the elapsed time service counting method.
Set up elapsed time hours requirements.
Set up service statuses.
Add period rules.
Set up future status code adjustments.
View the effects of different adjustments.
Set up elapsed time rules.
Set up minimum and maximum service rules.
Set up adjustments to the total service amount.
Page Name |
Object Name |
Navigation |
Usage |
PA_SVC_DEFINIT_TM |
Set Up HRMS, Product Related, Pension, Components, Service - Elapsed Time, Service Definition |
Set up basic information about your service definition. |
|
PA_SVC_TIME_HRS |
Set Up HRMS, Product Related, Pension, Components, Service - Elapsed Time, Hours Requirement |
Set up hours thresholds that employees must meet before getting service credit for a computation period. |
|
PA_SVC_STATUS |
|
Establish which employee action and reason codes turn service accrual off and which turn service accrual on. |
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PA_SVC_ADD_PERIODS |
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Add time periods to action and reason effective dates. |
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PA_SVC_FUTURE_ADJ |
|
Set up service adjustments—for example, adjusting a current event with a future event. |
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PA_SVC_ELAPSED1 |
Set Up HRMS, Product Related, Pension, Components, Service - Elapsed Time Click the Elapsed Time Rule link on any page. |
Select the date math method for your service calculation result. |
|
PA_SVC_MIN_MAX_SVC |
Set Up HRMS, Product Related, Pension, Components, Service - Elapsed Time Click the Min/Max Service Rules link on any page. |
Break computation periods into segments, based on human resources (HR) status changes. |
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PA_SVC_FINAL_RND |
|
Set up any adjustments to the total service amount. |
To use the elapsed time method, you need to set up basic information about your definition. This includes a service period to be used in the elapsed time computation, any periods to exclude from service, and whether contributions are required.
Access the Service Definition page.
Service
Service Type |
When you access this page through the Service - Elapsed Time component, the type is always E (elapsed time). |
Copy |
This is a shortcut you can use to copy a similar definition. Establish the first definition, click the Copy button, enter a new name and description, and the system clones the original definition using the new name. You can then make whatever minor adjustments you need to the new definition. If you have to make major adjustments, consider creating the new definition from scratch instead of copying an existing definition. |
Computation Period
Period |
An elapsed time service definition specifies how to measure the duration between two dates, typically the hire date and the event date. When Pension Administration calculates elapsed time, however, this time is broken into computation periods. Total elapsed time is then the sum of the service credit for each period. Select one of the following period types:
|
First period is anniversary period
Note. Under this option, the employee receives double service credit for the period of time that falls in both the first and second periods.
Exclude Service Prior to and Exclude Service After
Date |
If you want to exclude service before or after a particular time, such as the participation date, enter a constant date or alias in the Exclude Service Prior to and Exclude Service After group boxes. |
Contributions
Required for Service |
Select this check box if employees must contribute to the plan in order to receive service credit. |
Contribution Name |
Enter the name of the employee accounts function result that keeps track of employee contributions. The employee accounts function creates a period-by-period history. If an employee makes contributions at any time during a period, the service function grants the employee service for that period. Note. PeopleSoft recommends using an employee accounts period identical to or shorter than the service computation period in order to more accurately align employee contributions to service periods. |
Elapsed time hours, also called thresholds, are the hours that employees must work before getting service credit for a computation period. For example, if your computation period is a calendar year, you can require employees to have at least 500 hours of service within a year before getting service credit.
Access the Hours Requirement page.
Service Requirement
Hours/Time - Hours Dependent and Not Dependent |
Select Hours/Time - Hours Dependent if the service requirement is dependent or Not Dependent if it is not dependent. If you select Not Dependent, you can make no further entries on this page. |
Hours Consolidation |
This directs the system to the appropriate hours history for determining whether an employee meets the threshold requirements. |
Projection Method |
This provides instructions for projecting hours, if necessary. |
Hours Threshold
Award Service Only If |
Enter the number of hours that an employee must work before getting service credit. |
An employee's HR status determines whether or not the employee accrues service. Status changes are reflected in the employee’s action and reason history in the PeopleSoft Enterprise Human Resources job records: hires, leaves, returns from leave, terminations, and any other action and reason codes you choose.
Sometimes you need to adjust the effective date of a status change. For example, if your plan gives service credit for the first 30 days of a leave, you need to indicate that the effective date of the leave must be adjusted by 30 days before service accrual ends. Further, you can indicate that this adjustment only occurs if the employee returns to work within a year.
Adjusting Action and Reason Effective Dates
Because you can make multiple adjustments to the effective date of a status change, you need to indicate the order in which adjustments are made. For example, you can indicate whether to round a date before or after adding time.
Access the Service Statuses page.
HR Status Adjustment Order
Future Status, Date Round, and Add Time to Date |
To indicate the order in which the system should apply the adjustments, enter 1, 2, and 3 next to the three adjustment types. You use subsequent pages to add time to the effective date or to set up adjustments, based on future status codes; you enter the rounding method on this page. Add Time to Date has no effect for hours counting service. Note. If an adjustment causes a date to overlap with the date of another status code, then calculations fail. |
Service Categories
Include |
Select this option if actions in the category start an include service segment. If the actions in the category start an exclude service segment, leave that option clear. Actions not specifically included in any of the categories on this page do not affect service status. Warning! Be sure to include both events that start and stop service. For example, if you stop service for a leave, be sure to start service for a return from leave. |
Category Type |
Set one of the following category types: H (Hire Category), T (Termination Category), or O (Other). The system uses this information when you set up adjustments that add time to a period. You specify whether the adjustments apply to hire periods, termination periods, or all periods. |
Category Name |
In the scrolling region of this page, select each HR action and reason category name that the service definition needs to look for. This includes reasons for starting include service segments and for starting exclude service segments. |
Date Round Option |
If you round the effective dates within a category of action and reason events, enter the rounding method next to the category. For example, you might round all hire and rehire dates to the first of the month. |
See Also
Creating Action and Reason Categories
Using Date Aliases and Date Options
Sometimes you may want to delay the effective date of an action and reason event. For example, if your employee can continue to accrue service for the first month of a leave, you need to adjust the effective date of any leave action by adding a month. Use the Service - Elapsed Time - Add Periods Rules page to add time periods to action and reason effective dates.
Access the Add Period Rules page.
Service Category
Category |
The scrolling region of the page shows each action and reason you entered on the Service Statuses page. |
Record Impacted |
Indicate which instances of a new status receive the adjustment by selecting one of the following: N (No Records Impacted), A (All), F (First Only), L (Last Only), X (All But First), Y (All But Last), or Z (All But First and Last). When you add time to an action and reason effective date, you give additional service or break-in-service time by delaying the impact of the change. You may not want to do this for each occurrence of an event. For example, you could grant the 30-day leave of absence adjustment only for the first leave and not adjust any subsequent leaves. If you selectNo Records Impacted, you can make no further entries on this page. |
Adjustment Rule
Periods to Add |
Select this option to indicate the type of period to add. Also, enter values in the following fields:
|
User Code |
Select this option to use a add a custom period. If you select this option, you can make no further entries on this page. |
The way you treat service for a particular HR status may depend on an employee’s subsequent status. For example, employees on leave might accrue service only if they later return to work. You can choose to adjust a current event, based on a future event—or you can adjust a future event, based on a second future event.
Access the Future Status Code Adjust page.
Category |
The scrolling region of the page shows each action and reason category that you entered on the Service Statuses page. Check each action and reason category, using the scrolling arrows, and enter as many adjustments as necessary. |
Adjustment |
For each adjustment, select one of the following types:
|
The tables in this section show the effects of making several types of adjustments.
Adding Time to the Effective Date of a Status Change
Actual Action |
Actual Date |
Adjusted Date |
Hire |
January 1, 1994 |
n/a |
Leave |
July 1, 1998 |
August 1, 1998 |
Return from leave |
May 1, 1999 |
n/a |
Terminate |
December 31, 2000 |
n/a |
Ignoring Current Status Change
Actual History |
Adjusted History |
Hire: January 1, 1994 |
Hire: January 1, 1994 |
Leave: July 1, 1998 |
n/a |
Return from leave: July 15, 1998 |
Return from leave: July 15, 1998 |
Terminate: December 31, 2000 |
Terminate: December 31, 2000 |
Ignoring Future Status Change
Actual History |
Adjusted History |
Hire: January 1, 1994 |
Hire: January 1, 1994 |
Leave: July 1, 1998 |
Leave: July 1, 1998 |
Terminate: July 15, 1998 |
n/a |
Rehire December 31, 1998 |
Rehire: December 31, 1998 |
Inserting an Additional Status Change
Actual History |
Adjusted History |
Hire: January 1, 1994 |
Hire: January 1, 1994 |
Leave: July 1, 1998 |
Leave: July 1, 1998 |
n/a |
Terminate: July 1, 1998 |
Elapsed time methods calculate the difference between two dates. You need to select the date math method for your service calculation result.
Access the Elapsed Time Rule page.
Duration Option |
Enter the name of the method you set up. |
See Also
Using Duration Aliases and Duration Options
The service function breaks computation periods into segments, based on HR status changes. For example, within a single year-long computation period, an employee might have a ten-month segment of active employment and a two-month segment of leave.
Some HR statuses might have associated minimum or maximum service accruals. For example, employees may be limited to a maximum of one year of service accrual while on leave. You need to set these limits.
Access the Min/Max Service Rules page.
Category |
The scrolling region of the page shows each action and reason category that you entered on the Service Statuses page. Check each action and reason category, using the scrolling arrows, and enter limits as necessary. You see both include and exclude categories; however, minimums and maximums only apply to the include service categories. |
Limit |
Indicate whether there is a limit on the service accrued for an employee who has the include status category. Select one of these options:
|
Total service amounts adjustments differ from the adjustments discussed earlier: They apply to an employee’s lifetime service total, not to the periodic totals generated for each elapsed time segment.
Access the Service Final Handling page.
Service Type
Final Service Result Units |
Select either M (Months) or Y (Years). |
Add Service Amount and Subtract Service Amount |
To add or subtract service from an employee’s otherwise final service, enter the adjustment amount in the Add Service Amount or Subtract Service Amount field. You can add or subtract either constant amounts or aliases. |
Minimum Service Amount and Maximum Service Amount |
To limit an employee’s otherwise final service to a specified minimum or maximum, enter the limit in the Minimum Service Amount or Maximum Service Amount field. You can enter either constant amounts or aliases. |
The action and reason dates for adding, adjusting, and rounding are processed before the action and reasons dates are blended. All other calculations are processed after the blending occurs.
See Also
Setting Up Service Function Results for Multiple Jobs
To set up hours counting service, use the Service-Hours Counting (SERVICE_HRS_CNT) and Service-Hours Equivalence (SERVICE_HRS_EQUIV) components.
This section list the pages used to set up hours counting service and discusses how to define the hours counting service method.
Page Name |
Object Name |
Navigation |
Usage |
PA_SVC_DEFINITION |
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Set up basic service information. |
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PA_SVC_HRS_TIME |
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Set up service period thresholds that employees must meet before getting service credit for a computation period. |
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PA_SVC_STATUS |
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Establish which employee action and reason codes turn service accrual off and which turn service accrual on. |
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PA_SVC_FUTURE_ADJ |
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Set up service adjustments—for example, adjusting a current event with a future event. |
|
PA_SVC_MIN_MAX_HRS |
|
Break computation periods into segments, based on HR status changes. |
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PA_SVC_HRS_CONVERT |
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Set up rules to convert hours to service. |
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PA_SVC_FINAL_RND |
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Set up any adjustments to the total service amount. |
Access the Svc. Def. (Service Definition) page.
Note. Most of the field information on this page is the same as for the elapsed time Service Definition page. Only the differences are documented here.
Service
Service Type |
When you access this page through the Service - Hours Counting component, the type is always C (hours counting). When you access this page through the Service - Hours Equivalence component, the type is always H (hours equivalence). |
Projection Method |
Set up your projection method on the Projections page, and enter the name of that method here. When you estimate a benefit for a future retirement date, you need to be able to project hours data for future periods. Note. The system displays this field and Hours Consolidation for the hours counting method only. |
Hours Consolidation |
Enter the name of your consolidation process here. An hours counting service definition is based on the number of hours worked during a specific period. The hours consolidation process provides the necessary hours data. |
Computation Period
Period |
An hours counting service definition is based on the number of hours worked during a specific period. |
Exclude Service Prior to/After
Date |
If the exclusion date occurs in the middle of an hours consolidation period, the system will prorate the total hours for the period to determine the number of hours to be excluded. To exclude hours based on the day they are earned, create an hours consolidation that excludes those hours. |
See Also
Setting Up Elapsed Time Service
Although you are setting up an hours counting service definition, you can set an elapsed time threshold that employees must meet before getting any service credit at all. For example, you could require employees to have nine months of elapsed time service in order to have their hours counted for a particular year.
Access the Time Rqmt. page.
Hours/Time Dependency Select
Hours/Time - Time Dependent |
Select to set a time threshold in the Hours Def Time Requirement group box. |
Hours/Time - No dependencies |
Select if there is no time threshold. |
Hours Def Time Requirement
Award Service only if |
Enter the number of periods that employees must work before getting service credit. |
Consecutive |
Enter either the type of period to which the periods apply: Consecutive Months (M) or Consecutive Years (Y). |
Hours counting service depends on the hours consolidation. Unless there is a minimum or maximum number of hours (real or projected) specified for a particular status, the service calculation uses whatever hours are provided. For example, if the consolidated hours includes hours from an employee’s leave of absence, then those hours are considered for service; the service function does not categorize those hours and cannot, therefore, exclude them.
This means that service statuses work very differently for hours counting than for elapsed time and hours equivalence. The latter two methods use statuses as the basis for granting or not granting service credit; hours counting uses actual hours, rather than statuses, for this purpose.
Note. To avoid crediting service for particular employee statuses, you must define your hours consolidation to exclude those hours.
Understanding Service Statuses and Hours Counting Service
In an hours counting definition, you identify service statuses for the following purposes:
Applying status-based minimum or maximum hours limits.
Identifying hire and termination periods if you use different hours-to-service conversion methods for those periods.
Establishing a link between the service definition and the employee.
These correspond to the following types of action and reason categories that you need to put into your service definition:
Action and reason categories that start and stop limited periods.
For example, if certain leaves of absence have a maximum of 500 hours, you must identify action and reason codes for both those leaves types and for returns from leave.
Categories of hire and termination actions.
Categories covering any action and reason that could appear as the first action in an employee’s job record. Normally a hire and rehire category covers this, but if your practices include using other actions for an employee’s initial job record, be sure those actions are incorporated into one of the service categories. Without this information, the system cannot match employees to definitions.
Because you do not need to make elaborate adjustments to an employee’s job history in order to apply service rules, you don’t necessarily need the same amount of service status detail as you would for an elapsed time service definition. However, it’s a good practice to enter included and excluded service statuses that match the way your consolidation handles hours from those statuses. For example, if you generate hours for certain kinds of leaves, those leaves would be service included statuses.
See Also
Hours equivalence definitions assign a specific number of hours per time period worked. For example, if the equivalence rate is 45 hours per week, an employee who is in service status for an entire year receives credit for 53 weeks (52 whole weeks and one partial week), or 2,385 hours.
The system uses an employee’s service status to determine whether or not to credit hours. It uses the action and reason codes in the employee's job record to determine the employee's service status.
See Also
Segments can have a minimum or maximum hours accrual based on the employee status. For example, an employee on leave could be limited to a 1000-hour maximum. Use the Min/Max Hrs page to indicate the hours limitations associated with specific categories of HR action and reason codes.
Access the Min/Max Hrs page.
Service - Min Max Hours
Limit |
To set an upper or lower limit on hours following a particular action until the next action from any of the other categories, select one of the following:
When there is a limit, enter the number of hours in the text box next to the Max field. |
Limitation Periods |
Limits always apply to either the computation period or the status period. If you select C (Computation Period), you can limit employees to 1000 hours per year while on leave. If you select S (Status Period), you can limit employees to 1000 hours for the total duration of the leave. If you select Computation Period, the limit applies only to the portion of the computation period when the employee is on leave. For example, for 2000 Miguel had 1250 total hours, but he was on leave for part of the year. The system first prorates the hours to allocate 250 hours to the period when Miguel was on leave. The limit of 1000 hours per computation period applies only to this 250 hours. In this case, therefore, the limit doesn’t change the total hours for the period. |
Allocation Period |
Miguel’s 1250 total leave hours fall into two computation periods. You have to reduce the total leave hours to 1000 using one of two Allocation Period options: C (Cut Off at Limit) or D (Spread Across Days). If you select Cut Off at Limit, the first 1000 hours are used, any additional hours are reduced to zero. In this case, the 250 hours in 1980 remain at 250 hours, the 1000 hours that fall in 1981 are reduced to 750. If you select Spread Across Days, the 1000 hours are evenly distributed across the days of leave. For example 250 days, for an average of four hours per day. If the first portion of the leave has 60 days, then it has 240 hours; the second portion of the leave, with the remaining 190 days, has 760 hours. |
Allocating Hours to Computation Periods
If your limitation period is the status period, the system still prorates hours within a computation period to determine how many hours fall into the specified status. If the hours violate the limit, you have to allocate the limited hours between two periods. For example, Miguel’s leave of absence extends into 2001, as shown in the following diagram:
Status period extends across computation periods
Miguel’s 1250 total leave hours fall into two computation periods. You have to reduce the total leave hours to 1000 using one of two Allocation Period options.
If you select Cut Off at Limit, then the first 1000 hours are used and any additional hours are reduced to zero. In this case, the 250 hours in 2000 remain at 250 hours, the 1000 hours that fall in 2001 are reduced to 750.
If you select Spread Across Days, the 1000 hours are evenly distributed across the days of leave—for example, 250 days—for an average of four hours per day. If the first portion of the leave has 60 days, then it has 240 hours; the second portion of the leave, with the remaining 190 days, has 760 hours.
For minimums, Cut Off at Limit adds any additional hours to the first segment. Spread Across Days increases the hours proportionally.
When you use an hours-based service definition, you need rules for converting the hours to service.
Access the Hrs to Svc Conv. page.
Period and Conversion Rule
Service Period |
You can use different conversion rules for the hire period and termination periods from those you use for a standard computation period. For example, you may use a ratio rule for hire and termination periods, but a zero or one rule for other periods. Select the Service Period for the rules you are establishing: A (All Periods), H (Hire Period), T (Termination Period). The Service function identifies hire and termination periods by the categories you established on the Service - Hours Counting - Service Statuses page. Note. Be sure to set up a rule for all periods. You can choose whether or not to set up additional rules for hire and termination periods. |
Hours Conversion Rule |
For each type of computation period, select an Hours Conversion Rule to establish the basis for your hours-to-service conversion:
|
Ratio Rule
Hours Divisor |
Enter the denominator. |
Decimal Places |
Indicate the number of decimal places for the division. |
Min Hours for Accrual |
Employees accrue of maximum of one service unit, even if the numerator is greater than the denominator. To set a threshold number of hours, enter the minimum hours for accrual. Employees with fewer hours receive no service credit. For example, if you enter 500, employees with less than 500 hours receive no service credit. |
Hours for One Service Unit |
Set the number of hours for one service unit. Employees with the specified number of hours or more automatically receive one service unit; additional hours do not add service. |
See Also
Crediting Service Based on Hours Worked
To credit service based on hours worked, use the Service Schedule (SVCSCHD) component.
This section lists the page used to credit service based on hours worked and discusses how to define specific service credits by hours worked.
Page Name |
Object Name |
Navigation |
Usage |
PA_TL_SVC_SCHD |
Set Up HRMS, Product Related, Pension, Calculation Rules, Service Schedule |
Shows the amount of service credited, based on the number of hours worked. |
When the system calculates employee service based on hours, the service definition requires a method for converting hours to service. The Service Schedule page shows the amount of service credited based on the number of hours worked.
Access the Service Schedule page.
Note. If two service definitions use an identical service schedule, you may still want to create separate copies of the schedule to isolate components.
Hours and Service |
Each row consists of a number of hours and the associated service credit. The system always interpolates by using the next higher value. In the example pictured, an employee with 500 hours receives no service credit, and an employee with 501 hours receives .25 credits. Note. Always set up service schedules with a zero service row. |
To set up hours equivalence service, use the Hours Equivalence Service (SERVICE_HRS_EQUIV) component.
This section list the pages used to set up hours equivalence service and discusses how to set up hours equivalence rules.
Page Name |
Object Name |
Navigation |
Usage |
PA_SVC_DEFINITION |
|
Set up basic service information. |
|
PA_SVC_HRS_TIME |
|
Set up service period thresholds that employees must meet before getting service credit for a computation period. |
|
PA_SVC_STATUS |
|
Establish which employee action and reason codes turn service accrual off and which turn service accrual on. |
|
PA_SVC_ADD_PERIODS |
|
Add time periods to action and reason effective dates. |
|
PA_SVC_FUTURE_ADJ |
|
Set up service adjustments—for example, adjusting a current event with a future event. |
|
PA_SVC_HREQV |
Set Up HRMS, Product Related, Pension, Components, Service - Hours Equivalence, Hours Equivalence Rules Click the Hrs. Equ. Rule link on any page. |
Specify how much credit to give for what time periods. |
|
PA_SVC_MIN_MAX_HRS |
|
Break computation periods into segments, based on HR status changes. |
|
PA_SVC_HRS_CONVERT |
|
Set up rules to convert hours to service. |
|
PA_SVC_FINAL_RND |
|
Set up any adjustments to the total service amount. |
See Also
Setting Up Elapsed Time Service
Setting Up Hours Counting Service
Under the hours equivalence method of service calculation, you associate specific periods of “include service” time with specific numbers of hours.
Access the Hours Equivalence Rules page.
Hours Equivalence Type
DOL Standard |
Select this option if you use the Department of Labor (DOL) minimum requirements. Also, select from the options in the DOL Standard Rules group box. |
Custom |
Select this option if you want to enter some other number of hours per period. Also, compete the Customized Equivalence Rules group box:
|
See Also