Understanding Allowances

This chapter discusses:

Allowance types.
Allowance calculations.
Allowance brackets.
Allowance earnings and deductions.

Note. The PeopleSoft system delivers a query that you can run to view the names of all delivered elements designed for France. Instructions for running the query are provided in the PeopleSoft Enterprise Global Payroll 9.0 PeopleBook.

Understanding Allowance Types

A payee may be entitled to a variety of allowances, paid in addition to the regular salary. These allowances are in four main categories:

Allowances linked to a breach of contract (termination):
- Compensation in lieu of paid holidays not yet taken.
- Severance allowance.
- End of fixed-term contract allowance.
- Retirement allowance.
Transportation allowances:
- Paris.
- Provinces.
- Mileage allowance.

Note. There are different allowance rates for people living in Paris and in the provinces. Motorists may also be entitled to a mileage allowance for driving to work.

Benefits in kind:
- Meal benefit in kind.
- Lodging benefit in kind.
- Car benefit in kind.
- Other benefits in kind.
Meal and travel allowances:
- Meal/travel allowance.
- Meal tickets.

Some allowances are subject to social contributions and taxes and some are not.

Understanding Allowance Calculation

This section discusses how Global Payroll for France determines eligibility for allowances and calculates the allowance values for:

Compensation in lieu of paid holidays not taken (ICCP).
Severance allowance.
End of fixed-term contract allowance.
Retirement allowance.
Transportation allowances.
Independent transportation allowance.
Benefits in kind.
Meal allowances.
Meal tickets.

See Also

Setting Up Overrides

Working with Positive Input

Understanding AFB Rules

Understanding Net Guarantee Processing

Compensation in Lieu of Paid Holidays Not Taken

When a contract is terminated and the payee has not taken his or her vacation entitlement, he or she is entitled to payment in lieu of the holiday entitlement. In the case of termination because of gross misconduct (faute lourde), compensation in lieu of paid holidays is not paid for vacation acquired during the current period.

This table lists the earnings defined for compensation in lieu of holiday:

Earning	Description
CP ICCP A2, CP ICCP A1, and CP ICCP A	Triggered by a termination, irrespective of the Action/Reason code. These earnings calculate compensation in lieu of paid holiday up to three years in the past.
CP ICCP 1A	Calculates compensation for the current vacation year. This earning is dependent on the Action/Reason for the termination. The bracket IND BR FIN CONT assigns a value to the variable IND VR DR ICCP that determines whether the earning is processed. You must update the bracket to indicate the Action/Reason codes that trigger this earning.

Here is an example of how the allowance is calculated.

If a company's vacation year begins on June 1 and ends on May 31 of the following year and a payee leaves the company on October 2, 2000, the compensation in lieu of paid holiday earnings are calculated as follows:

CP ICCP A2 retrieves the allowance for vacation not taken during the vacation year June 1, 1997 through May 31, 1998.
CP ICCP A1 retrieves the allowance for vacation not taken during the vacation year June 1, 1998 through May 31, 1999.
CP ICCP A retrieves the allowance for the vacation year June 1, 1999 through May 31, 2000.
CP ICCP 1A retrieves the allowance for vacation granted (but not taken) between June 1, 2000 and October 2, 2000 (if the bracket retrieves a value for the variable IND VR DT ICCP equal to 1 for the departure reason).

The amount of compensation in lieu of paid holidays (days not taken) is calculated as follows:

The balance for the period is calculated using the 1/10^th rule.
The balance for the period is calculated using the salary uphold rule.
The more favorable of the two balances is used.

Note. This allowance is paid with the final paycheck. It is liable to social contributions and is taxable.

Severance Allowance

Severance allowance is activated at the time of final pay. There is a statutory minimum severance allowance, but many companies have agreements that pay more than this amount.

This table lists the PeopleSoft-delivered earnings for calculating severance allowances:

Earning	Description
IND LICENC	This earning calculates the statutory severance allowance. The salary base for the allowance is the gross salary average of the last three months or the gross salary average of the last 12 months, whichever is greatest.
IND LICENC 2	This earning is provided as sample data. You can use it if you have a severance allowance defined by the collective agreement with rules that differ from the statutory ones. If you decide to use it, you must determine when you want it to be triggered and adapt the calculation to meet your needs.

Note. To qualify for this allowance, the payee should be laid off (except for reasons of gross misconduct) and should have had at least two years of uninterrupted service with the same employer. Fixed-term contractors, apprenticeship contractors, and other payees with some specific contracts are not eligible for the severance allowance.

These brackets are used to calculate this allowance:

IND BR DT SPEC.

This bracket controls, based on contract type, entitlement to the different allowances that can be paid when a termination occurs.
IND BR FIN CONT.

This bracket controls, by action/reason value, entitlement to the different allowances that can be paid when a termination occurs.
IND BR IND LIC.

This bracket can be used to define the values used to calculate the severance allowance. By default, this bracket returns the values defined by law (that is, payment of 1/10^th the monthly salary per year of seniority up to ten years, and payment of 1/15^the the monthly salary per year of seniority after ten years of employment). You can modify these values as needed.

See Also

Understanding Allowance Brackets

End of Fixed-Term Contract Allowance

PeopleSoft delivers the earning IND FIN CONT to calculate the end of fixed-term contract allowance.

As defined by PeopleSoft, this earning is calculated when:

A payee is terminated with an action of TER (termination) and a reason of EAB (employer's anticipated breach) or EFT (end of fixed-term contract).

This entitlement is set up in the bracket IND BR FIN CONT by specifying the values of the action and reason variables (GEN VR ACTION and GEN VR MOTIF) that entitle a payee to the allowance. In this bracket, the return column variable IND VR DT IFC returns a 1 or a 0: a 1 if the allowance can be paid, and a 0 if the allowance cannot be paid.
The payee has a contract type of CDD.

This entitlement is set up in the bracket IND BR DT SPEC by specifying the value of the contract type system element (CONTRACT TYPE) that entitles a payee to the allowance. In this bracket, the return column variable IND VR DP IFC returns a 1 or a 0: a 1 if the allowance can be paid, and a 0 if the allowance cannot be paid.

To modify this allowance, or to calculate the allowance when other action/reason values are entered in the Job Data component and for other contract types, you must specify the valid action/reasons and contract types in the brackets IND BR FIN CONT and IND BR DT SPEC.

See IND BR FIN CONT (End of Contract Entitlements), IND BR DT SPEC (Contract Type Specific Entitlements).

Retirement Allowance

The entitlement for retirement allowance varies depending on whether the retirement is voluntary or imposed by the employer. The payments are triggered with a generation control when the contract end date is included in the pay period. Enter the contract end date in the Contract Data page in PeopleSoft Enterprise Human Resources.

This table lists the PeopleSoft-delivered earnings for calculating the retirement allowance:

Earning	Description
IND DEP RET	This earning is used to calculate voluntary retirement allowances.
IND MISE RET	This earning is used to calculate statutory retirement allowances.

Eligibility for this allowance depends on contract type and the reason for termination. The calculation of the allowance amount is dependent on the employee's labor agreement and category.

The following brackets are used to calculate the retirement allowance:

IND BR DT SPEC.
IND BR FIN CONT.
IND BR DEP RET.

Note. The bracket IND BR DEP RET retrieves the rule for calculating the voluntary retirement allowance IND DEP RET. The statutory retirement allowance, IND MISE RET, uses the same calculation rules and formulas as the severance allowance. It does not use the bracket IND BR DEP RET.

See Also

Understanding Allowance Brackets

Transportation Allowances

Payees living or working in Paris and the area around Paris (Région Parisienne) are entitled to special transportation allowances based on the number of zones they have to travel through on the way to work. There is no legal transportation allowance for people living and working outside the Paris area.

The transportation allowance for payees living and working in or around Paris is paid at 50 percent of the cost of a weekly, monthly, or annual travel ticket. Payees living outside Paris, but working within it, or living inside and working outside, are entitled to a reduced allowance, as are people living and working outside the city but travelling across it to get to work.

The amount is contained in an earning, CARTE ORANGE, and is triggered by earning or deduction assignment or by positive input. The calculation rule for this earning is Unit x Rate x Percent.

The number of tickets to reimburse is the unit and is entered at the payee level (you must override the unit with the number of tickets that you want to pay back).

The calculation of the allowance also requires information stored in three variables. You must define the values of these variables using supporting element overrides. This table lists the variables required for the calculation of the transportation allowance:

Variable	Description	How it is Used
IND VR CO NZ	Area number of the Carte Orange (allowance code)	Enter the area number in this variable using a supporting element override. If you do not enter this value as an override or enter the wrong value, the payment will be in error. The valid area values are contained in the bracket IND BR C ORANGE.
IND VR CO FA	Frequency of ticket purchase	IND VR CO FA is used to store the frequency of purchase of the transportation card. The possible values here are: S for a weekly transportation ticket and A for a yearly transportation ticket. If this variable is not populated, the system assumes, by default, that the purchase frequency is monthly. This variable is used to select the correct reimbursement amount. The bracket IND BR C ORANGE retrieves the amount (cost) of the weekly, monthly, and yearly transportation ticket. Note. The ticket cost depends on the frequency stored in IND VR CO FA and is returned by the bracket IND BR C ORANGE (the cost populates the rate component in the calculation rule of the earning CARTE ORANGE).
IND VR CO%	Reimbursement percentage (default rate)	The variable IND VR CO% stores the percentage used in the calculation rule of the earning CARTE ORANGE. By default, this percentage is equal to 50 percent. However, you can override this percentage by entering a supporting element override.

Note. You can enter supporting element overrides on the Element Detail page of the Element Assignment by Payee component (GP_ED_PYE), or on the Element Detail page of the Payee Assignment by Element component (GP_ED_ELEM). You can also enter supporting element overrides on the Positive Input - Details page of the One Time (Positive Input) component (GP_PI_MNL_ERNDED).

Independent Transportation Allowance

Payees who do not use public transportation may be entitled to these allowances:

Transportation allowance.

There is no legal obligation for payees living and working outside Paris to receive a transportation allowance. Special rules may be defined by collective agreements.

This allowance is managed using payee assignments and is calculated by the earning IND TRANSPOR. To trigger this earning, you must assign it to individual payees using the Element Assignment by Payee (GP_ED_PYE) or Payee Assignment by Element (GP_ED_ELEM) components, or the One Time (Positive Input) component (GP_PI_MNL_ERNDED).

The amount that you want to reimburse must be entered in the amount field of the override if the amount is different from the statutory allowance.
Mileage allowance.

The mileage allowance is stored in the earning IND KILOMETR. The calculation rule for this earning is rate x unit, where the unit is the number of kilometers traveled and the rate is the reimbursement rate.

The payment of the allowance is triggered by positive input and the user must override the unit and rate fields with the amounts needed.

This table indicates which premiums and reimbursements for transportation expenses are exempt from social security contributions and income tax.

Premium Reimbursement	Exemption from social security contributions Paris area	Exemption from social security contributions Provinces	Exemption from the income tax (*) and the tax on salaries Paris area	Exemption from the income tax (*) and the tax on salaries Provinces
Payment of the statutory independent transport allowance	Yes	Yes	Yes	Yes
50% reimbursement of the transportation ticket (Paris area)	Yes		Yes
More than 50% (general case)	Yes, if the company can supply proof of the expenses.		Yes, up to a limit of 50% of the transportation ticket.
Payee applying a fixed deduction for professional expenses	Yes, up to a limit of 50% of the transportation ticket.		Yes, up to a limit of 50% of the transportation ticket.
Total or partial financial liability for transportation expenses (provinces)		Yes, up to the 2^nd class rate (SNCF or other transportation companies).	Yes, up to the limit of the statutory independent transport allowance.	Yes, up to the limit of the statutory independent transport allowance.
Payee applying a fixed deduction for professional expenses		Yes, up to the limit of the statutory independent transport allowance.	Yes, up to the limit of the statutory independent transport allowance.	Yes, up to the limit of the statutory independent transport allowance.

(*) Except if for real professional expenses deduction.

Note. Global Payroll for France manages only the Paris Carte Orange reimbursement and the reimbursement of independent transport allowance. PeopleSoft do not provide any logic to differentiate between other transportation premiums and reimbursement amounts that are liable or not liable for social security contributions and income tax. You must define the rules yourself.

Benefits in Kind

Benefits in kind are goods or services provided by the employer that are not essential for carrying out professional activities.

Each benefit in kind produces an earning included in the gross salary and liable for social security contributions, and a deduction of the same amount, on the net salary. This section discusses:

Meal benefit in kind.
Lodging benefit in kind.
Meal and lodging benefits in kind and net guarantee calculation.
Car benefit in kind.
Other benefits in kind.

Meal Benefit In Kind

This table lists the earnings and deduction delivered to process meal benefits in kind:

Element	Description
AN NOURRITUR	This earning calculates the meal benefit and is triggered by positive input. The calculation rule for the earning is rate x unit (number of meals), with the unit being entered as positive input. The rate is equal to a lump sum amount stored in the variable IND VR AN NOUR FOR.
AN NOUR REG	Note. This element is no longer used due to changes in the calculation of the meal benefit after 1 January 2003.
AN NOUR DED	This deduction reduces the net salary. It is equal to the benefit in kind, AN NOURRITUR, plus the adjustment AN NOUR REG calculated during the period. AN NOUR DED is calculated automatically by the payroll process.

Note. Apprentices are calculated using a specific formula.

Lodging Benefit In Kind

Lodging benefit in kind is calculated on the same fixed base as the meal benefit in kind, with two rates, depending on the monthly salary. This table lists the earnings and deduction delivered to process lodging benefits in kind:

Element	Description
AN LOGEMENT	This earning calculates the lodging benefit and is triggered by positive input. To process the earning, you must specify the number of rooms by entering a supporting element override for the variable IND VR AN L NP. The calculation of the benefit in kind is based on statutory values stored in the bracket IND BR AN LOGEMENT, and depends on the number of rooms in the accommodation and on the employee salary as compared to the monthly social security ceiling.
AN LOGEM REG	Note. This element is no longer used due to changes in the calculation of the lodging benefit after 1 January 2003.
AN LOGE DED	This deduction reduces the net salary. It is equal to the benefit in kind, AN LOGEMENT, plus the adjustment AN LOGEM REG calculated during the period. AN LOGE DED is calculated automatically by the payroll process.

Note. Apprentices are calculated using a specific formula.

Lodging Benefit in Kind and the Net Guarantee Calculation

The lodging benefit in kind values vary depending on the gross salary, which is affected by the net guarantee process. At each iteration of this process, the gross salary is adjusted until the target net salary is reached. Because the gross salary can go above and below the social security ceiling after each iteration, the benefit in kind could also vary. This can cause instability in the net guarantee calculation. To avoid this, the lodging benefit in kind valuation is not included in the net guarantee iterative process.

Note. The lodging benefit is calculated in the process list after the IJSS section and before the net guarantee calculation section. This means that it is calculated without taking into account the IJSS adjustment value (the result of the Net Guarantee calculation). If you want to calculate the benefit in kind taking into account the net guarantee calculation, place the benefit in kind section IND SE AVT NATURE after the net guarantee sections GEN SE GARANTI NET and GEN SE IJSS AJUST. But in this case, the net guarantee calculation can’t be guaranteed.

Note. PeopleSoft recommends that you do not include the benefit in kind calculation in the net guarantee iterative process.

Car Benefit in Kind

The real value of a car given to a payee is considered a benefit in kind. If a car belongs to the company, but is allocated to a payee, it is also considered a benefit in kind, calculated with the mileage allowances bracket. This bracket is provided by the tax office and is not managed by PeopleSoft.

This table lists the earnings and deduction delivered to process the car benefit in kind:

Element	Description
AN VEHICULE	This earning has a calculation rule of Amount, with the Amount Type set to Payee Level. It stores the car benefit and is triggered by positive input.
AN VEHIC REG	This earning is used to supplement the car benefit in kind using the positive input page.
AN VEHI DED	This is the deduction used for the car benefit in kind. It is deducted from net salary and is calculated automatically by the payroll process.

Other Benefits in Kind

Non-professional travel, company-sponsored lotteries, competitions, and other similar benefits are considered benefits in kind. This table lists the earnings and deduction delivered to process other benefit in kind:

Element	Description
AN AUTRES	This earning has a calculation rule of Amount, with the Amount Type set to Payee Level. It stores other benefits in kind and is triggered by positive input.
AN VEHIC REG	This earning is used to supplement other benefits in kind using the positive input page.
AN AUTRES DE	This is the deduction used for other benefits in kind. It is deducted from net salary and is calculated automatically by the payroll process.

Meal Allowances

There are two meal allowances, one for day workers and one for night workers. Because meal allowances may or may not be subject to contributions, PeopleSoft has defined four earnings. This table describes the delivered earnings:

Earning	Description
PANIER J I	This daytime allowance is subject to contributions. To trigger the day meal allowance, you must enter positive input for the earning PANIER J I. The unit of positive input is equal to the number of meal allowances to be paid. Meal allowances are not subject to contributions if they are calculated using the legal meal allowance rate stored in the variable IND VR PR PANIER. If you want to pay meal allowances based on a value greater than the legal rate, you must specify the value to use by entering a supporting element override for the variable IND VR PANIER J. If the variable IND VR PANIER J is overridden by an amount over the legal rate, the portion over this rate is used as the rate for the earning PANIER J I. Note. You can enter supporting element overrides on the Positive Input - Details page of the One Time (Positive Input) component (GP_PI_MNL_ERNDED).
PANIER J NI	This daytime allowance is not subject to contributions. The earning PANIER J NI has as its unit the number of meals entered by positive input for the earning PANIER J I, and the rate is the statutory meal allowance rate stored in the variable IND VR PR PANIER.
PANIER N I	This night allowance is subject to contributions. To trigger night meal allowances, you must enter positive input for the earning PANIER N I. The unit of positive input is equal to the number of meal allowances to be paid. Meal allowances are not subject to contributions if they are calculated using the legal meal allowance rate stored in the variable IND VR PR PANIER. If you want to pay meal allowances based on a value greater than the legal rate, you must specify the value to use by entering a supporting element override for the variable IND VR PANIER N. If the variable IND VR PANIER N is overridden by an amount over the legal rate, the portion over this rate is used as the rate for the earning PANIER N NI. Note. You can enter supporting element overrides on the Positive Input - Details page of the One Time (Positive Input) component (GP_PI_MNL_ERNDED).
PANIER N NI	This night allowance is not subject to contributions. If the variable IND VR PANIER N is not overridden or the variable is overridden by an amount less than 1.5 times the legal rate, the night allowances is not be liable to contributions and is paid by the earning PANIER N NI.

Note. For the meal allowances, you must enter a positive input for the earnings that are subject to contributions (PANIER J I and PANIER N I), but the process determines if these allowances are subject to contributions depending on the values of the variables IND VR PANIER J and IND VR PANIER N.

Here are two examples of how the PANIER J I and PANIER J NI earnings are calculated:

Example 1:
- Legal Meal Allowance Rate= 2,85.
- Positive Input for the earning PANIER J I.
- Unit = 2,25.
- Supporting element override for the variable IND VR PANIER J = 4,50.
- In this case, the earning PANIER J I is equal to 2,25 x (4,50 − 2,85) = 3,71.
- And the earning PANIER J NI is equal to 2,25 x 2,85 = 6,41.
Example 2:
- Positive Input for the earning PANIER J I:
- Unit = 2,25.
- No supporting element override for the variable IND VR PANIER J.
- In this case, the earning PANIER J I is equal to 0.
- And the earning PANIER J NI is equal to 2,25 x 2,85 = 6,41.

Note. If the variable IND VR PANIER J is overridden by an amount under the value of the legal rate, the allowance paid is calculated by PANIER J NI and the base is equal to the legal rate (not to the amount defined for the variable IND VR PANIER J).

Meal Tickets

Meal tickets may be issued to employees who can justify taking a meal during working hours. There is an upper limit, and the employer may be exempt from some social security contributions.

This table lists the earnings and deductions for meal tickets:

Earning or Deduction	Description
TR EMP NI	This earning calculates the number of meal tickets not liable to contributions. TR EMP NI uses the bracket IND BR TIT REST to retrieve the amount of the employer’s contribution to the meal ticket (stored in the return column variable IND BR TIT REST) that is not subject to social contributions. To process this earning, you must enter the number of meal tickets given to the payee using positive input. Because this earning calculates the number of meal tickets not liable to contributions, it is not included in the salary nor does it appear on the payslip as the monetary counterpart of the earning.
TR EMP I	This earning calculates the part of the meal tickets liable to contributions. TR EMP I uses the bracket IND BR TIT REST to retrieve the amount of the employer’s contribution to the meal ticket that is subject to social contributions. This amount is stored in the return column variable IND VR TR EMP I. The Unit in the calculation rule of this earning is the number of meal tickets entered by positive input for the earning TR EMP NI. If the employer does not have to pay a contribution for the meal tickets given, the bracket IND BR TIT REST returns a 0 as the value of the variable IND VR TR EMP I.
TR EMP I DED	This deduction calculates the number of meal tickets liable to contribution. These meal tickets add to the gross salary; to offset this increase, you must subtract the monetary amount of the meal ticket from the net salary to avoid doubling the payment. This deduction uses the bracket IND BR TIT REST to retrieve the amount of the employer’s contribution (stored in the return column variable IND VR TR EMP I) that is subject to social contributions and deducts it from the net salary. The unit of this deduction is the amount entered as positive input for the earning TR EMP NI.
TR SAL DED	This deduction retrieves the portion of the meal tickets that is paid directly by the payee. This deduction uses the bracket IND BR TIT REST to retrieve the payee’s contribution to the meal ticket (stored in the return column variable IND VR TR SAL NI) and deducts it from the net salary. The unit of this deduction is the amount entered as positive input for the earning TR EMP NI.

See Also

IND BR TIT REST (Meal Tickets)

Understanding Allowance Brackets

This section discusses these allowance brackets:

IND BR FIN CONT (End of Contract Entitlements).
IND BR DT SPEC (Contract Type Specific Entitlements).
IND BR IND LIC (Severance allowance entitlements).
IND BR DEP RET (Retirement Allowance entitlements).
IND BR C ORANGE (Paris transportation allowance).
IND BR TIT REST (Meal tickets).

IND BR FIN CONT (End of Contract Entitlements)

This bracket is used to determine entitlement for the following allowances:

Compensation In Lieu of Paid Holidays not Taken.
Severance Allowance.
End of Fixed-Term Contract Allowance.
Retirement Allowance.

Note. This bracket works in combination with other brackets—including IND BR DT SPEC, IND BR IND LIC, and IND BR DEP RET—to determine entitlement for many of the allowances discussed in this chapter.

This table lists the search keys and return columns for IND BR FIN CONT:

Search Keys	Use/Description	Return Columns	Use/Description
GEN VR ACTION	Contains the Action code that triggers the allowance. Note. The value of GEN VR ACTION on the Data page of the Bracket is set to TER or RET because the bracket applies to termination allowances.	IND BR FIN CONT	The value of this element is not used.
GEN VR MOTIF	Contains the Reason code that triggers the allowance. You must update the reason codes in the bracket to indicate the reasons a payee may be entitled to the allowances.	IND VR DT ICCP	This variable is used to trigger the allowance CP ICCP 1A (compensation in lieu of paid holiday) and must be assigned a value of true or false (1 or 0). 1 triggers the allowance, while 0 prevents payment. Note. The variable must be set to 0 if the termination reason is gross misconduct.
		IND VR DT IFC	This variable is used to determine entitlement to the end of fixed-term contract allowance IND FIN CONT and must be assigned a value of true or false (1 or 0). 1 triggers the allowance, while 0 prevents payment.
		IND VR DT LIC	The variable IND VR DT LIC is used to determine entitlement to the severance allowance IND LICENC and IND LICENC 2. If the variable returns a value of true (1), the payee is entitled to the severance allowance as determined by the Action/Reason. If the value returned is equal to false (0), the Action/Reason does not give entitlement to the severance allowance.
		IND VR DT LIC ECO	This variable is used to determine if economic redundancy is the reason for a termination. This variable will be taken into consideration only if the variable IND VR DT LIC returns a value of true (1 for redundancy termination. If the variable returns a value of true (1), the payee is entitled to have his or her severance allowance doubled compared to the standard allowance (if notification of the redundancy occurred after May 7, 2002).
		IND VR DT D RET	This variable is used to determine entitlement to the voluntary retirement allowance IND DEP RET and must be assigned a value of true or false (1 or 0). If the variable has a value of true (1), the payee is entitled to the allowance. Note. An additional condition must be satisfied for this allowance to be paid, as determined by the bracket IND BR DT SPEC.
		IND VR DT M RET	This variable is used to determine entitlement to the statutory retirement allowance IND MISE RET and must be assigned a value of true or false (1 or 0). If the variable has a value of true (1), the payee is entitled to the allowance. Note. An additional condition must be satisfied for this allowance to be paid, as determined by the bracket IND BR DT SPEC.

Sample Values

This table lists sample values that you can use as a model for configuring the bracket:

GEN VR ACTION	GEN VR MOTIF	Bracket	IND VR DT ICCP
TER	ATC	1	1
TER	CON	1	1
TER	CDE	1	1
TER	DEA	1	1

Examples

If a payee is laid off and the reason for the payee’s departure is gross misconduct (faute lourde), the payee is not eligible for the following:

The severance allowance (the value of the bracket element should be zero).
The end of fixed-term contract allowance (the return value of the variable IND VR DT IFC should be set to zero).

Note. For a departure reason equal to end of fixed-term contract, the variables IND VR DT IFC and IND VR DT ICCP should be set to 1.
The paid vacation allowances for the current period (the return value of the variable IND VR DT ICCP should be set to zero).
The retirement allowances (the return values of the variables IND VR DT M RET and IND VR DT D RET should be set to zero).

IND BR DT SPEC (Contract Type Specific Entitlements)

This bracket is used to determine entitlement for the following allowances:

Severance Allowance.
End of Fixed-Term Contract Allowance.
Retirement Allowance.

Note. This bracket works in combination with other brackets—including IND BR FIN CONT, IND BR IND LIC, and IND BR DEP RET—to determine entitlement for a number of different allowances.

The following table lists the search keys and return columns for IND BR DT SPEC:

Search Keys	Use/Description	Return Columns	Use/Description
CONTRACT TYPE	Because this bracket is for entitlements that vary by contract, the search key is CONTRACT TYPE. Currently, this bracket is defined for only two contract types: CDD and CDI. If you define a new contract type for which you want to grant an entitlement, you must update the bracket.	IND BR DT SPEC	The bracket element IND BR DT SPEC is used to determine entitlement to the severance allowance IND LICENC and IND LICENC 2. If the bracket element returns a value of true (1), the payee is entitled to the severance allowance as determined by the contract type. If the value returned is equal to false (0), the contract type does not give entitlement to the severance allowance.
		IND VR DP IFC	This variable serves to determine entitlement for the end of fixed-term contract allowance IND FIN CONT and must be assigned a value of true or false (1 or 0). 1 means that the end of fixed term contract allowance can be paid for the type of contract defined, while 0prevents payment.
		IND VR DP DEP RET	This variable is used to determine entitlement to the voluntary retirement allowance IND DEP RET and must be assigned a value of true or false (1 or 0). If the variable returns a value of true (1), the allowance can be paid. Note. An additional condition must be satisfied for this allowance to be paid, as determined by the bracket IND BR FIN CONT.
		IND VR DP MIS RET	The variable IND VR MIS RET is used to determine entitlement to the statutory retirement allowance IND MISE RET and must be assigned a value of true or false (1 or 0). If the variable returns a value of true (1), the allowance can be paid. Note. An additional condition must be satisfied for this allowance to be paid, as determined by the bracket IND BR FIN CONT.

Sample Values

This table lists sample values that you can use as a model for configuring the bracket.

CONTRACT TYPE	IND BR DT SPEC	IND VR DP IFC	IND VR DP DEP RET	IND VR DP MIS RET
CDD		1
CDI	1		1	1

IND BR IND LIC (Severance Allowance Entitlements)

This bracket retrieves values used in the severance allowance calculation.

Note. This bracket works in combination with the brackets IND BR FIN CONT and IND BR DT SPEC to determine the severance allowance.

The following table lists the search keys and return columns for IND BR IND LIC:

Search Keys	Use/Description	Return Columns	Use/Description
GP TEMP001 CHAR	If you want to define the bracket according to the labor agreement, populate this temporary variable with the labor agreement before the bracket is resolved. You must also specify the labor agreement value in the bracket definition and indicate the return values for the labor agreement.	IND BR IND LIC	The bracket element IND BR IND LIC returns values used to determine the salaries used in the severance allowance calculation. A return value of 1 indicates that the calculation should use the average salary of the last 12 months. A return value of 2 indicates that the calculation should use the average salary of the last three months. A return value of 3 indicates that the calculation should use the more favorable of the first two methods.
GP TEMP002 CHAR	If you want to define the bracket according to payee categories defined in the labor agreement, populate this temporary variable with the appropriate category before the bracket is resolved. Also, specify the payee category value in the bracket definition and indicate the return values for the payee category.	IND VR ANC 1	This variable is used to store the number of years of seniority linked to the entitlement variable IND VR DRT 1.
GEN VR INSTANCE	The variable GEN VR INSTANCE must be equal to 1 to trigger the earning IND LICENC 1 and 2 to trigger the earning IND LICENC 2	IND VR DRT 1	This variable stores the ratio applied to the base salary for the severance calculation for each year of seniority up to the number of years of seniority entered in the variable IND VR ANC 1.
		IND VR ANC 2	This variable stores the number of years of seniority linked to the entitlement variable IND VR DRT2.
		IND VR DRT 2	This variable stores the ratio applied to the base salary for the allowance calculation for each year of seniority up to the number of years of seniority entered in the variable IND VR ANC 2.
		IND VR ANC 3	This variable stores the number of years of seniority linked to the entitlement variable IND VR DRT3.
		IND VR DRT 3	This variable stores the ratio applied to the base salary for the allowance calculation for each year of seniority up to the number of years of seniority entered in entered in the variable IND VR ANC 3.
		IND VR PLAFOND	This variable stores the ceiling, in years, over which entitlement to the severance allowance is no longer calculated.

Sample Values

This table lists sample values that you can use as a model for configuring the bracket:

GEN VR INSTANCE	IND BR IND LIC	IND VR ANC 1	IND VR DRT 1	IND VR ANC 2	IND VR DRT 2	IND VR ANC 3	IND VR PLAFOND
1	3	10	0.1	99	0.166667		99
2	3	99		99		99	99

Example

Suppose that there are two payees, one with ten years of seniority and another with 15 years of seniority. Both payees’ average salary over the past three months is equal to 1677 euros, and the average over the last 12 months is 1524 euros. In order to calculate the severance allowance, you must apply to the base salary (equal to either the average salary for the last three months or the last 12—whichever is highest), a factor of 1/10 x years of seniority (up to a limit of ten years). After ten years, the factor applied to the base is (1/10 + 1/15) x years of seniority over ten years.

Based on this rule, the payee with ten years of seniority (stored in the variable IND VR ANC 1) would have the following severance allowance:

Base salary of 1677 euros x 1/10 (stored in IND VR DRT 1) x 10 years of seniority.
Based on this rule, the payee with 15 years of seniority (stored in the variable IND VR ANC 1) would have the following severance allowance:

Base salary of 1677 euros x 1/10 (stored in IND VR DRT 1) x 10 years of seniority, plus base salary of 1677 euros x (1/10 + 1/15) [stored in IND VR DRT 2] x 5 years of seniority.

Note. The values currently specified in the bracket for GEN VR INSTANCE = 1 are the values defined by law. You are responsible for updating these values if they change. If you have a collective agreement with different rules, you can define the different slices (up to three) for the variables IND VR ANC 1, IND VR ANC 2, and IND VR ANC 3, and then define the entitlement for each slice in the variables IND VR DRT 1, 2, and 3.

The values currently specified for GEN VR INSTANCE = 2 are provided as sample data only. You must define and maintain these values yourself.

IND BR DEP RET (Retirement Allowance Entitlements)

This bracket retrieves values used in the retirement allowance calculation.

Note. This bracket works in combination with the brackets IND BR FIN CONT and IND BR DT SPEC to determine the retirement allowance.

The following table lists the search keys and return columns for IND BR DEP RET:

Search Keys	Use/Description	Return Columns	Use/Description
LABOR AGREEMENT	LABOR AGREEMENT is one of three search keys in the bracket. If you create specific entitlements that vary by labor agreement, you must specify the labor agreements that determine the return column values.	IND BR DEP RET	The value returned by the bracket element IND BR DEP RET determines the salary (base) used to calculate the retirement allowance. The bracket can return one of the following values: If the bracket retrieves 1, the salary used to calculate the allowance is equal to 1/12^th of the last 12 salaries. If the bracket retrieves 2, the salary used to calculate the allowance is equal to 1/3^rd of the last three salaries. If the bracket retrieves 3, the salary used to calculate the allowance is the greater of 1/13^th of the last three salaries and 1/12^th of the last 12 salaries. Note. You must supply the value of this variable.
EMPL CTG (Employee Category)	EMPL CTG is one of three search keys in the bracket. If the collective agreement defines different calculations depending on the employee categories of the payees, you must specify the employee categories that determine the return column values.	IND VR DRT 1	The variable IND VR DRT 1 returns the number of months that the allowance should be paid. Note. you must supply the value of this variable.
GEN VR INSTANCE (Number of Years of Seniority)	Regardless of whether the entitlement varies by labor agreement or payee category, the retirement allowance depends on the years of seniority stored in the variable GEN VR INSTANCE. Note. This is the only search key that must be populated.

Sample Values

This table lists sample values that you can use as a model for configuring the bracket:

GEN VR INSTANCE	IND BR DEP RET	IND VR DRT 1
10	3	0.5
15	3	1
20	3	1.5
30	3	2

IND BR C ORANGE (Paris Transportation Allowance)

This bracket retrieves the values of the cost of a monthly, weekly, and yearly ticket Paris transportation ticket (carte orange).

The following table lists the search keys and return columns for IND BR C ORANGE:

Search Keys	Use/Description	Return Columns	Use/Description
IND VR CO NZ	The search key IND VR CO NZ represents the area number of the carte orange reimbursed to the payee. Note. You must define the area numbers used in the bracket.	IND BR C ORANGE	The bracket element retrieves the cost of a weekly ticket.
		IND VR CO MOIS	This variable contains the cost of a monthly ticket.
		IND VR CO ANNEE	This variable contains the cost of a yearly ticket.

Note. You must update the bracket each year with the cost of weekly, monthly and yearly tickets for each area number.

Sample Values

This table lists sample values that you can use as a model for configuring the bracket:

IND VR CO NZ	IND BR C ORANGE	IND VR CO MOIS	IND VR CO ANNEE
12	85	285	265
13	113	378	352
23	83	276	258
24	107	359	336

IND BR TIT REST (Meal Tickets)

This bracket retrieves values used in the calculation of meal tickets.

The following table lists the search keys and return columns for IND BR TIT REST:

Search Keys	Use/Description	Return Columns	Use/Description
COMPANY	The values returned by this bracket depend on the company. You must define the company values used in the search key.	IND BR TIT REST	The bracket element retrieves the amount of the employer’s contribution to the meal ticket that is not subject to social contributions.
		IND VR TR EMP I	This variable stores the amount of the employer’s contribution to the meal ticket that is subject to social contributions.
		IND VR TR SAL NI	This variable stores the amount of the payee’s contribution to the meal ticket.

Note. You must supply the values for the IND BR TIT REST bracket. PeopleSoft only provides sample values.

Sample Values

This table lists sample values that you can use as a model for configuring the bracket:

COMPANY	IND BR TIT REST	IND VR TR EMP 1	IND VR TR SAL NI
KF1	28	0	28
KF2	0	29	29

This table lists the earnings and deductions PeopleSoft delivers to calculate allowances:

Earning/Deduction	Description
CP ICCP A2	Compensation in lieu of paid holidays A-2.
CP ICCP A1	Compensation in lieu of paid holidays A-1.
CP ICCP A	Compensation in lieu of paid holidays A.
CP ICCP 1A	Compensation in lieu of paid holidays A+1.
CP ICCP MC	Additional amount for compensation in lieu of paid holidays.
IND LICENC	First severance allowance.
IND LICENC 2	Second severance allowance.
IND FIN CONT	End of fixed-term contract allowance.
IND MISE RET	Obligatory retirement allowance.
IND DEP RET	Voluntary retirement allowance.
CARTE ORANGE	Paris transportation allowance.
IND TRANSPOR	Transportation allowance.
IND KILOMETR	Mileage allowance. This element is automatically segmented and prorated when it is assigned to a payee on the Element Assignment by Payee or Payee Assignment by Element pages and the assignment period covers only a portion of the pay period.
AN NOURRITUR	Meal benefit in kind. This element is automatically segmented and prorated when it is assigned to a payee on the Element Assignment by Payee or Payee Assignment by Element pages and the assignment period covers only a portion of the pay period.
AN LOGEMENT	Lodging benefit in kind
AN VEHICULE	Car benefit in kind This element is automatically segmented and prorated when it is assigned to a payee on the Element Assignment by Payee or Payee Assignment by Element pages and the assignment period covers only a portion of the pay period.
AN AUTRES	Other benefits in kind This element is automatically segmented and prorated when it is assigned to a payee on the Element Assignment by Payee or Payee Assignment by Element pages and the assignment period covers only a portion of the pay period.
AN NOURR REG	Meal benefit in kind.
AN LOGEM REG	Lodging benefit in kind.
AN VEHIC REG	Car benefit in kind. This element is automatically segmented and prorated when it is assigned to a payee on the Element Assignment by Payee or Payee Assignment by Element pages and the assignment period covers only a portion of the pay period.
AN AUTRE REG	Other benefits in kind This element is automatically segmented and prorated when it is assigned to a payee on the Element Assignment by Payee or Payee Assignment by Element pages and the assignment period covers only a portion of the pay period.
PANIER J I	Meal allowance liable to contributions This element is automatically segmented and prorated when it is assigned to a payee on the Element Assignment by Payee or Payee Assignment by Element pages and the assignment period covers only a portion of the pay period.
PANIER N I	Night meal allowance liable to contributions This element is automatically segmented and prorated when it is assigned to a payee on the Element Assignment by Payee or Payee Assignment by Element pages and the assignment period covers only a portion of the pay period.
PANIER J NI	Meal allowance not liable to contributions.
PANIER N NI	Night meal allowance not liable to contributions.
AN NOUR DED	Meal benefit in kind.
AN LOGE DED	Lodging benefit in kind.
AN VEHI DED	Car benefit in kind.
AN AUTRES DE	Other benefits in kind.
TR EMP NI	Meal ticket: employer's contribution not liable.
TR EMP I	Meal ticket: employer's contribution liable.
TR EMP I DED	Meal ticket: employer's contribution liable (deduction).
TR SAL DED	Meal ticket: payee's contribution (deduction).

Note. PeopleSoft delivers a query that you can run to view the names of all delivered elements designed for France. Instructions for running the query are provided in the PeopleSoft Enterprise Global Payroll 9.0 PeopleBook.

Defining Earning and Deduction Elements