PeopleSoft Enterprise Global Payroll for Italy 9.1 PeopleBook

Setting Up Contractors

This chapter provides an overview of contractors and discusses how to set up contractor data.

Understanding Contractors

The system manages contractors the same way it manages regular employees. Taxes are calculated using normal brackets, and tax deductions are applicable when requested. The system applies local taxation, fiscal assistance (730), and previous employer data. However, contractors are exempt from some entitlements, such as paid time off (PTO), additional monthly payments, and TFR payments.

Some setup steps are unique to these payees. Contractors are not limited to monthly payment frequencies. In these cases, you must prorate tax and detraction brackets accordingly.

Contractors should be grouped in separate pay groups that can be processed with or without regular payees. Payroll runs for contractors must use specific process lists that include only general elements for which contractors are eligible and specific contractor elements, while excluding elements that do not apply.

Special social contribution rules (INAIL and INPS) and taxation rules on termination payments apply to contractors.

Viewing Delivered Elements

The PeopleSoft system delivers a query that you can run to view the names of all delivered elements designed for Italy. Instructions for running the query are provided in the PeopleSoft Enterprise Global Payroll 9.1 PeopleBook.

Setting Up Contractor Data

The process for setting up contractor data is similar to the payee setup process. This section explains the exceptions.

This section discusses how to:

Set up payroll information.
Set up calendars.
Set up process lists.
Set up rate codes.
Enter pension fund information.

Pages Used to Set Up Contractor Data

Page Name	Definition Name	Navigation	Usage
Payroll	JOB_DATA2	Workforce Administration, Job Information, Job Data, Payroll	Set up payroll information for contractors.
Calendar - Definition	GP_CALENDAR1	Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Framework, Calendars, Calendars, Definition	Set up a calendar for contractors.
Process Lists - Definition	GP_PROCESS	Set Up HRMS, Product Related, Global Payroll & Absence Mgmt, Framework, Processing, Process Lists, Definition	Set up process lists for contractors.
Compensation	JOB_DATA3	Workforce Administration, Job Information, Job Data, Compensation	Set up rate codes for contractors.
Maintain Social Ins Data ITA (maintain social insurance data)	GPIT_CTR_EE	Global Payroll & Absence Mgmt, Payee Data, Social Security/Insurance, Maintain Social Ins Data ITA, Maintain Social Ins Data ITA	Enter pension fund information for contractors.

Setting Up Payroll Information

Access the Payroll page.

When setting up contractors, you must enter KI COCOCO in the Eligibility Group field.

See Also

Working with Payee Data

Setting Up Calendars

Access the Calendar - Definition page.

The pay group used on this page must only contain contractors with the same pay frequency. This frequency must also agree with the Calendar period.

See Also

Using Calendars

Setting Up Process Lists

Access the Process List - Definition page.

Possible additional elements for contractors should be added to sections of process list IT CCC.

See Also

Defining Processing Elements

Setting Up Rate Codes

Access the Compensation page.

These rate codes are delivered for contractors as sample data:

KICCCM for contractors paid monthly.
KICCCT for contractors paid quarterly.

Select the frequency conversion option for both.

See Also

Entering Compensation Information

Entering Pension Fund Information

Access the Maintain Social Ins Data ITA page.

Select the pension status of the contractor in the Contractor Contribution Type field. The options are Other Pension Fund, No other Pension Fund, or Retired Payee.