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GPESP: Garanteed Net (SMI) Used in Calculation of Court Orders (Doc ID 2831898.1)

Last updated on JANUARY 06, 2022

Applies to:

PeopleSoft Enterprise HCM Global Payroll Spain - Version 9.2 to 9.2 [Release 9]
Information in this document applies to any platform.


As a GP user the Payroll Administrators might want to run payroll for employees with court order calculated based   on SMI, and ensure the calculation follows the latest instructions provided by Tax  Agency regarding the calculation of the minimum guarantee.

Court orders are managed in Spain through the component Assign Court Order ESP.

Calculation Type drives the fields that are displayed in the page, so the input for the calculation:
• Amount: Court order is defined as an onetime amount or periodic amount.
• Percentage: Court order is defined as percentage of another element.
• Based on Ranges of SMI: court order is defined as an Amount, that will be discounted following some rules based on ranges of SMI (Minimum salary)
   o First range:0%
   o Second range: 30%
   o Third range: 50%
   o Fourth Range: 60%
   o Fifth range: 75%
   o Above: 90%
• Other: amount of court order is defined based of another payroll element.
In all the cases we can:
• Define a guarantee amount that cannot be discounted.
• If the amount defined is a one time amount or a periodic amount.
Additionally, we can define if the court order is an alimony or not (child or spouse support) and if the amount will be discounted from payroll or not
As of today when calculating the minimum guarantee salary, we distinguish between:
• Employees with all the extra period prorated -- Checked
   o In this case we use SMI for the first range = SMI corresponding to 12 payments (1108,33Euros)
• Employee with extra periods paid in the year -- UnChecked
   o For regular month, we use SMI for all the ranges, the amount of SMI corresponding to 14 payments in the year (950Euros)
   o In the extra period month, we use SMI for the first range= 2 times the SMI corresponding to 14 payments (950*2)
See the attached document with examples of the current calculation.
In the attached document, user details / customer name / address / email / telephone number represent a fictitious sample (based up made up data used in the Product name test environment).  Any similarity to actual persons, living or dead, is purely coincidental and not intended in any manner.
Development Team found that Tax Agency has modified their calculation, and they are now using always the SMI =950 Euros (Amount corresponding to 14 payments in the year).
The use   this amount even in the case of extra period month.

Steps to replicate the issue:
   1. Navigate to Global Payroll and Absence Mgmnt > Payee Data > Garnishments/Court Orders: Add court order for an employee having all extra periods prorated
   2. Run payroll calculation
   3. Check the results.


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