| Summary: | Hi Sanjay With reference to Case: L12599, we developed the below formula for the Bonus calculation: Request the following changes: - A different formula will be used for Staff and Managers. Refer to Table 1 below
Report Changes below: - Performance Appraisal Bonus Calculation Report.
- Performance Appraisal Bonus Award Letter.
Bonus Formula for Staff: Bonus Payment(category) = (((Average Score / Ceiling of Range % of Bonus Salary) * Bonus %) * Salary) * (Normal Hours Worked + Hours Leave Paid/ Total Normal Working Hours in a Year) They have advised that the above formula will apply to Staff and a new formula needs to be designed for the Managers. Therefore the Bonus Calculation Report will consist of the 2 formulas.
Bonus Formula for Managers: (((Average Score / Ceiling of Range % of Bonus Salary) * Bonus %) * Salary) * (Normal Hours Worked / Total Normal Working Hours in a Year) Notes: - For managers - Normal Hours Worked is the total of ANHRS pay code only
- Do all other definitions remain the same
- The current formula works well for the Staff
- Refer to Table 1 to differentiate between staff and manager:
Table 1: Rules to Identify Staff and Managers
Hours Worked per Pay | Timesheet Flag | Type (Employee or Manager) | Formula |
72 | Y | Staff | (((Average Score / Ceiling of Range % of Bonus Salary) * Bonus %) * Salary) * (Normal Hours Worked + Leave Paid/ Total Normal Working Hours in a Year) |
75 | N | Managers | (((Average Score / Ceiling of Range % of Bonus Salary) * Bonus %) * Salary) * (Normal Hours Worked / Total Normal Working Hours in a Year) |
Changes required: Design a new formula for managers Testing Details - Environment Details
- UR: https://linktechnologies.com.au/DEMO-LinkSOFT-LBS
- Login: Default Admin Login
- Appraisal Details:
- 1st Half Appraisal for 2023 [APPR000051]
- 2nd Half Appraisal for 2023 [APPR000052]
- Report Changes - refer to table 2 (Test Plan)
- Performance Appraisal Bonus Calculation Report
- Performance Appraisal Bonus Award Letter
Test Plan: Since the formula is changing only for MANAGERS, we can test this by performing the following steps: - Generate the "Performance Appraisal Bonus Calculation Report" and "Performance Appraisal Bonus Award Letter" using the details provided above.
- The values for STAFF bonus calculations should remain unchanged
- The values for MANAGERS should match TABLE 4
Table 2: Report Parameters
No. | Test Plan | Results | Status |
1 | Run the report "Performance Appraisal Bonus Calculation Report" with the parameters: Appraisal Date From 01/01/2023 Appraisal Date To 31/12/2023
Company: 1001
Appraisal From: APPR000051
Appraisal To: APPR000052
And verify for employees in Table 4 | The bonus amount should match the “Bonus” column in Table 4 | |
2 | Run the report "Performance Appraisal Bonus Award Letter" with the parameters: Appraisal Date From 01/01/2023 Appraisal Date To 31/12/2023
Company: 1001
And verify for employees in Table 4 | The bonus amount should match the “Bonus” column in Table 4 | |
| Table 3: Bonus calculation before the change: | | | | | | | | | | | | | | Employee ID | Emp_Name | Scenario | Employee Type | Total Hours / Year (Staff)
| Total Hours Worked | Total Leave Taken | Total Hours Paid | Salary | 1st Half | 2nd Half | Average Score | Bonus % | Ceiling Range | Bonus | | 1398 | Employee 1 | Staff on impatient leave | Staff | 1,872 | 1,430 | 435 | 1,865 | 28,102.03 | 74.2 | 78.6 | 76.4 | 6% | 79.99 | $1,604.43 | | 1274 | Employee 2
| Permanent Staff on Maternity Leave - Only 1 Appraisal filled | Staff | 1,872 | 1,137 | 851 | 1,988 | 41,336.00 | 94 | 0 | 47 | 0% | 69.99
| $0 | | 1405 | Employee 3
| Permanent Staff and appraised full year (12 months) including paid leave | Staff | 1,872 | 1,756.25 | 187.75 | 1,944 | 34,479.06 | 91.28 | 95.1 | 93.19 | 10% | 100 | $3,336.69 | 1651
| Employee 4
| Permanent Staff (Manager) - Salary Change | Manager | 1,950 | 1,936 | 82 | 2018
| 59,999.94 | 78 | 90 | 84 | 8% | 89.99 | $4,636.74
| | 1282 | Employee 5 | Permanent Staff (Manager) and appraised full year | Manager | 1,950 | 1,950 | 53 | 2003
| 79,999.92 | 86 | 88 | 87 | 8% | 89.99 | $6,355.51
| | 1113 | Employee 6 | Permanent Staff (Manager) and appraised full year | Manager | 1,950 | 1,950 | 105 | 2055
| 82,000.00 | 93 | 93 | 93 | 10% | 100 | $8,036.63 | | | | | | | | | | | | | | | | | | Table 4: Bonus calculation after the change: | | | | | | | | | | | | | | Employee ID | Emp_Name | Scenario | Employee Type | Total Hours / Year (Staff) | Total Hours Worked | Total Leave Taken | Total Hours Paid | Salary | 1st Half | 2nd Half | Average Score | Bonus % | Ceiling Range | Bonus | | 1398 | Employee 1 | Staff on impatient leave | Staff | 1,872 | 1,430 | 435 | 1,865 | 28,102.03 | 74.2 | 78.6 | 76.4 | 6% | 79.99 | $1,604.43 | | 1274 | Employee 2
| Permanent Staff on Maternity Leave - Only 1 Appraisal filled | Staff | 1,872 | 1,137 | 851 | 1,988 | 41,336.00 | 94 | 0 | 47 | 0% | 100 | $0 | | 1405 | Employee 3
| Permanent Staff and appraised full year (12 months) including paid leave | Staff | 1,872 | 1,756 | 187.75 | 1,944 | 34,479.06 | 91.28 | 95.1 | 93.19 | 10% | 100 | $3,336.69 | | 1651 | Employee 4
| Permanent Staff (Manager) - Salary Change | Manager | 1,950 | 1,936 | 82 | 1,936 | 59,999.94 | 78 | 90 | 84 | 8% | 89.99 | $4448.33 | | 1282 | Employee 5 | Permanent Staff (Manager) and appraised full year | Manager | 1,950 | 1,950 | 53 | 1,950 | 79,999.92 | 86 | 88 | 87 | 8% | 89.99 | $6187.35 | | 1113 | Employee 6
| Permanent Staff (Manager) and appraised full year | Manager | 1,950 | 1,950 | 105 | 1,950 | 82,000.00 | 93 | 93 | 93 | 10% | 100 | $7626.00 |
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| PART A - Development work for this case has been completed. 1. The change will be available in version: 14.60. 14.50.0314 2. The following changes were made(Include Database object names, Program classes, and any other relevant information): - Added a new report rule for "Performance Appraisal Bonus Calculation Report" named: "BonusFormula.Manager.HoursPerPay"
- Added report description to explain the calculation formula. See Figure 1 below.
- Changed bonus calculation based on "Timesheet" and "Hours Per Pay"
3. Affected Areas: - Two reports:
- Performance Appraisal Bonus Calculation Report.
- Performance Appraisal Bonus Award Letter.
4. The issue was caused by: - Change requested by customers
5. Other Relevant Notes:
6. Next Step (Review and System Test (Developer) -> UAT (Quality) -> Documentation): UAT
Figure 1 - Calculation formula for bonuses
This report calculates the bonus for each employee. Bonus percentages are used from the last employee appraisal's score range. Refer to the calculation parameters shown in the "Report Rules"
Manager Bonus = (Average Score / Ceiling of Range % of Bonus Salary * Bonus % * Salary) * (Normal Hours Worked/ Total Normal Working Hours in a Year)
All Others Bonus = (Average Score / Ceiling of Range % of Bonus Salary * Bonus % * Salary) * ((Normal Hours Worked + Leave Paid)/ Total Normal Working Hours in a Year)
Other Definitions:
1. Normal Hours worked = Normal Hours, Time 1/2, Double time and Holiday Hours
2. Total working hours in a year = Total hours based on employee's Shift
3. Manager is defined as employee where Timesheet = "N" and "Working Hours Per Pay" = Parameter: BonusFormula.Manager.HoursPerPay
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