Hypertext: Object Class - Class to which a document belongs.
Document Name
OHADOEV0A2
There are two ways to enter a child allowance supplement. When you set up the system, you decide which method you will use to enter the child allowance supplement.
The child allowance supplement is entered for the pension holder. It is taken into account in payroll for all surviving dependants. When you run payroll for surviving dependants, the specified amount is reduced to the percentage rate used for the surviving dependant's pension and, if applicable, a family reduction is taken into account. You use the model wage type OVKE as a template. The amount to be paid out is listed in technical wage type /OVC in the results table.
The child allowance supplement is entered for the pension recipient. The specified amount is not reduced. You use model wage type OVKB as a template. The amount to be paid out is listed in technical wage type /OVD in the results table.
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Decide which of the two methods you will use:
If you choose to enter the child allowance supplement for the pension holder, copy wage type OVKE to your customer name range.
If you choose to enter the child allowance supplement for the pension recipient, copy wage type OVKB to your customer name range.
Check the coding of your wage type in processing class 83:
If you have copied model wage type OVKE, the wage type must be coded with 5 in processing class 83.
If you have copied model wage type OVKB, the wage type must be coded with 4 in processing class 83.
Choose Save.
Further notes
The maximum retirement pension (including child allowance supplement) is the value of the retirement pension that is paid if the period of parental leave for the employee is imputed as pensionable time and, as a result, the public sector employee is not entitled to receive payment of a child allowance supplement. The system does not automatically take the maximum threshold into account nor does it perform any required reduction (in contrast to the suspension rule).
Only the technical wage types /OVC or /OVD have an effect on the gross remuneration. These are also used for the pension recipient statistics.