Maintain calculation rule for expatriate contract type
Customizing Activity
OHALEP220
Maintain calculation rule for expatriate contract type
Document
Document Class
SIMG
Hypertext: Object Class - Class to which a document belongs.
Document Name
OHALEP220
With effect from August 1998, employers who have employ foreign workers must commence the collection of EPF contributions from these employees. The rule is that the employee contributes 11% of their gross salary and the employer contributes RM5.00 (previously, it was 12% of the employee's gross salary).
The contract type for the employee must be set to 'expatriate' in the Organizational Assignment (0001) infotype.
Example
Requirements
Standard settings
Recommendation
Activities
The following step has to be carried out prior to processing the payroll for each expatriate employee:
The rule, LEO3, has to be maintained to process the expatriate contract type.