Salaries

Salary is not only the ordinary remuneration, fixed or variable, but everything the worker earns in money or cash as a direct consideration of the service provided.

The amounts occasionally and freely received by the employee from the employer, such as occasional bonuses or rewards, profit participation, solidary economy companies surplus, and whatever received not for own benefit but in order to perform his/her job, such as representation costs, transportation subsidies, work tools and others are not considered salary.

There are many ways to pay the employee:

Fixed (usually monthly or every 15 days).
Variable: the salary varies in the previous three months. The average of the salaries must be done.
Full: when an employee earns more than 10 times the minimum legal wage. This written agreement compensates ordinary work with installment values, bonuses and benefits like those corresponding to night-shift work, overtime or Sunday/holiday work, legal and extra legal premium, unemployment support and interest, subsidies, and cash supplies, except vacations. Instead of these budgets, the system generates the social security factor for the company, which cannot be less than 30% of the salaries.

The social security factor is given in the Company Parameters auxiliary table, however, it can be configured per employee in the employees register. The value in the auxiliary table is the default.

For ordinary salary, the calculation base for the legal installments must consider the salary total, that is, 100% of it. For full salary calculation, the base is 70% for legal installments calculation, regardless of the social security factor percentage chosen by the company. For full salary, we have the following condition: the employee must earn more than 10 times the minimum legal monthly wage (in 2008), which is $ 4,615,000.00 pesos. So, the employee's salary must be at least 5,999,500.00 pesos (10 times the minimum wage + 30% social security factor).

In January, when the minimum wage is adjusted, the full salary minimum wage is automatically adjusted as well. If the employee's salary is less than the full salary minimum wage at this moment, the system must adjust it up to the minimum allowed. Otherwise, it must be blocked and warn the user of the need for an action regarding this type of contract.

See also

Duration
Probationary Period
Contract Suspension
Contract Termination
Hiring and Rehiring
Employee Register
Tax Withholding
Salary Configuration
Employee endowments
Working Hours
Employee Category
Payment Types and Frequency