SAP PY-ID: Jamsostek Insurance Indonesia (IT 0242)

There’s a case that SAP has their own rule in calculating Jamsostek benefits, escpecially the one that related to the proration calculation.

Proration Method

This method is used whenever there’s a case of hiring and/or termination in the middle of the month. So the wage type will be prorated according to ,whether calendar days or any specific that used to define working days in a month. For the purposes, in SAP, to define such wage type that need to be prorated, it has to be assigned into Processing Class 10. For the example, let say,

person A is hired on date 15 June 2008. His basic salary, based on the contract is about 2,000,000. The number of calendar day in month is 30 days. Thus, at pay day for June period, his basic salary will be prorated as : ( 15 /30) X 2,000,000 = 1,000,000.

In SAP, the way we calculate the proration calculation is maintained in SAP Payroll Schema.

WT /111 Jamsostek Base

To calculate the Jamsostek benefits, SAP will use WT /111 Jamsostek Base, is a kind of cumulative technical wage type, as a calculation basis. That is maintained in table T512W, cumulation wage type.

We, then, freely to define what wage type to be assigned into this WT /111. Normally, at minimum, the user is assigning Basic Salary as the main component for jamsostek base calculation.

Jamsostek Benefits.

There’ re some number of benefits, as explained as below:

• /3R1 = ER Jamsostek Accident contribution or Employer Jaminan Kecelakaan Kerja (JKK)
• /3R2 = ER Jamsostek Pension Contribution or Jaminan Hari Tua (JHT) kontribusi perusahaan
• /3R3 = ER Jamsostek Life Contribution or Jaminan Kematian (JKM) kontribusi perusahaan
• /3E2 = EE Jamsostek Pension Contribution or Jaminan Hari Tua (JHT) kontribusi karyawan

Each of benefits will have their own contribution and limits, depend on the characteristic of the company bussiness. Like the jamsostek contribution percentage of the airways company will be more higher than the electronics manufacturing, since the risk is more higher.

But, for the example, I’m using the normal contribution:

• /3R1 = 0.24% of Jamsostek Base
• /3R2 = 3.7% of Jamsostek Base
• /3R3 = 0.3% of Jamsostek Base
• /3E2 = 2% of Jamsostek Base

Defining and Activating Jamsostek in SAP
In SAP, we’re using IT0242 (Jamsostek Insurance Indonesia) in defining the Jamsostek information. Here we can define, the validity period of the Jamsostek Infotype, to define Jamsostek Identification Number and Marital Status that is used to differentiate the contribution limit for Jamsostek Health Insurance.

Noted for the IT 0242 validity period, the usage is somehow quite different than the validity period in other infotype.

It determines the number of insurance days in a month.

So no matter you have defined your own calendar days in a month in such a configuration table or in Pay Schema. SAP will always refer to the validity period in IT0242 in determining the number of insurance days in month. Except if you change the SAP standard PCR to follow your own logic.

So based on the facts, below are the item need to be ensure:

· Hiring/Transfer In Action in the mid of the month

For the normal case, it works fine. Because the way that the user is maintaining the validity period used to be always following the action date.

But the other difficulties is when there’s a transfer case, also in the mid of the month, from “Non Payroll” to “Payroll” group. Let say,

· Hiring : 03.07.2007 – 02.01.2008

· Transfer : 03.01.2008 – 31.12.9999

In this case, there will be a duplication in prorating calculation. First is the Basic Salary as in the jamsostek base, will be prorated according to our own logic. But then SAP will prorate the jamsostek calculation again, as it defines 29 insurance days at the month. So the jamsostek formula will become like this:

/3R1 = 0.24% X /111 Jamsostek base X (29/31)

/3R3 = 0.3% X /111 Jamsostek base x (29/31)

And so on.

· Termination/Transfer Out/Resignation in the mid of the month

By default, SAP will give us the date 31.12.9999 as the ‘Valid To’, you just make sure that you delimit the date following the termination action. Otherwise, it won’t be prorated correctly. The SAP will actually calculate the number of insurance days in a whole month, and so is the next.