Payroll Component is a payroll component other than basic salary which is to increase or decrease employee Take Home Pay. But before that, you need to add a payment schedule first.

Here are the steps:

1. On the Dashboard menu, click the "Profile" icon at the top right.
   
2. Then click "Company Settings".
   
3. Select the Payroll menu.
   
   
4. Click the "Payroll Component" tab.
   
5. Fill in the payroll component other than the basic salary which is to increase or decrease the employee's take-home pay in the Payroll Component section. There are 3 component parts, namely  Allowances, Deductions and Benefits.
   
   

   No	Menu	Explanation
   1	Allowance	Is a component that is to increase employee income outside of the basic salary. If you want to add allowances as needed, click "Add Allowance".
   2	Deductions	Is a deductible component of employee income such as late deductions. If you want to add allowances as needed, click "Add Deduction".
   3	Benefit	Is a component that is borne by the company for employees but does not add to an employee take-home pay such as BPJS Employment and BPJS Health. If you want to add benefits according to your needs, click "Add Benefit".

6. If you want to add a fixed number (Absolute) for formula purposes, click "Add Custom Rate". This number is used so that there is no need to change the entire formula, just by editing the nominal custom rate.
   
7. If the input payroll is in a foreign currency, click "Add Currency Rate" to add currency. 
   
   

   Payment of employee salaries will always be in Rupian (Rp), so that employees who receive a basic salary in a foreign currency will receive the take home pay, which is the amount of the base salary x currency rate.

A. How to Add Allowance

Allowance: Components that add to employee income outside of the basic salary.

Here are the steps:

1. In the Payroll Component section, click "Add Allowance" to add allowances.
   
2. Fill in the name of the allowance in the Allowance Name section.
   
   
3. Fill in the amount of the allowance policy value in the Amount section.
   
   
4. Select a foreign currency, if using a foreign currency other than IDR in the Currency section.
   
   
5. In the Payroll Payment Schedule section choose a payroll cut-off that is different from the default.
   
6. Select the period of benefits given to employees in the Type section.
   
   
   

   Monthly: The allowance policy is given monthly.
   Daily: The allowance policy is given daily.
   One Time: This allowance policy is only given occasionally.

7. Select the policy regarding the imposition of tax on allowances in the Tax section.
   
   
8. If you check "Default", the new employee will have the right to the allowance policy.
   
9. Check "Pro Rate" so that the allowance policy has a prorate calculation.
   
10. If you choose an allowance period with the type Daily, then the Maximum Amount will appear at the bottom.
    
    

    - Not Use: Select this, if the policy for the maximum amount of allowances is not applied.
    - Basic Salary Percentage: Select this, if in determining the policy the maximum amount of allowances is taken from the percentage of the basic salary.
    - Custom Amount: Select this, if the policy for the maximum amount of allowance is determined in nominal terms.

11. Click "Formula" if the allowance policy is calculated using a formula.
    
12. Click "Confirm" to save. 
    

    

B. How to Set Deduction

Decution is a component of reducing employee income. You can add these deductions according to company policy.

Here are the steps:

1. In the Payroll Component section, click "Add Deduction" to add deductions or deductions from employee income.
   
2. Fill in the name of the deduction policy in the Name section.
   
   
3. Fill in the amount of the deduction policy value in the Amount section.
   
   
4. Check "DPLK" if you want to apply for a pension deduction.
   
5. Select the type of DPLK.
   

   There are two types, namely:
   - Monthly: The nominal payroll component will be calculated per month (every month there is a deduction from this payroll component).
   - One time: Nominal components are not fixed and must be inputted by the user every month during the run payroll process. The nominal component with the one-time type will automatically be zero every month.

6. Then you can tick Default if you want all employees to get a DPLK deduction. Check Pro Rate if you want the deduction to be made prorate or check Backpay if the component has a backpay or a flat payment.
   
   

   If you check  Default, the following information will appear.
   
   Select Yes if you want all employees to get a cut or Select Filter if you want to select employees from a certain organization or position.

7. Select the DPLK Tax (tax) setting, do you want to be paid by the employee (By Employee) or the company  (By Company).
   
8. Select a foreign currency, if using a foreign currency other than IDR in the Currency section.
   
   
9. Click "Payroll Payment Schedule" to choose a payroll cut-off that is different from the default.
   
10. Select the discount period given to employees in the Type section.
    
    

    - Monthly: The discount policy is given monthly.
    - Daily: The discount policy is given daily.
    - One Time: The discount policy is only given occasionally.

11. Select the policy regarding the imposition of tax on deductions in the Tax section.
    
    
12. If you tick "Default", then the new employee will get the right to the deduction policy.
    
13. Click on the "Formula" section if the deduction policy is calculated by the formula.
    
14. Click "Confirm" to save. 
    

C. How to Add Benefits 

Here are the steps:

1. In the Payroll Component section, click "Add Benefit" to add employee benefits.
   
2. Fill in the name of the deduction policy in the "Name" field.
   
   
3. Fill in the amount of the deduction policy in the "Amount" section.
   
   
4. Select a foreign currency, if using a foreign currency other than IDR in the Currency section.
   
5. Click "Payroll Payment Schedule"  to choose a payroll cut-off that is different from the default.
   
6. Select the benefit period given to employees in the Type section.
   
   
7. Choose a policy regarding the imposition of taxes on benefits in Tax.
   
   
8. Select the benefit calculation setting, if it is checked as "Default"  then the calculation is in accordance with what is in this menu. You can choose which benefits will be assigned to all employees or use the "Select Filter" button to filter the employees included in this calculation.
   
   
   
9. Check "Prorate"  if the benefit is calculated using a pro-rate system.
   
10. Check "Hide in Payslip" if you don't want it to appear on the payslip.
    
11. Click "Confirm" to save it.
    

D. How to Add a Custom Rate

Here are the steps:

1. In the Payroll Component section, click "Add Custom Rate" to add a currency value.
   
2. Fill in the name of the custom rate in the Name field.
   
   

   You can choose a pre-existing custom rate name or create a new one.

3. Fill in the effective date of the rate in the Effective Date column.
   
4. Enter the rate value in the Amount column.
   
5. Click "Confirm" to save.
   

This is an explanation of how to manage the arrangement of salary components and rates. Then you can learn how to run payroll, here.