1. INTRODUCTION #

This manual focuses on setting up a new financial year. To set up a new financial year, you need to perform the following tasks:

• Create a New year in the Financial calendar.
• Add Tax slab to this newly created year.
• Set up a Profile calendar for this year.
• Set up Pay rate conversion.

2. SETTING UP A NEW FINANCIAL YEAR #

2.1  CREATE A NEW YEAR #

When you record financial data in Dynamics 365 Finance, you must include the date of the transaction. By using a fiscal calendar and breaking it down into segments of years and periods, you can post or record financial data to a predefined open period.

2.1.1      PROCESS STEPS #

Step 1: Go to the General ledger module and under Calendars click Financial calendars.

Navigation

General ledger>Calendars>Financial calendars

Step 2: On the Action pane, click the New year drop-down button.

Step 3: Enter the Financial year name. Turn the toggle bar “YES” for “Copy from last financial year” and click on “Create”.

Step 4: A new year is created. Close the page.

2.2          ADDING A TAX SLAB #

When you record financial data in Dynamics 365 Finance, you must include the date of the transaction. By using a fiscal calendar and breaking it down into segments of years and periods, you can post or record financial data to a predefined open period.

2.2.1      PROCESS STEPS #

Step 1: Go to Payroll modules and in the Setup click on the tax codes under taxes.

Navigation

Payroll>Setup>Taxes>Tax codes

Step 2: Click on the relevant Tax code then click on the fast tab of “Tax Slab”.

Step 3: Select the relevant Financial year from the drop-down, in which you want to add the Tax slab.

Step 4: After selecting the relevant Financial year, Click “New” to add lines to Tax Slab.

Step 5: After consulting the ATO website,

1.      Mention the lower threshold of taxable income in the “Start” column.

2.      A higher threshold in the “End” column.

3.      Fixed tax amount in the “Fixed column”.

4.       Percentage tax applicable to taxable income in the “variable” column.

5.      In the “exempt” column, mention the higher threshold amount that is exempted from the mentioned tax in that line**.**

And then click “Save”

2.3          SETTING UP PROFILE CALENDAR #

The profile calendar is used to apply a specific work time profile to one or more workers on specific dates. You can use this functionality in situations where you must make a temporary change to a work time profile, such as when shift work cannot be handled by using the profile groups.

2.3.1      PROCESS STEPS #

STEP 1: Go to Time and Attendance module and under Time profiles click Profile calendars.

Navigation

Time and attendance>Time Profiles>Profile calendars

Step 2: To import entries in Profile calendar, Open the Profile Calendar data entity in Excel by clicking on the “Open in Microsoft Office” icon then select “Profile calendar” under “Open in Excel”

Step 3: Click on the “Download” button.

Step 4: Click on the relevant Downloaded file to open it.

Step 5: In Excel, select “Enable Editing” to enable the Excel add-in to run.

Step 6: The Excel add-in runs in a pane on the right side of the Excel window. If you are logging in for the first time then you need to sign in. use the same credentials that you used to sign in to the finance and operations app.

Step 7: By consulting the “Fair Work Ombudsman” website and or by clicking this link, https://www.fairwork.gov.au/employment-conditions/public-holidays, you can manually add the following details of the relevant state such as the ACT, NSW, and VIC, etc. in Excel.

1.      Profile calendar code

2.      Profile

3.      Special day and date

4.      Profile calendar relation.

Click on “Publish”

Step 8: The manually added entries for the ACT state are now imported into the system for the Financial year 2022-2023.

You can repeat the same steps for creating entries of other states and Profiles as well.

2.4  SET UP PAY RATE CONVERSIONS #

Microsoft Dynamics 365 Human Resources uses Pay rate conversions to calculate the annual benefits salary, determine the benefit premium amount an employee pays each pay period, and how often providers are paid. Benefit pay rate conversions use conversion factors to convert benefit payment periods between monthly, semi-monthly, biweekly, weekly, and daily payment frequencies. This allows companies to define the interdependence between the Pay rate conversions within a benefit plan.

2.4.1      PROCESS STEPS: #

STEP 1: Go to the Human resources module and in Compensation click Pay rate conversion under Fixed compensation.

Navigation

Human resources>Compensation>Fixed compensation>Pay rate conversion.

STEP 2: Select “New”

STEP 3: Specify values for the following fields:

Step 4: Click “Save”

Step 5: Repeat the same process to add multiple rates of conversion.

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