A pensionable allowance is an additional payment made to an employee that counts towards their pensionable earnings. Including an allowance for pension purposes ensures it is factored into pension contribution calculations, keeping the employee's pension record accurate and compliant with the scheme rules.
If the allowance should be included for pension calculations, select the Pensionable Allowance checkbox for an employee. To do this, follow the steps below.
Click CorePension then click Maintenance.
Click Activate Pension Allowances.
In the Scheme No field, enter the scheme number.
In the Employee field, enter the employee number.
To activate the allowance for the employee, tick the relevant field.
Click Save.