A mapping table for pay components puts every pay element from the HR system next to the pay component the payroll uses for it, with per row the choice of whether it is a recurring or a one-off component. The payroll administration decides which pay component belongs to which element; KoppelHet records the table in the platform and maintains it from then on.
That table is the heart of every integration between an international HR system and a Dutch payroll. It decides whether a bonus appears on the payslip as a bonus, or as salary. This article walks through the choices you make per row.
Why you cannot copy the components one to one
An international HR system sets up pay elements for the whole group, not according to a Dutch cao (collective labour agreement). Personio has five types of compensation, Oracle HCM works with element entries, SAP HCM with wage types. The payroll works with its own pay components per company.
Those two lists rarely match. Without a fixed mapping, a bonus is processed as salary, a one-off payment carries on into the next month, or a new element quietly disappears. You only see that on the payslip.
The four questions per row
At the start we draw up the table together with the payroll administration. The same questions come back for every pay element.
- Which pay component belongs to it? A travel allowance, a bonus or a recurring allowance each get their own component in AFAS, Nmbrs, Loket or YouServe.
- Is it recurring or one-off? A recurring allowance becomes a fixed pay component that runs until its end date. A one-off payment or bonus applies only in the period it is paid.
- Does it have a Dutch counterpart? Elements without a counterpart are left out, for example an SAP wage type that in the Netherlands does not run through the payroll administration.
- Is it an amount or a rate? An hourly wage stays an hourly wage. A monthly salary is converted using the contract hours, so someone on an hourly wage does not get a converted monthly amount.
With Visma YouServe, the second question also decides the route. Fixed salary and recurring allowances go along with the employment. One-off payments and bonuses go as a change file for that single period.
Scale, step and holiday allowance
Two topics do not fit in an ordinary row of the table.
The HR system usually does not know the scale and step under the cao. For a scale salary, KoppelHet supplies the job and hours or the amount, and the payroll administration chooses scale and step.
In the Netherlands, holiday allowance is often included in the annual amount set by head office. At the start we agree what the annual amount is divided by, so the monthly amount in the payroll is correct.
What happens after the start
A table is never finished. HR creates a new pay element, or enters a bonus afterwards for an earlier month.
- A new element without an agreement becomes a notification to the payroll administration, not a silent pay line. Once it is agreed, we add it to the table.
- A bonus for an earlier month goes along as a separate change in the next run.
- Each period separately. Personio releases compensation per month, and KoppelHet requests each payroll period separately, so nothing falls between two requests.
The table sits in the KoppelHet platform, not in a spreadsheet belonging to one of the parties involved.
Hours and overtime as a pay component
Not all pay components come from HR. Overtime and extra shifts can go along as a pay component in a separate flow, next to the flow for new hires and changes. Overtime from a time-tracking system such as Yoobi must not be paid twice. AFAS does not warn about duplicate pay changes, so KoppelHet remembers which period and rows have already been delivered. More about time tracking is under leave, absence and time.
How KoppelHet builds this
Pay components determine a large part of the lead time of a payroll project. KoppelHet builds every integration per organisation on its own platform. We draw up the mapping table with the payroll administration, test it with real cases in the test environment and maintain it afterwards. As an indication, allow three to six weeks, depending on pay components and entities.
Examples are Personio with Loket, Oracle HCM with Nmbrs and Yoobi with AFAS. Read more under pay components or on the page about the payroll integration.