Scribd
Upload
240 views3 pages

GOSI Contribution Calculation - Housing Base - SAP Documentation PDF

The document discusses how an employee's housing allowance or company-provided housing affects the calculation of their GOSI-applicable earnings. It explains that the housing-related part of GOSI earnings is called the housing base. It then provides details on how the housing base is calculated depending on an employee's marital status, family residence, and whether they receive company housing or a cash housing allowance.

Uploaded by

Kiran YS
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
240 views3 pages

GOSI Contribution Calculation - Housing Base - SAP Documentation PDF

The document discusses how an employee's housing allowance or company-provided housing affects the calculation of their GOSI-applicable earnings. It explains that the housing-related part of GOSI earnings is called the housing base. It then provides details on how the housing base is calculated depending on an employee's marital status, family residence, and whether they receive company housing or a cash housing allowance.

Uploaded by

Kiran YS
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 3

12/27/2019 GOSI Contribution Calculation: Housing Base - SAP Documentation

Show TOC

GOSI Contribution Calculation: Housing Base

The GOSI-applicable earnings are stored in /370, which is the sum of the GOSI calculated earnings
(/372) and the GOSI-calculated housing base (/660). This topic explains how the value of /660 is
determined.
Depending on the circumstances of an employee, an employee’s housing allowance or, more
commonly, an employee's company-provided housing, can be a factor in determining the employee’s
GOSI-applicable earnings. The housing-related part of an employee’s GOSI-applicable earnings is
called the housing base (HB).

Company-Provided Housing

The following figure shows how company-provided housing affects the calculation of housing base of
an employee’s GOSI-applicable earnings:

https://help.sap.com/doc/erp_hcm_ias2_2015_02/2.0.15.4/en-US/6a/d94152dd563807e10000000a441470/content.htm?no_cache=true 1/3
12/27/2019 GOSI Contribution Calculation: Housing Base - SAP Documentation

How the System Considers Company-Provided Housing in the Calculation of GOSI-Applicable Earnings

The system checks whether the Housing Allowance auto (M710) wage type is registered in the
Recurring Payments/Deductions (0014) infotype and proceeds in the following way:

If the Housing Allowance auto (M710) wage type is registered in the Recurring
Payments/Deductions (0014) infotype, the system checks the marital status of the employee
in the Personal Data (0002) infotype.
If the employee is single, the system calculates the housing base as follows:
Housing base equals (Basic Monthly Salary multiplied by the value of constant HOUSS)
divided by the value of constant SIAP2.

https://help.sap.com/doc/erp_hcm_ias2_2015_02/2.0.15.4/en-US/6a/d94152dd563807e10000000a441470/content.htm?no_cache=true 2/3
12/27/2019 GOSI Contribution Calculation: Housing Base - SAP Documentation

If the employee is married, the system checks the Personal Data (0002) infotype and
determines whether the Family Resides in Saudi Arabia checkbox is selected.
If the Family Resides in Saudi Arabia checkbox is not selected, the system
calculates the housing base as follows:
Housing base equals (Basic Monthly Salary multiplied by the value of constant HOUSS)
divided by the value of constant SIAP2.
If the Family Resides in Saudi Arabia checkbox is selected, the system calculates
the housing base as follows:
Housing base equals (Basic Monthly Salary multiplied by the value of constant HOUSM)
divided by the value of constant SIAP2.
If the Housing Allowance auto (M710) wage type is not registered in the Recurring
Payments/Deductions (0014) infotype, the system checks the Personal Data (0002)
infotype to see whether the No Company Housing checkbox is selected. The system then
proceeds as follows:
If the No Company Housing checkbox is selected, the system does not include a
housing base in the calculation of GOSI-applicable earnings.
If the No Company Housing checkbox is not selected, the housing base is calculated
as follows:
Housing base equals (Basic Monthly Salary multiplied by the value of constant SIAP1)
divided by the value of constant SIAP2.
The final calculated housing value is stored in /660.

Housing Allowance Paid as Cash to Employee

In accordance with Saudi Labor Law (based on the legal change announced in February 2015, in
SAP Note 2128152 ), if the organization pays a cash amount to the employee as a housing
allowance, the following process occurs:

1. The Housing Allowance Advised (M715) wage type is registered in the Recurring
Payments/Deductions (0014) infotype.
2. During the housing allowance calculation, in rule SAV9, the system calculates the minimum
housing allowance stipulated by GOSI using constant HOUMN.

3. The system then compares the cash value in M715 with the minimum housing allowance and
uses the larger of the two, by moving the value to /660.

More Information
GOSI Contribution Calculation: Overview

https://help.sap.com/doc/erp_hcm_ias2_2015_02/2.0.15.4/en-US/6a/d94152dd563807e10000000a441470/content.htm?no_cache=true 3/3

You might also like