General Information on Cost Compensations
Creating a New Cost Compensation Price List
Daily Allowances - Domestic
Exception Limit for Domestic Partial Daily Allowance
Domestic - Portion exceeding a full travel day
Daily Allowances - Foreign
Foreign - Portion exceeding a full travel day
Mileage Compensation
Meal Compensations
General Information on Cost Compensation
Cost compensations can define a pricing list that differs from the tax authorities' annually defined tax-free cost compensations. If a person has a different pricing list that only specifies a portion of the compensation types (e.g., daily allowances) and no other compensation types are in use, the missing reimbursements for the expense categories used in the travel invoice will be sought from the general pricing list.
NOTE! If cost compensations are paid on a basis other than the tax authorities' guidelines, the compensations must always be paid through payroll. Only tax-free cost compensations can be paid from the purchase invoices travel expense ledger.
NOTE! All travel expense reimbursements are reported from the system to the incomes register as tax-free. Any corrections to the incomes register notifications must be made directly in the incomes register service.
NOTE! Be careful when creating the cost compensation price list. The price list cannot be modified after saving. If an error is found in the price list after saving, you must start the creation of the price list from the beginning.
Creating a New Cost Compensation Price List
- Go to Settings – Cost Compensations – view
- Click the New button
- Complete the cost compensation details
- Save the information by clicking the Save button
Travel invoice compensation price list
Enter the name of the Travel invoice compensation price list price list you are using in the field provided, e.g., KV tes 2020. Naming the price list is free-form.
Validity Period
Select the validity period (time frame) of the relevant cost compensation price list by clicking on the calendar icons in the start and end date fields. The applicable cost compensation price list is valid for the specified time frame.
Daily Allowances - Domestic
Using this price list
Yes – an option to use the price list based on the information provided here.
No – an option to use the general tax administration price list.
Domestic Full Daily Allowance (EUR)
Enter the euro amount of the domestic full daily allowance to be used for the travel expense report. Salary code - Select the salary code to be used with this full daily allowance. Check the salary code that you have in use. Salary codes must be entered in the registers, Registers - Salary codes, before they can be selected on the price list.
Domestic part-time daily allowance (EUR)
Enter the euro amount for the domestic part-time to be used on the travel expense report. Salary code - Select the salary code to be used with this part-time. Check the salary codes available to you. Payroll types must be entered in the registers, Registers - Salary codes, before they can be selected for the price list.
Hourly limit for full-time domestic daily allowance
Please enter the hourly limit for the domestic daily allowance to be used in the travel expense report. If the hourly limit is exceeded, the traveler is entitled to the domestic daily allowance.
Hourly limit for part-time domestic daily allowance
Enter the domestic daily allowance hour limit to be used in the travel expense report. If the hour limit is exceeded, the traveler is entitled to the domestic daily allowance.
Exception Limit for Domestic Part-time Daily Allowance
Exception limit in use
Yes selection enables a different hour limit, which is defined in the field below.
No – selection does not consider the different hour limit.
If more than (h), from (h) To the Period
If a shorter hour limit is desired for late trips, a different hour limit can be defined.
Example of an exception limit:
The total duration of the trip exceeds 6 hours, of which 3 hours fall between 4:00 PM and 7:00 AM.
In this case, the domestic partial daily allowance will be paid for the trip, even though the duration of the trip does not exceed the normal partial day's hourly limit (8h).
Domestic - Portion exceeding a full travel day
Hourly limit for full-time domestic daily allowance (h)
Enter the number of hours of the domestic full daily allowance to be used in the travel expense report, which must be exceeded at a minimum in order for the traveler to be entitled to the domestic full daily allowance when a full travel day has already been exceeded.
Hourly limit for part-time domestic daily allowance (h)
Enter the number of hours for the domestic part-time daily allowance to be used in the travel expense report, which must be exceeded at least for the traveler to be entitled to the domestic part-time daily allowance when a full travel day has already been exceeded.
Daily Allowance - Foreign
Using this price list
Yes – choice to use the price list based on the provided information.
No – choice to use the general tax authority's price list.
Foreign hourly limit for full-time daily allowance (h)
Enter the foreign hourly limit to be used in the travel expense report. If the hourly limit is exceeded, the traveler is entitled to the foreign allowance.
General foreign daily allowance (EUR)
Full-time foreign daily allowance salary type
Part-time foreign daily allowance salary type
Foreign - Portion exceeding a full travel day
Foreign daily allowance hourly limit (h)
Enter the number of hours of the foreign daily allowance to be used in the travel expense report, which must be at least exceeded for the traveler to be entitled to the foreign daily allowance when a complete travel day has already been exceeded.
Foreign Daily Allowance Percentage (%)
Enter the foreign daily allowance percentage to be used in the travel expense report, to which the employee is entitled for the last completed travel day. E.g. KVTes 65%. Salary code - Select the salary code to be used with this daily allowance. Check the salary type available for you.
Or the full daily allowance for the last day (EUR)
Foreign part-time daily allowance hourly limit (h)
Enter the hourly limit for the foreign partial daily allowance to be used in the travel expense report. If the hourly limit is exceeded, the traveler is entitled to the foreign partial daily allowance.
Foreign daily allowance percentage (%)
Enter the percentage of the foreign daily allowance applicable to the travel expense report, which the employee is entitled to for the most recently ended travel day. For example, KVTes 35%. Salary code – Select the payment type to be used with the full daily allowance. Check the payment type you have in use.
Or the daily allowance for the last day (EUR)
Enter the euro amount of the commonly used foreign daily allowance that is applied when a full travel day has already been exceeded.
Mileage Compensation
In Use at This Price List
Yes – selection to use the price list provided here.
No – selection to use the general tax authority price list.
Km limit amount (km)
Enter the number of kilometers that determines the payable mileage compensation.
Travel compensation for under 5000 km (EUR/km)
Enter the amount of travel compensation in euros/km that is used when the amount of travel compensation falls below the mileage limit set in the price list. Salary code – Select the salary code to be used with the daily allowance. Check the salary code available to you.
Mileage Compensation over 5000 km (EUR/km)
Enter the amount of mileage compensation in euros/km that will be used when the mileage compensation exceeds the mileage limit defined in the price list. Salary code – Select the salary code to be used for this mileage compensation. Verify the salary code you have in use.
Compensation for additional Passenger (EUR)
Enter the amount in euros that will be paid for the additional passenger in the vehicle.
Meal Compensations
In use with this price list
Yes – option to use the price list provided in the information given here.
No – option to use the general tax administration price list.
Number of Meal Compensation (EUR)
Enter the euro amount to be reimbursed for the meal, which will be paid to the traveler.
Salary code – not selectable
Hourly limit for meal compensation (h)
Enter the number of hours for the meal compensation to be used in the travel invoice, which must at least be exceeded for the traveler to be entitled to the meal compensation (time interval).