Payroll Processing Agreement Product Description
- Sigrid Kviteberg
Agreement Overview and Scope
Under this agreement, the Supplier is contracted to handle the processing of payroll for the Customer’s International payroll. This agreement is intended to outline the Services the Customer will purchase from the Supplier and the related delivery mechanisms and processes.
The tasks listed in the tables below are within the scope of the Customer’s payroll functions. The “Responsible”-column defines which party is responsible for carrying out the specific tasks on a monthly basis. Furthermore, the “Price”-column specifies which tasks are covered by the fixed per pay slip price, and which tasks are offered by the Supplier as Professional Services, priced per hour.
If “Per Hour” work is needed due to Supplier errors, invoicing will never be done for these hours. If “Per Hour” work is needed due to Customer errors, invoicing will always be done for these hours.
Employment – New/Terminated employees
No. | Task | Description | Interval | Responsible | Price |
1 | New employees | Register new employees, update information | Continuously | CUSTOMER | Per Hour |
2 | Terminate employees | Register end date, update information | Continuously | CUSTOMER | Per Hour |
3 | Salary changes | Update personal rates | Continuously | CUSTOMER | Per Hour |
4 | Seniority | Update/maintain/check seniority | Continuously | CUSTOMER | Per Hour |
Pay scales
No. | Task | Description | Interval | Responsible | Price |
5 | Update pay scales | Copy/Update pay scales when new rates are released/ready. | Yearly | ADONIS | Incl. in per Pay Slip price |
6 | Payscale changes | Change/adjust pay scale setup | By request | ADONIS | Per Hour |
7 | New Pay scales | Create new pay scales | By request | ADONIS | Per Hour |
Travel expenses (APP)*
*This section 3.3 is only applicable if the Customer has entered into an agreement with the Supplier to use the Suppliers system for electronic travel expense handling: Adonis Personnel Portal – Travel Expense Module.
No. | Task | Description | Interval | Responsible | Price |
8 | Check of TE | Check of travel expenses before approval | Continuously | CUSTOMER | Per Hour |
9 | Approval of TE | Approve travel expenses | Continuously | CUSTOMER | Per Hour |
10 | Transfer to Payroll | Transfer of approved travel expenses to payroll | Monthly | ADONIS | Incl. in per Travel Expense price |
Payroll*
*It might be that not all tasks will apply to the Customer.
No. | Task | Description | Interval | Responsible | Price |
11 | Fixed advance | Add fixed advance for employees | Monthly | CUSTOMER | Per Hour |
12 | Fixed advance payment file | Produce payment file for fixed advance | Monthly | ADONIS | Incl. in per Pay Slip price |
13 | Upload fixed advance payment file | Execute payment of fixed advance, upload and approve | Monthly | CUSTOMER | Per Hour |
14 | Tax cards | Request new/changed tax information | Monthly | CUSTOMER | Incl. in per Pay Slip price |
15 | Calculate payroll | Calculate payroll with fixed / automatic transactions | Monthly | ADONIS | Incl. in per Pay Slip price |
16 | Variable transactions | Add manual and/or import variable transactions to payroll (included manual travel expenses) Monthly variables will be sent in a spread sheet based on Adonis requirements | Monthly | ADONIS | Incl. in per Pay Slip price |
17 | Calculation of backpay | Calculate backpay with APM | By request | ADONIS | Incl. in per Pay Slip price |
18 | Check 1 | Check/control of payroll period before payment | Monthly | CUSTOMER | Per Hour |
19 | Payment file 1 | Produce payment file 1 / Lock payment | Monthly | ADONIS | Incl. in per Pay Slip price |
20 | Upload payment file 1 | Execute payment no.1 to employees, upload and approve in bank | Monthly | CUSTOMER | Per Hour |
21 | Produce/send payslip 1 | Produce and save/send payslip no.1 via email to employees | Monthly | N/A | Incl. in per Pay Slip price |
22 | Re-calculate payroll | Re-calculate payroll after month is done | Monthly | ADONIS | Incl. in per Pay Slip price |
23 | Check 2 | Check/control of payroll and new balances/payments | Monthly | CUSTOMER | Per Hour |
24 | Payment file 2 | Produce payment file 2 / Lock final payment | Monthly | ADONIS | Incl. in per Pay Slip price |
25 | Upload payment file 2 | Execute payment no.2 to employees, upload and approve in bank | Monthly | CUSTOMER | Per Hour |
26 | Close month | Close payroll period/month | Monthly | ADONIS | Incl. in per Pay Slip price |
27 | Produce/send payslip | Produce and save/send final payslip via email to employees | Monthly | ADONIS | Incl. in per Pay Slip price |
28 | Produce accounting file | Produce accounting file from APM | Monthly | ADONIS | Incl. in per Pay Slip price |
29 | Post accounting file | Upload/Post accounting file to/in accounting system | Monthly | CUSTOMER | Per Hour |
30 | Send A- melding | Validate A-melding and send to Altinn, check feedback. | Monthly | ADONIS | Incl. in per Pay Slip price |
31 | Contact with employees | .. | Continuously | CUSTOMER | Per Hour |
Other payroll/reporting related routines (Monthly/bi-monthly/quarterly)
Employees on sick leave
No. | Task | Description | Interval | Responsible | Price |
32 | Medical certificates | Pick up/Send medical certificates in Altinn | Continuously | CUSTOMER | Per Hour |
33 | Add activities | Add sickness/absence activities in APM | Continuously | CUSTOMER | Per Hour |
34 | Sick leave follow-up | NAV requirement … | Continuously | CUSTOMER | Per Hour |
35 | “Inntekts- melding” | Sending “Inntektsmelding” via Altinn portal | Continuously | ADONIS | Incl. in per Pay Slip price |
36 | “Refusjon” | Follow-up on refund of sick pay from NAV | Monthly | ADONIS | Incl. in per Pay Slip price |
Settlement of days
No. | Task | Description | Interval | Responsible | Price |
37 | Ad-hoc/yearly | Ad-hoc or annual settlement of sailing days / extra days payment | Ad-hoc/ Yearly | ADONIS | Incl. in per Pay Slip price |
38 | Termination | Settlement of sailing days / extra days payment for terminated employees | Monthly | ADONIS | Incl. in per Pay Slip price |
Other/Norwegian reporting*
*Norwegian reporting is only applicable for customers running Norwegian payroll
No. | Task | Description | Interval | Responsible | Price |
39 | Sailing days | Reconciliation of reported sailing days | Monthly | ADONIS | Incl. in per Pay Slip price |
40 | “Kontroll- oppstilling” | Reconciliation of A- melding/APM/Accounting system | Bi-monthly | ADONIS | Incl. in per Pay Slip price |
41 | Pension – PTS | Reporting of Seamans pension (PTS) | Bi-monthly | ADONIS | Incl. in per Pay Slip price |
42 | Pension – Other | Reporting of other company pension agreements | N/A | N/A | Per Hour |
43 | “Skatt / AGA” | Payment of income tax / employers’ tax | Bi-monthly | CUSTOMER | Incl. in per Pay Slip price |
44 | “Nettolønns- refusjon” | Grant scheme for the employment of seafarers | Bi-monthly | ADONIS | Incl. in per Pay Slip price |
45 | “Fartstid” | Reporting of “Fartstid” via Altinn | N/A | N/A | Per Hour |
46 | “Fagforening” | Reporting of union fees via portal | Bi-monthly | ADONIS | Incl. in per Pay Slip price |
47 | “Fagforening” | Payment of union fees | Bi-monthly | CUSTOMER | Per Hour |
48 | Ad-Hoc reporting | Other reports by request | By request | ADONIS/ CUSTOMER | Incl. in per Pay Slip price |
Yearly payroll routines
No. | Task | Description | Interval | Responsible | Price |
49 | Vacation pay | Process vacation pay in May/June if employees are entitled to vacation pay. | Yearly | ADONIS | Incl. in per Pay Slip price |
50 | “Årlig sammenstilling ” | Produce/save/send “Yearly income statement” via email | Yearly | ADONIS | Incl. in per Pay Slip price |
51 | Check of accumulators | Check of accumulators that should not be reset at year end. | Yearly | ADONIS | Incl. in per Pay Slip price |
52 | Adjustment of accumulators | If needed, adjustment of accumulators to show correct balance. | Yearly | ADONIS | Per Hour |
53 | Close year | Run close year routine in APM | Yearly | ADONIS | Incl. in per Pay Slip price |
54 | Prepare new year | Add payroll periods in APM, request new tax cards, verify if EDAG setup needs to change etc. | Yearly | ADONIS | Incl. in per Pay Slip price |
General maintenance of APM
No. | Task | Description | Interval | Responsible | Price |
53 | Global rates 1 | Update global/company rates related to Norwegian reporting | Yearly (min.) | ADONIS | Incl. in per Pay Slip price |
55 | Global rates 2 | Update global/company rates related to COMPANY special rates | Yearly (min.) | ADONIS | Incl. in per Pay Slip price |
56 | Entry codes | New/change Entry codes | By request | ADONIS | Per Hour |
57 | EDAG setup | Change/Update EDAG setup | Yearly (min.) | ADONIS | Incl. in per Pay Slip price |
58 | Other | Other changes in APM | By request | Per hour |
General maintenance of APP*
*Only applicable for customers using the Adonis Travel Expense module.
No. | Task | Description | Interval | Responsible | Price |
59 | Allowance rates | Update allowance rates | Yearly (min.) | ADONIS | Incl. in per Travel Expense price |
60 | Other rates | Update other rates | Yearly (min.) | ADONIS | Incl. in per Travel Expense price |
61 | Chain of approval | New/change chain of approval | By request | CUSTOMER | Per Hour |
62 | Changes in TE setup | New/change setup of Travel Expenses | By request | ADONIS | Per Hour |
63 | Changes in other APP setup |
| By request | ADONIS | Per Hour |
Other
No. | Task | Description | Interval | Responsible | Price |
64 | SLA review | Update/Adjust | Yearly | ADONIS & CUSTOMER | Incl. in per Pay Slip price |
65 | Payroll calendar | Update/Adjust | Yearly | ADONIS & CUSTOMER | Incl. in per Pay Slip price |
66 | Meetings | Ad-hoc meetings related to Payroll Services | By request | ADONIS & CUSTOMER | Incl. in per Pay Slip price |
Out of Scope
Additional Services which are outside the scope of this agreement includes, but are not limited to:
General training in the use of Adonis products
Major changes in setup and use of the system
Changes in Adonis Control Center
Estimates / Quotes / Fees
Professional Services which are not covered by the fixed monthly price are calculated on actual hours. If any work takes less time to complete than estimated, the Supplier will only use the actual time. Similarly, if the work takes more time to complete than estimated, the Customer will be billed for the actual time.
Prices
The Customer will pay the Supplier a one-time fee for Setup and Configuration.
Furthermore, the Customer will pay the Supplier a fixed monthly price per payslip for the services specified in Paragraph 3 – Agreement Overview and Scope.
Customer Responsibilities
Provide access to APM - access via Citrix, user for APM (personal users should always be given)
Provide access to Customer email, if required by Adonis
Provide access to Authority or other reporting Portals (if reporting should be done by Supplier)
Provide access to Pension providers (if reporting should be done by Supplier)
Provide access to the bank (if payments should be initiated from/uploaded by Supplier)
Provide access to Finance/Accounting system (if posting and/or reconciliations should be done by Supplier)
Provide access to Union portal (if reporting should be done by Supplier)
Adonis Responsibilities
A report containing an overview of variables sent monthly right after payslips are sent to the customer's finance department
A report containing garnishments and imposed tax per employee together with a bank account and KID
Reconciliation reports for employer’s fee, tax and leave Due date no later than the last day of the month.
Communications
Communications will primarily occur via the ticket in the Supplier’s ConnectWise ticketing system. To communicate with the assigned resource(s), the Customer can reply to the ticket notification email(s) and the assigned resource(s) be notified. The Customer may also update the ticket using the Customer Portal.