WAZO daily wage calculation the UWV way, in seconds
The UWV, the Dutch employee insurance agency, only tells you afterwards how high a WAZO benefit should have been. We built the application that does the calculation in advance, the same way the UWV does, straight from the wage tax returns in Nmbrs. Within seconds the correct daily wage is ready, with every intermediate step.
Works with
The question
What it was about
For pregnancy, maternity, adoption and additional birth leave and for paid parental leave, the UWV pays a WAZO benefit, usually to the employer, who runs it through payroll. How high that benefit will be, the employer only hears afterwards, and the amount almost always differs from the gross wage and from the social insurance wage. Calculating it yourself in advance means looking up data from a full year of wage tax returns and doing a complicated calculation by hand.
What we built
The solution
An application in C# that carries out the UWV daily wage calculation step by step: the social insurance wage in the reference year, reduced by holiday allowance and gross personal budget paid out and increased by the reserved amounts, without incidental income reductions, divided by 261 days, indexed and capped at the maximum social insurance daily wage.
An integration with the Nmbrs API that retrieves all relevant wage tax returns of the employee at the push of a button, so nobody has to look up or retype data any more.
Every intermediate step of the calculation is visible, so the payroll administrator can explain the result to the employee and compare it with the UWV decision. The calculation rules were tested against real cases together with payroll experts and recorded in automated tests.
In brief
For whom
Payroll administrators who process WAZO benefits and work with Nmbrs
Client
HRplugin (Waalwijk), which offers the tool as a plugin
Role of LK Software
Translation of the UWV calculation rules into code, development of the application and the Nmbrs integration
Packages
Nmbrs
Status
In production
How it works
In four steps
01
Connect
The application is connected once to the firm's Nmbrs environment.
02
Choose employee
The administrator selects the employee and the first day of leave; the reference year follows from that.
03
Calculate
The wage tax returns are retrieved and the UWV method is applied, including corrections, indexation and the cap.
04
Process
The daily wage and its substantiation go into payroll and into the check of the UWV decision.
Result
What it delivers
The correct WAZO daily wage in seconds, with the same outcome as the UWV.
No more searching through wage tax returns and no differences afterwards.
We also translate calculation rules of the UWV or the Dutch Tax Administration into tested code for other calculations, such as transition payments or the daily wage in case of illness.
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