Configure MSWWF for Manufacturing Employees

In compliance with government requirements, employees that work for companies under the manufacturing sector only category are required to contribute to the Manufacturing Sector Workers Welfare Fund (MSWWF). You can set up Dayforce to calculate MSWWF deductions for these employees.

When you select MSWWF as a tax calculation and calculate payroll each month, MSWWF is shown as a deduction item. However, employees who fall under the following categories are to be excluded from MSWWF calculations:

• The employee's monthly income falls within the lowest income bracket
• The employee is identified as a trainee or is a new hire (that is, employed less than a month).

The general process flow for configuring the application to calculate MSWWF in the Dayforce Payroll feature in Mauritius involves the following:

• Exclude Trainees and New Employees from MSWWF Contributions
• Configure MSWWF for Legal Entities of Manufacturing Companies
• Configure the MSWWF Earning Code to Calculate Salary
• Display MSWWF Calculations in Dayforce
• Display MSWWF Details in Reports

Exclude Trainees and New Employees from MSWWF Contributions

This task is comprised of two sets of stages:

• Configuring the trainee option
• Excluding the trainee employee from the MSWWF calculation

Configure the Trainee Option for Your Organisation

To ensure that the trainee option is an available category in the application and to use it for tracking and reporting purposes:

1. Go to Org Setup > Jobs and Job Assignments and click the Employment Indicator tab.
2. Select the Trainee system option.
3. Enter a unique value in the Reference Code field to use it for exporting data to other applications.
4. Click Save.

Exclude Trainee Employees From MSWWF Calculation

To exclude the trainee employee from the MSWWF calculation after a payroll administrator submits a New Hire form:

1. Go to People, open the employee profile, and click Work > Work Assignments.
2. In the Assignments section, select Trainee in the Employment Indicator drop-down list.
3. Click Save.

Configure MSWWF for Legal Entities of Manufacturing Companies

To ensure that MSWWF is calculated correctly for legal entities that fall under the manufacturing sector:

1. Go to Org Setup > Org Payroll Setup > Organization and select the Mauritius legal entity record.
2. Click the Taxation Parameters sub-tab.
3. In the Tax calculation parameters section, select MSWWF in the Employee Welfare Funds drop-down list.

Configure the MSWWF Earning Code to Calculate Salary

To use the MSWWF earning code in basic salary calculation, select the MSWWF checkbox and support MSWFF allowances:

1. Go to Payroll Setup > Earnings and Deductions and click the Tax Compliance Rules tab.
2. Click Allowance
3. In the Mauritius section, select the MSWWF checkbox.
4. Click Save.

For information on tax and compliance codes in Mauritius, see Tax Compliance Rules in Mauritius.

Display MSWWF Calculations in Dayforce

For employees who are eligible to contribute to MSWWF, the calculated employer and employee MSWWF amounts are displayed in the following locations:

• In the Preview sub-tab of Payroll > Pay Run Management, the Summary sub-tab displays Employee MSWWF and Employer MSWWF amounts in the Pay Run and Legal Entity sections.
• In the Payslips tab of the Employee Preview slide-out panel in Payroll > Pay Run Management, the Taxes and Employer contributions sections display the Employee MSWWF and Employer MSWWF calculations for Current and YTD amounts.
• In the Preview sub-tab of Payroll > Pay Run Management, the Employee sub-tab, the Employee Taxes and Employer Taxes sections for both Current and Last amounts display the Employee MSWWF and Employer MSWWF amounts.
• In the Earning Statement Report of Payroll > Pay Run Management and Payroll > Overview, the Taxes and Employer Contributions sections display Employee MSWWF and Employer MSWWF amounts for both the Current and YTD amounts.
• In Statements > Payslips of People, the Taxes and Employer Contributions sections display Employee MSWWF and Employer MSWWF amounts for both the Current and YTD amounts.
• In Payroll > Archived Reports after committing a pay run, the Download Earning Statement Print Report displays the Taxes and Employer Contributions sections display Employee MSWWF and Employer MSWWF amounts for both the Current and YTD amounts.

Display MSWWF Details in Reports

The following reports specific to MSWWF are available:

• MSWWF - Details of Contributions Report
• Monthly Return of Manufacturing Enterprise for MSWWF Report

MSWWF - Details of Contributions Report

Payroll administrators can generate the MSSWWF - Details of Contributions Report in the Tax Filing tab of Payroll > Post Commit Management each month after committing all pay runs for a pay period to display the details of MSWWF contributions per worker, in CSV format.

This report is shown for the selected legal entity records if you configure the MSWWF option for the legal entity. See Configure MSWWF for Legal Entities of Manufacturing Companies.

The report file is named MSWWF - Details of Contributions_Legal Entity Name_TaxMonthTaxYear.csv.

Note: Only employees who have the MSWWF item shown in their earning statement for the month are included in the report.

Monthly Return of Manufacturing Enterprise for MSWWF Report

Payroll administrators can generate the Monthly Return of Manufacturing Enterprise for MSWWF Report in the Tax Filing tab of Payroll > Post Commit Management each month after committing all pay runs for a pay period. This report displays the MSWWF return of manufacturing enterprises for legal entities, in PDF format.

This report is shown for legal entities that have the MSWWF option configured for the legal entity. See Configure MSWWF for Legal Entities of Manufacturing Companies.

The report file is named MSWWF Report_Legal Entity Name_TaxMonthTaxYear.pdf.