Creating Rate Components


After completing this lesson, you will be able to:

  • Create a Rate Component in SAP Fieldglass.

Rate Component

Rate Components can be used to define an extra level of complexity in rates by breaking out any levies, fees, or markups that exist between the pay rate and the bill rate. They are often used to address local or national laws and governance surrounding contingent labor.

Play the video below to learn about how Rate Components can contribute to a final bill rate.

Navigating the Rate Component Admin Object

screenshot of the Rate Structure section of the Admin Menu, the Rate Component link is highlighted
1To review the list of rate components that the tenant uses, select Rate Component from the Company Structure section of the admin menu.

Rate Component List Page

Because the results of rate component calculations are often the basis of other calculations, individual components cannot be directly associated to rates. Instead, relevant components must first be grouped into rate component groups and the appropriate order of operations established before the rates can be calculated.

screenshot of Rate Component List page, the Type column, the Unit column, the Value column, and the National Insurance link in the Code column are highlighted

The Types of components that can be created are:

  • COS - Cost of Services
  • Margin – The supplier’s profit
  • Fee – Any additional fees not related to the MSP
  • Tax
  • MSP Fee
  • Parity COS - Pay Parity Cost of Services

Unit indicates whether the component is measured as a percentage or as a flat rate. Selection of either requires a value when creating the component.

  • Percentage: This option is available for all rate component types. Enter the percentage that should be used to calculate the rate component.
  • Flat Rate: This option is available for the COS and Fee rate component types. Enter the fee amount.
4Value is the actual number that is used to calculate the rate component.
5To view the details of a rate component, select an appropriate link in the Code column.

Rate Component Details Page

The level of detail in any Rate Component is dependent upon the type of component it is.

screenshot of National Insurance Rate Component Details page highlighting the Rules section

Some rate components, such as this one, contain additional Rules that can be set to allow some adjustments to the rate. This section indicates whether the listed rules have been enabled for this component. Rules are not applicable if the component is an MSP Fee.

The blue information icons next to each rule are text hints that are built into SAP Fieldglass and contain more information about those rules. Roll over of each to learn more about them.

Create a Rate Component

WorkingNet is creating a new Customer Support position for their London Office. Because the position is in the UK, the rate structure includes rate components representing a number of fees imposed upon employers to fund worker pensions and social programs.

One of the fees is a special tax on employers called the Apprenticeship Levy. In order to ensure that the Apprenticeship Levy is accounted for in UK worker rates, WorkingNet needs to add it to SAP Fieldglass as a rate component.

As the SAP Fieldglass administrator for WorkingNet, you’ll be creating that rate component.

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