How To Calculate New Hire Location Factor in Sage Intacct | Arithmix
Learn how to calculate the new hire location factor in Sage Intacct with our step-by-step guide. Ensure accurate payroll calculations and compliance with local tax laws.
Calculating the new hire location factor is an important step in determining the compensation and benefits for new employees. This factor takes into account the cost of living in the location where the employee will be working and adjusts their salary accordingly. Sage Intacct is a popular accounting software that can be used to calculate this factor.
What Is New Hire Location Factor?
The new hire location factor is a percentage that is added to or subtracted from an employee's base salary based on the cost of living in the location where they will be working. This factor is calculated using data on the cost of housing, transportation, food, and other expenses in the area. By adjusting the employee's salary to reflect the cost of living, the employer can ensure that the employee is able to maintain their standard of living in the new location.
For example, if an employee is moving from a low-cost area to a high-cost area, their salary may need to be increased by 20% to maintain their standard of living. Conversely, if an employee is moving from a high-cost area to a low-cost area, their salary may need to be decreased by 10% to reflect the lower cost of living.
When Is It Valuable To Calculate New Hire Location Factor?
Calculating the new hire location factor is particularly valuable for companies that have employees working in multiple locations. This is especially true for companies that have a presence in high-cost areas such as San Francisco, New York City, or London. By adjusting salaries based on the cost of living in each location, the company can ensure that all employees are being compensated fairly and can maintain their standard of living.
Additionally, calculating the new hire location factor can be useful when hiring new employees from different locations. By adjusting the salary to reflect the cost of living in the new location, the employer can ensure that the employee is able to maintain their standard of living and is not discouraged from accepting the job due to a lower salary.
In conclusion, calculating the new hire location factor is an important step in ensuring that employees are being compensated fairly and can maintain their standard of living. Sage Intacct is a useful tool for calculating this factor, but there are also other methods and software available. Employers should consider the cost of living in each location where they have employees and adjust salaries accordingly to attract and retain top talent.
How Do You Calculate New Hire Location Factor in Sage Intacct
Sage Intacct itself isn’t naturally geared towards letting you calculate complex metrics like New Hire Location Factor. As an alternative, teams typically use products like Arithmix to import data from Sage Intacct and build out dashboards.
What is Arithmix?
Arithmix is the next generation spreadsheet - a collaborative, web-based platform for working with numbers that’s powerful yet easy to use. With Arithmix you can import data from systems like Sage Intacct, combine it with data from other systems, and create calculations like New Hire Location Factor.
In Arithmix, data is organized into Tables and referenced by name, not by cell location like a spreadsheet, simplifying calculation creation. Data and calculations can be shared with others and re-used like building blocks, vastly streamlining analysis, model building, and reporting in a highly scalable and easy to maintain platform. Data can be edited, categorized (by dimensions) and freely pivoted. Calculations are automatically copied across a dimension - eliminating copy and paste of formulas.
Arithmix is fully collaborative, giving your entire team access to your numbers and the ability to work together seamlessly.
Calculating New Hire Location Factor in Arithmix
Calculating metrics like New Hire Location Factor is simple in Arithmix. Once you've created your free account, you’ll be able to import your Sage Intacct data, and use it to create natural language formulas for metrics like New Hire Location Factor.
Arithmix is designed to give you the power to build any calculations you want on top of your Sage Intacct data, while also being easy to use and collaborate on. You can share your dashboards with users inside and outside of your organisation, making it easy to empower your whole team.Use Arithmix free