Tax & Fringes Use Examples

This document expands further the definitions of the Tax & Fringe Unit types and how they work in the budget.

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% (Percent)

Figure: Line 1 has a Labor transaction with a subtotal of 1000. In the Sidebar, a % (Percent) Tax/Fringe is applied at 10%, resulting in a Tax/Fringe value of 100 on the line.

Fringe Unit	Description
% (Percentage)	Applies the Rate as a percentage of the applied line’s Subtotal. Example: A 10% fringe on a Subtotal of 1000 adds 100 to the line’s fringe amount.

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%EP (Percent of Episode)

Fringe Unit

Description

%EP (Percent of Episode)

Applies the Rate as a percentage based on the number of Episodes assigned to the line via Sidebar > Episodes. This creates a per-episode total used in the %EP calculation. This Fringe works best when a Ceiling value is set and is particularly useful for SAG-AFTRA per-episode contributions. Example: For a cast member paid per episode, %EP ensures the proper floor and ceiling are applied to the per-episode rate.

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%Scale (Percent of Scale)

Figure: In this %Scale fringe example, Line 1 has a Crew Header row with a Scale Rate of 1400 per week, while a Hire Rate of 1500 per week has been applied to the line. In the Sidebar, a %Scale Tax/Fringe is applied at 10%, resulting in a Tax/Fringe value of 140 on the line.

Fringe Unit

Description

%Scale (Percent of Scale)

The %Scale-based unit applies a percentage from the Rate field of the Tax/Fringe. When used on a line, this percentage is calculated against the Scale Rate defined in the Cast or Crew header row and then multiplied by the line’s Amount field. This is useful for select taxes and contributions that are based on Scale Rates rather than the actual rate paid to a person, protecting over-scale rates from generating an erroneous Tax & Fringe amount. Example: A crew member has a Hire Rate of $1,500 per week and a defined Scale Rate of $1,400 per week. The line is set to 1 week with the Rate of $1,500 applied, so the subtotal shows $1,500. When a 10% %Scale fringe is applied, the system calculates 10% of the Scale Rate ($1,400) instead of the line’s Rate ($1,500), resulting in a fringe of $140 for that line.

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Hour

Fringe Unit	Description
Hour	The Hour-based unit applies a flat amount from the Rate field of the Tax/Fringe. When used on a line, this rate is multiplied by the line’s Phase Pay Hours, which are defined in Preferences → Core Data. Example: A line item assigned to the Prep Phase has 12 Prep/Wrap Pay Hours. With an Hourly T&F rate of $7, the calculation applies $84 (12 × 7) to the line’s Tax & Fringe total.

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Day

Fringe Unit

Description

Day

The Day-based unit applies a flat amount from the Rate field of the Tax/Fringe. When used on a line, this rate is applied per day, with line units such as Day, Week, or Month internally converted to the equivalent number of days. Example 1: A line item shows 5 Days, with a Day T&F rate of $7. The calculation applies $35 (5 × 7) to the line’s Tax & Fringe total. Example 2: A line item shows 2 Weeks. If the Calendar data for this Line's Location is set to 5 Days per Week and the Day T&F rate is $7, the calculation applies $70 (2 × 5 × 7) to the line’s Tax & Fringe total.

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Week

Fringe Unit

Description

Week

The Week-based unit applies a flat amount from the Rate field of the Tax/Fringe. When used on a line, this rate is applied per week, with line units such as Day, Week, or Month internally converted to the equivalent number of weeks. Example 1: A line item shows 5 Weeks, with a Week T&F rate of $200. The calculation applies $1,000 (5 × 200) to the line’s Tax & Fringe total. Example 2: A line item shows 25 Days. If the Calendar data for this Line's Location is set to 5 Days per Week and the Week T&F rate is $200, the calculation applies $1,000 (25 ÷ 5 × 200) to the line’s Tax & Fringe total.

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Month

Fringe Unit

Description

Month

The Month-based unit applies a flat amount from the Rate field of the Tax/Fringe. When used on a line, this rate is applied per month, with line units such as Day, Week, or Month internally converted to the equivalent number of months. Example 1: A line item shows 1 Month, with a Month T&F rate of $1,000. The calculation applies $1,000 (1 × 1,000) to the line’s Tax & Fringe total. Example 2: A line item shows 4 Weeks. If the Calendar data for this Line's Location is set to 4 Weeks per Month and the Month T&F rate is $1,000, the calculation applies $1,000 (4 ÷ 4 × 1,000) to the line’s Tax & Fringe total.

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Episode

Fringe Unit

Description

Episode

The Episode-based unit applies a flat amount from the Rate field of the Tax/Fringe. When used on a line, this rate is applied per episode, based on the number of episodes assigned in the Episodes column. The line’s Tax & Fringe total is calculated by multiplying the rate by the number of episodes for that line. Example: A line item is associated with 3 of 8 episodes, with an Episode T&F rate of 500. The calculation applies $1,500 (3 × 500) to the line’s Tax & Fringe total.

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Flat

Fringe Unit	Description
Flat	The Flat-based unit applies a fixed amount from the Rate field of the Tax/Fringe. When used on a line, this rate is applied directly to the line’s Tax & Fringe total and is not modified or adjusted by any other line item data. Example: A line with a Flat T&F rate of $100 will apply $100 to the line’s Tax & Fringe total.

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Hour pD (Hour per Day)

Fringe Unit

Description

Hour pD

The Hour pD-based unit applies the amount from the Rate field of the Tax/Fringe. When used on a line, Hour pD is calculated based on the line item's total hours, determined by the Day Type T&F hours multiplied by the Amount field. A Day Type's T&F Hours are defined in Element Manager > Day Types. Example 1: A line with a Regular Day type is defined as having 12 T&F Hours, with an Hour pD rate of 7. The calculation applies $84 (12 × 7) to the line’s Tax & Fringe total.