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# What is a Loontype and how do I set it up?

A **Loontype** is a simple label you use to split the kilometer price of a **mobility** (kilometer allowance) into parts. In the mobility, you set a separate price per kilometer for each Loontype. Robaws adds up the amounts of all Loontypes in that mobility to calculate the kilometer allowance.

The Loontypes themselves contain no amounts. They are only a **label** you use in the [mobility](https://support.robaws.com/en/article/applying-a-mobility-allowance-18ab3jf/) to determine the kilometer price per part.

## Where can I find the Loontypes?

Go to **Settings > General**. Under **Master data**, you will find the required sections in **Others**:

* **Loontype** – this is where you create the Loontypes.
* **Mobility** – this is where you create the mobilities and link a kilometer price per Loontype.

![The Loontype section in Settings > General](https://storage.crisp.chat/users/helpdesk/website/-/e/a/d/f/eadf6dec760ec000/wat-is-een-loontype-en_vvak55.png)

## Step 1 – Create a Loontype

1. Go to **Settings > General** and, under **Master data > Others**, click **Loontype**.
2. Click the **Add** action button.
3. Give the Loontype a **Name** that clearly describes the part.

## Step 2 – Link the Loontype to the mobility

Loontypes only become meaningful once you use them in the **mobility**.

1. Go to **Settings > General** and, under **Master data > Others**, click **Mobility**.
2. Create a mobility with the **Add** action button (or open an existing one).
3. Click **Add** to add a line and fill in **Km**, **Price** and **Loontype** for each line.
4. Repeat this for each Loontype and each kilometer limit.

This is how Robaws calculates the kilometer allowance:

* **Km** is an upper limit: the line applies up to and including that number of kilometers.
* For each Loontype, Robaws takes the line with the lowest limit that still covers the number of kilometers. All kilometers are charged at the **Price** of that line.
* The amounts of all Loontypes in the mobility are added up.

You can see the result on the employee's [performance sheet](https://support.robaws.com/en/article/getting-a-performance-sheet-for-your-employees-1kmzzjt/). There, Robaws calculates with the total number of kilometers per mobility in the selected period.

## Worked example

Contractor **Verhelst Bouw** splits its kilometer allowance into two Loontypes:

* a Loontype **Basic allowance**;
* a Loontype **Supplement**.

For the mobility **Commute by car**, Verhelst Bouw sets the following:

* Up to and including 500 km: **€0.20/km** for Loontype **Basic allowance**.
* Up to and including 99,999 km: **€0.15/km** for Loontype **Basic allowance** and **€0.05/km** for Loontype **Supplement**.

An employee travels 400 km in the selected period. Robaws calculates 400 × €0.20 (**Basic allowance**) plus 400 × €0.05 (**Supplement**), €100 in total. At 600 km, the **Basic allowance** falls into the second line: 600 × €0.15 plus 600 × €0.05, €120 in total.

## Good to know

* Loontypes contain **no amounts**. You set the kilometer prices in the **mobility**, per Loontype.
* A Loontype is not linked to an employee. If a group of employees gets a different kilometer price, create a separate mobility and select it in the **Mobility** field on their employee record.
* Fill in a **Loontype** on every line. A line without a Loontype is not included in the calculation.
* If the number of kilometers exceeds the highest **Km** limit of a Loontype, Robaws charges nothing for that Loontype. So set the last limit high enough.
* The **Loontype** and **Mobility** sections are only accessible to users with **administrator rights** (admin).