What are the Characteristics
of a wage type?
The wage type characteristics describe
entering of wage types and not how they behave in Payroll Wage Type Characteristics.
A wage type is identified by the
following characteristics:
Characteristics that control the
entry of the wage type on-line, for example.
- Can data be entered on-line for
an infotype, personnel area, or employee subgroup?
- Is a wage type regarded as a
payment or a deduction?
- Direct or indirect valuation?
- Can the amount be overwritten
on-line when an indirect valuation is performed?
- Rounding?
Characteristics that determine
how the wage type will be processed during the payroll run or the evaluation
of the payroll results.
- Processing Class
- Evaluation Class
- Cumulation wage type, in which
the wage type should be included
- Basis for calculating average
value, in which the wage type should be included
- Valuation basis, in which the
wage type should be included
What is the advantage of a schema?
The Payroll Schema contains calculation
rules to be executed by the payroll driver during payroll.
SAP has developed country specific
schemas which are based on SCHEMA X000 with country Specific reports. The
first character in the name refers to the country indicator (example U000-In
case of US Payroll)
Schemas are created and edited
by T/code PE01 but actually stores as a collection of rows and Tables T52C0
(SAP Standard schema) and T521C(Customer created schema) and modified SAP
Standard schemas
The Payroll driver reads the lines in T52C0 / T52C1 and executes the function one by one.
The System performs the following
steps :
- Processes the Basic Data and
Time Data
- Queries Off Cycle Payroll runs
- Reads payroll account of the
last period accounted
- Process the Time data and calculates
the individual gross value
- Performs the factoring
- Calculates the Net remuneration
- Performs the Bank Transfer
What is the use of structural
authorizations?
Within Organizational Management,
employee data is represented by the object type P. It is therefore possible
to link the authorization check for emloyee data to the "structural authorization
check" for Organizational Management.
To use this functionality, the
connection between Personnel Administration and Organizational Management
must be activated for authorization purposes. This is controlled by the
settings in the authorization main switch Structural authorization check.
This is processed using the transaction HR:Authorization main switch (OOAC).
As of this release, the Recruitment
component is interfaced to the structural authorization check.
The interface between the structural
authorization check and Recruitment enables you to treat employees and
applicants similarly in terms of authorization checks. You set up the structural
authorization check in the same way as you do in Personnel Administration.
You set up the structural authorization check in customizing for Recruitment
via the following steps:
Maintain structural profile
Assign Structural authorizations
What are the activities needs
to be completed before transferring the applicant?
Data to Personnel administration
Step 1 : Create a personnel
officer or as per your requirement
Step 2 : Do the basic settings
: create number ranges- NUMAP
Step 3 : Choose Number range :
feature NUMAP
Step 4 : Work force requirements
and Assignments - / Create Position –P013 ( T/ code PB40)
Click on Vacancy and create
Create Recruitment instrument
Step 5 : Advertising (T/code
PBAW)
Step 6 : Initial Data Entry ( T/code
PB10)
Step 7 : Applicant Actions
Step 8 : Applicant activity – (
T/Code PB60)
Completed activities and Planned activities
( All activities performed in T/code PB40 IS Planned action. This is the
last step of
Hiring process. Then all the details needs to be entered & data should
be transferred.
Step 9 : Transfer Applicant Data
( T/Code PBA7 – Execute & PBA8 – Complete activity)
(Direct Data Transfer (Enter the applicant number) & Execute)
Now all the data should be transferred to PA30 ( HR Master Data) / Personnel Admininstration.
Define personnel Area & Personnel
Sub area.
Personnel Area : Personnel
Area is the Sub division of Company Code and can represent a functional
or geographical Location. These plays a vital role in time and Payroll
configuration. The Personnel area is Unique within the client and
can be assigned to only one company code.
Personnel area is represented by
a four digit alphanumeric identifiers.
It (Personnel Area) allows you
to generate default values for data entry. Example: for Payroll accounting
area.
It is a Selection criterion for
reporting
It constitutes a unit in authorization
checks.
Personnel Sub Area
The Personnel Sub Areas (PSA) represents
a further subdivision of the personnel area. The Principal Organization
aspects of human resources are controlled at this level. Namely the pay
scale and wage type structures and the planning of work schedules. The
PSA is assigned a four-character alphanumeric identifier.
The main organizational functions
of PSAs:
- To specify Country grouping,
Master data entry, setting up and Processing of wage types and pay scale
groups in payroll period on the country grouping. The grouping must be
unique within the company code.
- To set groupings for TIME Management
so that work schedules, substitution, absence and leave types / quotas
can be set up for individual PSAs.
- To generate a default pay scale
type and area for an employee’s basic pay.
- To define Public Holiday Calendar
- To define sub area specific wage
types for each PSAs
Give some examples for Employee
subgroup.
- Hourly Wage Earners
- Monthly Wage Earner
- Pay Scale Employees
- Non Pay Scale Employees
What is retroactive accounting?
Retroactive accounting is done
when you want to run the payroll for the period which is already Run. It
means that suppose you have run the payroll August, September, October
now due to some reason you are again running the payroll from September
in the month of November.
(Example: Company Management wants
to give salary hike from the month of September). In this case, The
Master data and Time Data changes for the Payroll period exited is called
Retroactive Accounting.
Retroactive Accounting is used to carry forward your old month balance amount to the current Payroll run, if the user made any changes to the master data of the employee.
When you perform a Off-cycle
payroll?
As an addition to regular payroll
which carries out payroll at fixed intervals, this function (Off Cycle)
enables you to carry out specific Off-Cycle payroll activities for individual
employees On any Day.
You can Perform Off-Cycle Payroll
Activities in the following instances:
- You can make a bonus payment
to an employee for a special occasion.
- If an employee is to leave the
company and is to receive payments for these period immediately ( Example
employee resigns in the middle of month).
- You can carryout immediate off-cycle
payroll run if for example employee Master data changes.
How to transfer employee salary
from HR to FI?
For Posting Payroll results to
Accounting in IMG you have to do the following activities:
- Create Symbolic Accounts
- Define Posting Characteristics
of Wage Type (Assign WT to Symbolic Account)
- Go to Payroll USA (India/Intl)-
posting to FA- Activities in the A/c system-Account assignment-
Assign balance sheet
a/c and assign expense A/c.
--- Go to Easy Access – HR-PY USA(Intl)-subsequent
activities-per payroll period-evaluation-
Posting
to accounting - Execute Posting run
Pre requisite for posting is enterthe
posting information in master data and run payroll. After
Doing that perform the following
process:
- Create a Document.
- Release Document ( It asks
do you want to release for - Say Post Immediately.
Define processing class, evaluation
class & Cumulation classes.
Processing Class
Processing Classes determines how
wage types are processed during the payroll run. Sap has given 1-89 as
standard processing classes and you can create custom specific processing
classes as per your requirement
Example:
In the standard system, processing
class 15 determines how a wage type is valuated in
accordance with the principle of averages.
The standard system permits the
following specifications for processing class 15:
Specification 1: Formula frame
for averages over the last 3 months
Specification 2: Formula frame
for averages over the last 12 months
Evaluation Class
Wage type characteristic that controls
processing when evaluating and displaying the payroll results.
An evaluation class has different
specifications.
Example:
- Specification 00: no printing
on the form
- Specification 01: prints personal
payments/deductions
- Specification 02: prints wage
types included in the total gross amount
- Specification 03: prints wage
types derived from time-based payments and included in the total gross
amount.
Evaluation Class 01: Assignment of Wage Types to Symbolic Accounts
Example:
- Specification 20: Direct Labor
Cost
- Specification 26: Recalculation
Difference
- Specification 27: Over Payment
- Specification 30: Salaries
Cumulation classes
Wage Type should be added or cumulated to the respective Wage Type when processing payroll.
How you calculate the overtime?
You can specify the type of overtime
compensation for the following infotypes:
Human Resources
Attendances infotype (2002) for
recorded attendance times
Attendance Quotas infotype (2007)
for permitted overtime
Payroll
Overtime infotype (2005) for recorded
overtime
EE Remuneration Info (2010) for
recording employee bonuses
In this way, you can control whether
an employee's overtime is to be remunerated, or compensated with free time.
The overtime compensation type
is handled differently in payroll:
1. Prior evaluation in time evaluation:
The type of overtime compensation
for recorded attendance time, recorded overtime and approved overtime can
be entered in the Attendances (2002), Overtime (2005) and Attendance Quotas
infotypes (2007) respectively. You can use compensation types to determine
whether an employee is remunerated and/or granted time off for workingovertime.
There are various methods of processing
the overtime compensation type in payroll.
2. Time Evaluation:
Personnel calculation rule (PCR)
TC40
The main criterion for overtime
compensation in time evaluation is the wage type. If the wage type according
to processing class 17 indicates that the overtime should be compensated
using the compensation type defined here, this specification is used when
overtime records are processed in accounting.
3. Payroll: with day processing
of time data (schema TC00):
Sample processing personnel calculation
type TC00.
The overtime compensation type
is generally evaluated in payroll.
4. Payroll without time management
(EE Remuneration Info infotype).
Customer-specific enhancement to
personnel calculation rule X930
