Personnel Administration Configuration 3

7/21/2019 Personnel Administration Configuration 3

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Topic 21 : Creation of Wage Types

Wage types are salary components like Basic pay, Allowances, Overtime....

We have to create all the wage types according to clientrequirement.

***All the wage types will not be same, like.,

Some wage type we maintains every month, some may every daysome may depends like Basic pay - Every month, Over time -Depends.

Some wage type we may enter amount - like Basic pay, some wage

type we enter Number - Like Over time.

In Master date we maintain wage types in Infotypes: 0008, 0014,0015, 2010, 0267, 0416.

Basic Pay infotype (0008)Recurring Payments and Deductionsinfotype (0014)Additional Payments infotype (0015)EE Remuneration Info infotype(2010)External Bank Transfersinfotype (0011)Time Quota Compensationinfotype (0416)


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Inputs from SAP.com

Definition

Payrolland Personnel Administrationobjects used to differentiate between monetary amounts

or time units that are used in different ways to calculate the employee's remuneration. Inthe SAP System monetary amounts or time units that serve different business purposes, andthat are processed in different ways during the payroll run, are delimited from one another

using wage types.

The Standard Paywage type has a different business background tothe Union Dueswage type.

You enter the number of hours in the Overtimewage type. During the payrollrun the Overtimewage type is processed in a different way to the MonthlySalarywage type.

The Overtime Hourswage type is included in a basis for calculating averagevalues which is different to theHoliday Bonuswage type.

The standard SAP System contains a wage type catalogwith a large number ofdifferent wage types for different business tasks.

Use

There are two categories of wage types:

Primary Wage Types

Primary wage types include:

o

o Dialog wage types that you enter when maintaining master data in theinfotypes.

o Time wage types that the system forms using time information or that youenter online.


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Secondary Wage Types

Secondary wage types are technical wage types generated by the systemin Payrollduring the payroll run.

These wage types have different purposes in the SAP system:

A wage type is typically evaluated with a monetary amount that should bepaid out to the employee or that they should withhold.

It can also be used to cumulate several amounts for statistical evaluation. It can be used by the system in Payrollto temporarily store interim results, and to

move from one step to the next.

The business task of a wage type determines whether it is entered online or is generated by

the system, and how it is processed during the payroll run.

The Standard Paywage type is used to assign the collectively agreed andfixed salary to an employee. It is therefore entered as a dialog wage type inthe Basic Pay infotype (0008).

The Total Gross Amountwage type is used to cumulate all wage types that

belong to an employee's total gross amount. It is therefore generated as asecondary wage type by the system during the payroll run.

The Standard Paywage type is included in the Total Gross Amountwagetype during the payroll run.

Structure

Fields

A wage type consists of the following fields:

AMT (Amount)

In the case of a standard pay wage type, for example, it contains the amount that theemployee should receive.

RTE (Rate)


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Contains the valuation basis therefore in the case of an hourly wage type the hourlyrate, which should be multiplied by the number of hours performed by the employee,during the payroll run.

NUM (Number)

In the case of a time wage type, for example, it contains a number of time units suchas hours, which, during the payroll run, should be multiplied by the valuation basisthat you specified for this time wage type in Customizing.

Depending on the wage type, one of the fields can be filled or entries can be available in twoor all of the fields.

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 employeesubgroup?

o

o Is a wage type regarded as a payment or a deduction?

o Direct or indirect valuation?

o Can the amount be overwritten on-line when an indirect valuationis performed?

o Rounding?

Characteristics that determine how the wage type will be processed during the payrollrun or the evaluation of the payroll results.

Processing Class Evaluation Class

Cumulation wage type, in which the wage type should be included

o

o Basis for calculating average value, in which the wage type should

be includedo Valuation basis, in which the wage type should be included


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Wage Type Groups

Several similar wage types are grouped together in wage type groups

To create WAGE TYPES


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We always COPY wag types from SAP Standard Wag types (ModelWage types)


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Here the place where we do CREATION OF WAGE TYPES

Look at the Country grouping (code)

You can have a question how this company code came


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automatically.

User Profile

If MOLGA: 10


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Group like Info types like 0008, 0014, 0015, 2010

Here the SAP Standard wage types or already customized wagetypes.

Which we use for creation of new wage types


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Original Wage Type Wage Type Long Text Text

/P00 1042-S exempt wages 1042Exm

/P01 1042-S non-exempt wages 1042NExm

/P0X 1042-S difference (retro) 1042Diff/PC0 Non-1042-S cumulation Non1042S

/PFC Total gross for FICA TG FICA

/PNF Total amount, no FICA No FICA

/PTX Tax on 1042-S wages 1042Tax

/PU0 Total, 1042-S taxes 1042Toto

/PUP Nonresident unpaid NRUnpaid

/PXR 1042-S retro tax diff. 1042RtDf

1001 Base Rate / Hourly Wage Hrly Rat

1002 Payscale Salary PSSalary

1003 Pay Period Salary PPSalary

1004 Pension / Retiree Pay PensPay1005 External Hrly Rate ExtRate

1400 Hourly Rate - tips HrlyWage

1401 Hourly Rate - tips HrlyWage

M001 Hourly Rate HrlyWage

M002 Payscale Salary PSSalary

M003 Pay Period Salary PPSalary

M004 Pension/Retiree Pay PensPay

MA01 Salary w/ PC68=balnk PC68=bla

MA03 Salary w/ PC68=1 Reg Sal

MF01 Pay Period Basic Pay PBPay

MF02 Pay Period Adj. Basic Pay PABPay

MF03 Pay Period Loc.Adjustment PLAPay

MF01 Pay Period Basic Pay PBPay

MF02 Pay Period Adj. Basic Pay PABPay

MF03 Pay Period Loc.Adjustment PLAPay

MF04 Hourly Adj. Basic Rate HrABWg

MF05 Pay Period Basic Pay HPBPay

MF06 Pay Period Adj. Basic Pay HPABPay

MF07 Pay Period Loc.Adjustment HPLAPay

TB01 Hourly Rate - tips HrlyWage

TB02 Hourly Rate - tips HrlyWage

Here you enter the new wage type which you wanted to create.

Both WAGE TYPE number (4 digit) and Text both long text and shot text.

Long text means the description if the wage type.


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Customized Wage types

Wage Type Wage Type Text

1001 Base Rate / Hourly Wage

1002 Payscale Salary

1003 Pay Period Salary

1004 Pension / Retiree Pay

1400 Hourly Rate tips

1401 Hourly Rate tips

#13

,

freesaphrAdministrator

Join Date: Jan 2009Posts: 1,172Rep Power: 10

As we said we always use SAP MODEL WAGE TYPES to create newwage types.

***BE CAREFUL when you are selecting the model wage type tocopy.

Basically copying from model wage type is used for.,

The characteristics of your new wage type (Customized Wage type)is same as model wage type and all the things will be same. It will

process same as model wage type in payroll. No need to look at all
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other tables.

And if any new upgrades from country payroll/ SAP Pach-ups doonly for SAP Standards and result all your wage types also will

updates as we copied.


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Look at the SAP Standard Wage type/ Model WAGE TYPE


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This is short text
http://2.bp.blogspot.com/_ZYzSVDOY_LU/SaLbYvZvMII/AAAAAAAAF6U/qsFecB3Du7E/s1600-h/17.JPG


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Here you enter your new wage type number
http://4.bp.blogspot.com/_ZYzSVDOY_LU/SaLbYvNRa-I/AAAAAAAAF6k/4NOK8fzD52s/s1600-h/19.JPG


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We are copying one wage type using M003 (Salary) to create onenew wage type


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5000 is our Wage type number and followed by text
http://1.bp.blogspot.com/_ZYzSVDOY_LU/SaLdeHf4CCI/AAAAAAAAF68/YmEQA9uDqvo/s1600-h/22.JPG


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If you only want one wage type so you can continue...

But here we are showing how to create a bulk wage types using onemodel wage type.

Model Wage type : M003

Customized WAGE TYPE : 5000


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To create a bulk this Wage type is the base wage type


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That mean sequence of 5000 will continue with number of wagetypes are 1 with increase step as 5

Means one new wage type will generate number as 5000+5 = 5005
http://4.bp.blogspot.com/_ZYzSVDOY_LU/SaLhj7jwgSI/AAAAAAAAF80/OqC9z3VIDUI/s1600-h/29.JPG


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Once you done click - COPY


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Make sure to CHECK/TICK - Test Runfirst before main run

ook at the ERRORS, if you got errors go back and check once again.

This is the advantage to copy from Model Wage type, look at theTABLES WHICH ARE UPDATED SAME AS MODEL WAGE TYPE.


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If no errors


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We use to see the errors in detailed list, basically to see if still anyerrors.


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If Error in your wage type, it will show here like 1299 wage type hassome error.


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If your customized wage type are not shown so click next


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Better always use the better Model wage type.

Use drop down list to see all the wage types.

Inputs from SAP.com

Copy Model Wage Types of a Wage Type Group


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UseYou can create your customer-specific wage type catalog by copying model wage types ofa wage type group from the SAP wage type catalog to the customer-specific namespace. Youcan also copy just some of the model wage types of a wage type group.

Procedure

1.2. On the initial screen of thewage type copier, choose Copy.

The Copy Wage Types screen appears.

o

o The TestRunfunction is active. You are advised to perform a testrun first.

o To use the wage type copier live, deactivate the Test Runfunction.

1.

2. Choose Wage Type Group(change wage type group) and specify a wage typegroup.

The wage types of this wage type group are displayed with long and shorttexts.

1.

2. Select the wage types you want to copy and choose CWT (Automatic Assignmentof Customizing Wage Types).

The Wage Type Maintenance dialog box appears.

1.

2. Enter the necessary data and choose .

Only use wage type names from the customer-specific namespace,in other words, names that start with a digit. You can also enter

customer wage type names individually.The copied wage types are displayed with the copy of the long and shorttexts.

1.2. Adapt the wage type texts to meet your requirements, if necessary.

1.

2. Select the wage types you want to copy, and choose Copy.

Result


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You have copied model wage types from a wage type group to the customer-specificnamespace. A list of copied wage types is displayed for you to check.

Your customer-specific wage types have the same wage type characteristics as the SAPmodel wage types that you copied. You can change these characteristics in all theCustomizing steps that enable you to edit wage type characteristics.

In Customizing for Personnel Administration,for example, the WageTypessection is available for each infotype within Payroll Data. Youcan edit the wage types that are valid for this infotype.To change the dialog characteristics of your customer-specificsecondary wage types, access Customizing for Payrolland

choose Basic SettingsEnvironment of Wage Type

MaintenanceCheck Wage Type Characteristics.

Change your country grouping in USER PROFILE like 40 for India,10 for US

And select the model wage type using Text and start copying andcreate as many you want.

Once you done creating new wage type.

If you see the table by going back you will find your wage types

here


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Yes your customized wage types will come to the place where modelwage types stored.

Because you want you use these wage types as Base to create newwage types RIGHT.

Hope you got the local.

Check your wage types are in Basic pay or not.


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Only the wage types in Basic pay will show here.


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Use Position to find your wage types, copy from right wage types ifnot it will not show here.

Create Some good number of wage types so can youcan use in different scenarios.


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Topic 22: Changing WAGE TYPE text

Has we create Wage types with text, after some time if client wanted to

change the text so we don't need to copy the new wage type from

model wage type with new text.

Simply follow he steps


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Check wage type text


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Suppose if you want to change the text of WT 5050

Just change


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Topic 23: Wage Type Permissibility

What is permissibility check? What it is? Wage typepermissibility?

There are two things here.

1. Permissibility of WT for infotypes---This is for permitting your WTas input in the concerned IT. Look into table V_T512Z2. Permissibility of WT for EE subgrouping and PSA.---This forpermitting your WT for the ESG and PSA. Look into table V_511_B

Wage type permissibilty is more or less a part of wage type tool forconfiguring wage types.

The Wage Type Tool is a method of quickly and easily configuringwage types in your system.

It consists of a series of eight wizards. These wizards are step-by-step, question-and-answer-driven screen entries that replace andsimplify the previous configuration procedures. You can:

* View all the characteristics of a model wage type (for example,eligibility, valuation etc.)* Select the individual wage type(s) you wish to copy

* Set the basic configurations for the wage typeThe wage type tool will help you to:* Reduce implementation costs* Simplify and shorten the implementation process* Decrease training needed for end users

To start the Wage Type Tool, enter the transaction hrwtt00main inthe SAP Easy Access screen.

The system displays the tool with a list of wizards and step-by-step,on-screen instructions.

We have created so many wage types according to clientrequirement, like Casual Employees Basic pay, Sales Incentives,Monthly Pension for resignes, Metro Allowances.....

In that some wage types are depends on employee groups andsome are Personnel areas.

Like Metro Allowance - Location based like Delhi, Mumbai..-Personnel area.

And some wage types not use for Personnel area like Hyderabad,


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Pune...(Non-Metro) so what is the use to assign this wage type toall the Personnel areas right?

So assign only which are required, like Casual Basic pay only forSub-group Casualsnot for any other sub-group.

All these we will do here inWage Type Permissibility Tab.


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Find your wage types using Position F7

-------------------------------MISSING THING ---------------------------------------

Screen shot 4 is to showing Position which is used to search wage types.

But before entering this step we should assign first this step


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http://4.bp.blogspot.com/_ZYzSVDOY_LU/SaQ7UnzH_2I/AAAAAAAAGCc/zXc-ZqCn_KQ/s1600-h/15.JPG


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Select your employee groups and sub-groups and differentiate yoursub-groups according to your requirements.

Like all the Casual employees will have same type of wagetypes...so mark kike 1

Real Time Examples

EG Employee Group ESG Employee Subgroup ESG Grouping

1 Employee U0 Hourly 1

1 Employee U1 Salaried-Exempt 2

1 Employee U2 Salary-Non Exempt 2

1 Employee U3 Executive 3

1 Employee U4 Sales 4

2 Retiree / Pensioner U3 Executive 5

2 Retiree / Pensioner U5 Survivor w/Benefits 5

2 Retiree / Pensioner U6 Survivor w/o Benefits 5

2 Retiree / Pensioner U7 Regular Retiree 54 Intern U0 Hourly 1

4 Intern U1 Salary-Exempt 2

4 Intern U2 Salary-Non Exempt 2

7 Temp/Seasonal U0 Hourly 1

7 Temp/Seasonal U1 Salary-Exempt 2

7 Temp/Seasonal U2 Salary-Non Exempt 2

8 Expatriate U1 Salary-Exempt 2

8 Expatriate U3 Executive 3

9 External U8 Contractor 1

9 External U9 Service Provider 1

U Inpatriate U1 Salaried-Exempt 2

U Inpatriate U3 Executive 3


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Here we are taking all the sub-groups has same ES-grouping


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Same way Personnel Subareas


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Here we are taken all the personnel areas have same grouping

Now we need to assign these ES-grouping number and Personnel

sub-grouping number to all the wage types


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This is the same step which we explained before

Select your country grouping and then your wage types

Please ignore some of the wage types texts.


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Country grouping will ask because suppose in one client (saydevelopment system) will have same wage type say 1000 and onemay have employees group based on 1 permissibility and other mayhave 2.

So that was the reason first system will ask country grouping firstsay 10 so you can do changes and it will not reflect other countrylike 40 in the same client.


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Here Employee Grouping, and 0, 1, 2, 3, ...9 are grouping whichyou assigned your sub-groups in the last step (Permissibility ofwage types)

Same for Personnel Subareas


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Same way assign 1 under your personnel subareas

Like here we have 1, 2, 3 ES grouping and personnel subareagrouping.
http://1.bp.blogspot.com/_ZYzSVDOY_LU/SaRA2FYmXbI/AAAAAAAAGEs/aaKdPh0S-14/s1600-h/26.JPGhttp://4.bp.blogspot.com/_ZYzSVDOY_LU/SaRA2PT1-EI/AAAAAAAAGE0/wkJvUc3e8Eo/s1600-h/27.JPG


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Topic 24: Wage Type Characteristics

Determines how a wage type is to behave online or when payroll is run.

Wage type characteristics can be subdivided as follows:

Wage type characteristics that determine the behavior of a wage typeonline, for example:

o Permissibility of entry

o Treatment of a wage type as a payment or deduction wage type

o Direct or indirect treatment of a wage type

Wage type characteristics that determine the behaviour of a wagetype in payroll or in the evaluation of the payroll results, forexample

o Processing classes

o Cumulations

o Evaluation classes

Example

You want to define a maximum wage type amount of $1000 and a minimum

of $10.

The maximum wage type number may be 100, the minimum 1.

The wage type amount should not be included in the totals line of basic pay.

You must enter a wage type amount.

You should only be able to enter the number for a wage type.

You want to set certain units of time and measurement for the number.

You want to set certain units of time and measurement for the number.


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Wage types should be valuated indirectly.

RequirementsYou have set up the wage type catalog and pay scales in the previous step.You have defined your wage type catalog and compiled a list of wage typecharacteristics.

Standard settingsThe standard system contains model wage types which you can copy to yourwage type area. Copied wage types have the same characteristics as themodel ones.

RecommendationIf you intend to use payroll, familiarize yourself with its functionality. You maybe setting up wage types which already exist.

Activities

1. Define the validity period for wage type characteristics.2. Define the operation indicator.3. Define the maximum and minimum wage type amount.4. If you want to edit a wage type for entry in the Basic Payinfotype (0008),determine whether the amount should be included in the total basic pay.5. Define the default units of time/measurement and the minimum andmaximum number.6. Define the number/amount input combinations.7. Define indirect valuation characteristics.


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Indirect valuation is possible in the following infotypes:

Basic Pay(0008)Recurring Payments/Deductions(0014)Additional Payments(0015)Wage Maintenance(0052)

8. If you want to use Time Management, define whether the wage type is abonus or basic hourly pay.9. Delete any unnecessary wage types.

Further notesOnly define wage types which can be entered in above infotypes; wage typeswhich are generated in payroll do not need to be defined.

Select your wage types


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Or you can double click on the wage type

Here we make Wage Type Characteristics

This your selected wage type which you going to change the

characteristics


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Dates - Everyone knows how important dates are in SAP wagetypes are no exception. You can hold different configuration for awage type for specific date periods.

Click on the > symbol to see whether there are more records fordifferent date periods.

SAP confusingly calls the start date "Start Time" and the end date"Exit". It's pretty obvious when you look at the data itself.


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Amount - Minimum and maximum values you can specifyminimum and maximum values for a wage type.

This is useful to stop input errors at source. Having meaningful

values set here can prevent errors at the input stage rather thanhaving to find them in your payroll exception reports or even at alater stage.

The difficulty most customers find that it is very hard to decide onwhat values to use for each instance. Our recommendation is toconfigure meaningful values for most of the wage types that areinput manually. You might only prevent a few incorrect inputs ofdata, but it may well save your organisation a lot of money.

Add to total - Tick this indicator if you would like the value for thiswage type to be included in the basic pay total for the employee.


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If the wage type Deduction wage type so flag it

If you want to maintain Minimum amount to this wage type make ithere.


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Example

If your Wage type is Car Allowance, as the wage type tells carallowance will not be like $10 or $20 their will be some minimum

that you can maintain, suppose if you enter some Rs. 5000 andEnd-user trying to enter less than that system will not take.


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Same for Maximum amount.

Example


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PA30 Master data, will see how system thous error

You must minimum 5000 but we enter 4000


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Now we enter 6000 (More than 5000)


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And result

Input combination - This controls what values are allowed at data entry

i.e. whether you have to enter an amount or you can enter either an

amount or a number with units etc.

There are 5 options for both amount and number and these are controlled

separately for both. The help is very useful in these fields and won't berepeated here.

Input combination amount


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Definition

Define whether the amount and/or number/unit must be maintained for this wage

type.

The following entry combinations are possible:

Amount Number/unit Meaning

'X' ' X' Either amount or number/unit

'-' '-' Neither amount nor number/unit

'+' '-' Amount essential, no number/unit

'-' '+' No amount, number/unit essential

'*' '*' At least amount or number/unit

'+' '.' Amount essential, number/unit optional

'.' '+' Amount optional, number/unit essential

'+' '+' Amount essential, number/unit essential

'.' '.' Amount optional, no number/unit

Note

Please note that the contents of theAmountfield are not evaluated for indirectly

valuated wage types because the field is filled automatically by the R/3 System when

indirect valuation occurs.

Time Levelling and Time Sheet

Basic hours - Defines whether the wage type is a wage type forbasic hours or a bonus wage type. The indicator is used for timelevelling.

Can't say that we have used this very often in SAP.


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*** This step is not important and not useful one


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You can IGNORE this step

Make BLACK (bonus wage types)

Number / Unit


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Time Unit / Measurement - This allows you to stipulate thehours, months, years, shares etc If you have stipulated that theuser is to enter units on the input combination, then you shouldchoose one of the entries from the drop down.

Example Annual leave wage type you enter days as input.


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Other example Overtime you enter hours as input.

You can create as many you can which are not in the drop down inPM -> PA.

You yourself find out.

Minumum and Maximum Number - This is the threshold valuefor minimum and maximum amount which can be entered for awage type in the Basic pay infotype (0008).

If you create or change a wage type in the Basic pay infotype(0008), the system checks the minimum value of a wage typeagainst the created or changed value.

If the value entered in the infotype exceeds the defined minimumvalue for the wage type, the system issues the relevant information

message.


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Same for Max. number like Overtime you can set like max. overtimehours are 10

Indirect Valuation

Indirect Evaluation Module -You can use the indirect evaluation module

to output various default values for wage types on different infotypes.


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Name of a module that valuates wage types according to certain criteria. Thefollowing descriptions of the diverse options can be used for wage types in thefollowing infotypes:

Basic Pay (0008)

Standard Wage Maintenance (0052)Recurring Payments/Deductions (0014)Additional Payments (0015)

For some modules, the type of valuation depends on the specification of themodule variant.The following indirect valuation modules are available in the standard system:

TARIF

TAROD(only for Public Sector Germany)

VERGL(only for Public Sector Germany)

DIFFR(only for Public Sector Germany)

PRZNT

SUMME

UNITS


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CONST

ARBPL

ORTSZ(only for Public Sector Germany)

DOZUL(only for Public Sector Germany)

SAPAC(Spain only)

ANSAL

CHSTD

FCOEF

ICOMP(Indirect valuation for Italy)

ANTIG(Spain only)

INVAL(India only)

EXPAT(only for Management of Global Employees)

BIEN(only for Public Sector Austria)

VWDZU(only for Public Sector Austria)

***READ F1 DOC. andOnce you done the full payroll config you change

the wage type Indirect Valuation and check the results which is one of the

best practice.

The most commonly used ones are as follows:

TARIF -this method valuates according to the "collective agreement

group and level" specifications you enter in the IMG.

Wage types with TARIF will use the settings on the wage type and the

values held in table T510 to populate the relevant value into the relevant

infotype.


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TARIFValuation according to the "collective agreement group and level"specifications you enter in the IMG step:

Module variant 'A'

Country grouping derived from the employee's personnel areaPay scale type from infotype 0008/0052Pay scale area from infotype 0008/0052Pay scale indicator derived from the employee subgroupPay scale group from infotype 0008/0052Pay scale level from infotype 0008/0052Wage type = SPACE

Module variant 'B'

like module variant 'A' except:Wage type = wage type to be valuated indirectly

Module variant 'C'


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like module variant 'A' except:Pay scale level = SPACEWage type = wage type to be valuated indirectly

Module variant 'D'

like modul variant 'A' except:Pay scale group = SPACEPay scale level = SPACEWage type = wage type to be valuated indirectly

PRZNT

This is used where you have a wage type being a constantpercentage of another wage type and wish this to be shown on theinfotype.

The wage type in question and the wage type that the percentage isbased upon (base WT), are all held in table T539J.

Valuation according to the "basic wage type" specifications in the IMG.

Country grouping assigned to the employee master (derived from thepersonnel area)MODUL = 'PRZNT'Valuated wage type = indirectly valuated wage type

Module variant 'B'

The basic pay is determined from the total of all basic wage type amounts

entered in infotype 0008 according to the specifications in the "basic wagetype valuation" step irrespective of which infotype is being valuated. Wagetypes in the Wage Maintenance infotype (0052) are then valuated using thewage types in the Basic Pay infotype (0008).

The value of the wage type to be valuated indirectly is calculated bymultiplying the basic pay by the percentage specified for the wage type to bevaluated.

Module variant 'D'


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The basic pay is determined from the total of all basic wage type amountsspecified in the infotype currently being valuated according to thespecifications in the "basic wage type valuation" step. The wage types in theWage Maintenance infotype (0052) are then valuated using the wage types inthe Basic Pay infotype (0008).

The value of the wage type to be valuated indirectly is calculated bymultiplying the basic pay by the percentage specified for the wage type to bevaluated.

Module variant 'I'

The basic pay is determined from the total of all basic wage type amountsweighted with GWCHT according to the specifications in the "basic wage typevaluation" step. All these basic wage types are valuated indirectly even if

these wage types are valuated directly in the infotype.The value of the wage type to be valuated indirectly is calculated bymultiplying the basic pay by the percentage specified for the wage type to bevaluated.

Module variant 'J'

Like module variant 'I' except that basic wage types are not reduced.

'ANSAL'

This is used in table T539J for the wage types which you would like to be

accumulated and shown as Annual Salary on screen 2010 on infotype 0008 Basic

Pay.

The accounted salary is converted to an annual salary or vice versa. The valid periodvalues from table T549R Period Parametersare used to determine the payroll period

frequency.

You should only use this module for wage types defined as annual salary. You

cannot use this module for other wage types.

Annual salary functionality is available for screen '2010' in infotype 0008 Basic Pay.

SUMME


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Very similar to the 'PRZNT' module except that the value of thewage type to be valuated indirectly is always the entire basic pay.There are different module variants, which can be viewed in moredetail in the SAP help.

Module variants 'B', 'D', 'I','J'

The 'SUMME' module corresponds to the 'PRZNT' module except that thevalue of the wage type to be valuated indirectly is always the entire basic pay.

Module variant 'M'

Corresponds to the module variant 'D'. The basis wage types are valuated asunreduced.

Module variant 'O'

Corresponds to the module variant 'I'. The basic wage types are not weightedin payroll.

CONST

Module for constant valuation of wage types according to table T510K

(V_T510K view). The module variants are either blank, M or P.

INVAL - Indirect Evaluation Module Variant for India

There are four module variants for INVAL:

1. A- This calculates the value of the wage type as a fixed amount.

2. B- This calculates the amount as a percentage of a base wage type addedto a fixed amount. More than one such amount, with same or differentpercentage of the base wage type, can be calculated for an INVAL wage type.


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In this case, the amount that will be Indirectly Evaluated will be the sum of allsuch calculated amounts, added to a fixed amount. For example, for the wagetype M230, the different INVAL B amounts area) 10% of MB10b) 30% of M220

c) Fixed amount of Rs.1000In this case, the INVAL amount for the wage type M230 will be the sum of a, band c.

3. C- This calculates the amount as a percentage of a base wage typesubject to a maximum limit. More than one such amount, with same ordifferent percentage of the base wage type, can be calculated for an INVALwage type. In this case, the amount that will be Indirectly Evaluated will be thesum of all such calculated amounts, subject to a maximum limit. For example,for the wage type M230, the different INVAL C amounts area) 10% of MB10b) 30% of M220c) Limit of Rs.5000In this case, the INVAL amount for the wage type M230 will be the sum of aand b subject to a maximum of c.

4. D- This calculates the amount as one or any combination of the followingINVAL Module variants based on Basic salary slabs:a) Fixed amount

b) Percentage of a base wage type added to a fixed amountc) Percentage of a base wage type subject to a maximum limitIn the SAP system, INVAL D can be configured as only INVAL B or C. Oncethe percentage of the base wage type is calculated, the result is multipliedwith a factor. This resultant amount is then added to fixed amount or iscompared with a maximum limit. For example, the INVAL module variant forthe wage type M210, for an employee who falls in the Basic Salary slab ofRs.10,000 - 12,000, is INVAL C. The INVAL amounts are:a) 10% of MB10b) 30% of M220c) Multiplication factor of 50%

d) Limit of Rs.7000

In this case, the INVAL amount for M210 for the employee is the sum of a andb, multiplied by c and the result is subject to a maximum of d.

If you want to configure the wage type as a fixed amount for a particular slab,the wage type is configured as INVAL B. In this case, the percentage of thebase wage type is multiplied with the factor of 0% and then the fixed amountadded to the result. For example, the INVAL module variant for the wage typeM230, for an employee who falls in the Basic Salary slab of Rs.15,000 -25,000, is INVAL B. The INVAL amounts are:


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a) 100% of MB10b) Multiplication factor of 0%c) Fixed amount of Rs.5000

In this case, the INVAL amount for M230 for the employee is the value of a,multiplied by b and the result added to c. In this case, the INVAL amount willbe the fixed amount of Rs.5000.

Note

For defining INVAL D, instead of using only the Basic salary to be compared with thesalary slabs, you can use the user exit EXIT_SAPLHRPADINA1_006, available in theEnhancement HRINRAP5, to define additional wage types to be added to the Basicsalary. The sum of all these wage types can then be compared with the salary slabsfor the computation of INVAL D.

The base wage type in case of INVAL B, C or D may be the Basic salary, theDearness Allowance or/and any other wage type the employee is eligible for.

Module variant for indirect evaluation

The module variant specifies the module for indirect valuation.The following indirect valuation modules are available in the standard SAPsystem:

TARIF

Module variants: A, B, C, D

TAROD(only for Public Sector, Germany)

Module variants: A, B

VERGL(only for Public Sector, Germany, Austria)


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Module variants: A, B, C, H, I, J

DIFFR(only for Public Sector, Germany, Austria)

Module variants: A, B, C, H, I, J

PRZNT

Module variants: B, D, I, J

SUMME

Module variants: B, D, I, J, M, O

UNITS


CONST

Module variants: ' ', M, P

ARBPL

ORTSZ(only for Public Sector, Germany)

Module variants: 1, 3, 4, 5, 6, 7

DOZUL(only for Public Sector, Germany)

Module variants: A, R, S, Z

SAPAC(Spain only)

Module variants: D, I, J, O

ANSAL

CHSTD



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FCOEF

Module variants: 1, 2, 3, ' '

ICOMP

Module variants:

EXPATModule variants: S, H

Reduction Method- there are a few different options here. The help

documentation is fairly clear about how each method can be used.


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Rounding Type- this is either A, B, C or blank (no rounding typeused). The help documentation is fairly useful.

Like if amount 15.89 if you use round up so it will become 16

Rounding Divisor- put in here whether you wish to round to thenearest 1 pence or cent or put it 100 if you wish to round to thenearest pound or dollar etc.
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Rewritable- you tick this check box if you want to allow the usersto be able to overwrite any of the number, units or amounts thathave been defaulted by indirect evaluation. Don't tick if you wish tostop the user from overwriting anything.


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SAVE once you finish

Use F8to go to next wage type (If you select before) and F7to goback wagetype


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That's it do for all wage types, if you don't want to maintain any minimum

and Max, or Indirect valuation you can leave it.

Only need to input combination (Amount or Number, if number so give

time unit)


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Topic 25: Basic Pay (IT0008)

In this step, you can set up default wage types based on your internalcompany structure for the Basic Payinfotype (0008) using thefeature Planned remuneration specification(LGMST) defined in the

previous step.

ExampleYou want the system to propose the wage type "standard pay" for salariedemployees and industrial workers in all personnel areas. So you assigned thekey "----1DU" to these two employee subgroups in the previous step. In thisstep, you determine the default wage type "standard pay" for this key.

Requirements- You have to define the LGMSTfeature.

Standard settings- The standard system contains a model default wage

type for the LGMSTfeature. This model will not reflect the situation in yourcompany exactly.

Process:

1. Delete and create entries as required.2. For each new one, enter the return code of the LGMSTfeature.a) Enter the key for the "feature for default wage types".b) Define their validity period.c) Assign numbers to the wage types if there are more than one.

d) Define how wage types are to be assigned by entering an indicator inthe Modefield. The following indicators are set:

Indicator MeaningF The wage type is assigned for basic pay and cannotbe overwritten (fixed value).O The wage type can be entered and/oroverwritten.BLANK No wage type entries may be made.e) In the Wage typefield, enter the default wage type for basic pay.


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ExampleYou want the system to propose the wage type "standard pay" forsalaried employees and industrial workers in all personnel areas. Soyou assigned the key "----1DU" to these two employee subgroups in

the previous step. In this step, you determine the default wage type"standard pay" for this key.


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Wage type model

Definition of default values for wage types in the Basic payinfotype (0008).The Planned remuneration specificationfeature (LGMST) determines defaultwage types depending on various values (for example, country, employeegroup, employee subgroup) for the Basic payinfotype (0008). The secondpart of the issued return value (for example, ----1DU-) forms the name for the

wage type model and is read from table T539A, Planned remunerationspecification.

When you create a new infotype record, the value defined using the feature isoffered to you as a default value. Which values you receive depends on theorganizational assignment of the employee.

If necessary, you can delete the defaulted wage type model if it is marked withmode 0(optional) in the view Default wage types for basic pay(V_T539A).

When wage types are marked with mode F(fixed) this is not possible.

Example:For employees, for whom the wage type model ----1DN-is determined usingthe feature Planned remuneration specification, the wage type model MC10isfixed whereas the wage type models MC20and MC30are optional andtherefore can be deleted.


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ode for wage type assignment

F: Wage type is assigned in basic pay and cannot be overwritten.

O: Wage type can be entered and/or overwritten.

Here Wage type Model : CSAL1which contains WT 5000

Total WT's are in Model CSAL1contains : 5000, 5020, 5040, 5050,5070


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Basically all these WT's you can assign to one group of employeegroup so that all these will Default in IT0008

Here other employee group has

Here one more Model.

Like SALARIED EMPLOYEES WILL HAVE CSAL1

Other group like Hourly Employees will not have some wagetypes so


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add those only...

Here only one WT applicable for one type of group, here applicablemeans it will defaults in IT0008


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Here the out put for example, will see more in next level


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Enterprise Structure for Wage Type Model

When your company hires new employees or transfers employees from onedepartment to another, the system proposes wage types in the BasicPayinfotype (0008). These default values often depend on the personnel areaand/or employee group/subgroup.

For a better understanding of the procedure, read the next step beforeperforming this one.In this step, you can define the key for default wage types in accordance withthe above conditions.

The actual wage types are defined in the next section.

If you want to define default wage types for some, but not all, employeesubgroups, group those employee subgroups with the same default wagetypes with this feature. This saves you work in the next step.

ExampleThe Basic Payinfotype (0008) should propose the wage type "standard pay"for pay scale employees, and "non-standard salary" for non-pay-scaleemployees, when you hire an employee or transfer employees to anotherdepartment.

Requirements


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The terms you use to default the different wage types must have beendefined, for example, personnel area, employee group and subgroup.

Your personnel areas, employee groups and subgroups must be defined.

Your wage type catalog must be defined.

You have defined the permissibility of wage types for infotypes.You have set wage type characteristics.

You have grouped employee subgroups and personnel subareas for primarywage types.

Standard settingsThe standard SAP system contains a model for the feature Plannedremuneration specification(LGMST).

RecommendationUse this model.Read the documentation on the feature LGMST.

ActivitiesDefine keys for default wage types.

Enterprise Structure for Wage Type Model

Path:Personnel Management Personnel Administration Payroll

DataBasic Pay Wage Types EnterpriseStructure for Wage

Type Model.

Feature: LGMST

When your company hires new employees or transfers employees from

one department to another, the system proposes wage types in the Basic

Payinfotype (0008). These default values often depend on the personnel

area and/or employee group/subgroup.


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For a better understanding of the procedure, read the next step before

performing this one.

In this step, you can define the key for default wage types in accordance

with the above conditions.

The actual wage types are defined in the next section.

If you want to define default wage types for some, but not all, employee

subgroups, group those employee subgroups with the same default wage

types with this feature. This saves you work in the next step.

Example

The Basic Payinfotype (0008) should propose the wage type "standard

pay" for pay scale employees, and "non-standard salary" for non-pay-

scale employees, when you hire an employee or transfer employees to

another department.


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Select the decision factor like wage type groups will based onemployee groups or personnel area.....

Return Value should be.,

= Total how many wage types want in basic pay (IT0008) / WAGETYPE MODEL

Like 20/ CEXT


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Define Valuation of Base Wage Types

Path:Personnel Management Personnel

Administration

Payroll Data

Basic Pay

WageTypesDefine Valuation of base Wage types.

Table: V_T539J


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You may have already defined indirect valuation for certain wagetypes in the step " Check wage type characteristics".

Depending on which module you use for indirect valuation (seedocumentation on the Module name field), you need to defineadditional procedures to ensure that indirect valuation functionscorrectly.

ExampleIn the Basic Pay infotype (0008), an employee has the wage types'standard pay' and 'standard bonus'. You also want to assign to youremployee the wage type 'percentage bonus' which should be x% of

the sum of the first two wage types.

You have defined the module PRZNT for the 'percentage bonus'wage type.In this step, you must define the wage types to be used as the basisfor calculating the percentage bonus


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PRZNT

40

M220

01

M020

Bonus bypercentage

Monthlysalary

31/12/9999

14/01/1900

100.00

PRZNT

40

M220

02

1101

Bonus bypercentage

Monthlysalary

31/12/9999

15/01/1900

100.00

Mod.n

ameCGr

pgWage

typeN

oWage

typeWage type

textWage

type textEnd

dateStart

date

ANSAL 40 ASAL 0

1

1001 Planned

remuneration

Annual

Salary

31/12/

9999

01/01/

1900

100

.00ANSAL 40 ASAL 0

21101 Planned

remunerationMonthlysalary

31/12/9999

02/01/1900

100.00

ANSAL 40 ASAL 03

M020 Plannedremuneration

Monthlysalary

31/12/9999

03/01/1900

100.00
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specified module.Modules are used for indirect valuation (T511) and for standard pay increases(T510D).

Example

HRA = 50% of Basic pay

WT 5020 = 50% OF WT 5000

Same for other Wage types


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SAVE and go for

Revise Pay Scale Groups and Levels

In this step, you represent the collective agreement governing payment ofyour employees in the SAP system.

ExampleYou would like to enter wage types in the Basic Payinfotype (0008) whichshould be valuated indirectly using the pay scale groups/levels.

RequirementsPay scale types and areas must be defined.


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The collective agreement provisions for each employee group and subgroupmust be defined.You must familiarize yourself with the collective agreements valid in your

enterprise.

Standard settingsThe SAP standard system contains model entries.

RecommendationUse the above functionality.

Actions1. Check the SAP model entries.2. Delete any unnecessary entries.3. Set up the pay scale classification and related data according to yourrequirements.

Take note of the field documentation for the individual fields.

a) In the dialog box, make your entries in the Pay scale typeand Pay scaleareafields.b) Choose New entries.c) Set up the collective agreement provision in the Grpgfield as a meansof differentiating between pay scales for the various employee subgroups.d) Enter the pay scale groups and levels according to the valid collectiveagreement for a specific date.e) Enter the wage type key in the Wage typefield, if required.This entry is used to check an employee's pay scale data and for indirectvaluation.f) Enter values in theAmountand Currencyfields.


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Country Grouping will default if you selected User parameter, if notsystem will ask you to select country grouping.


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Select Pay scale Type use drop down list,


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ES grouping for collective agreement provision

An employee subgroup grouping for collective agreement provisionscombines subgroups which are governed by the same valid collectiveagreement provisions.

A provision is a specific labor law regulation within the collective agreement.


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Examples

1 = Industrial workers/hourly wages2 = Industrial workers/monthly wages3 = Salaried employees4 = Non pay scale employees5 = Public servant

*** Enter the same one which you grouped to your EmployeeGroups


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Pay scale groups and pay scale levels are the criteria used to classify data for job

evaluations and indirect valuations. Pay scale levels are subdivisions of pay scale

groups

S.NO Pay scale Group Pay Scale Level Pay Scale Level Text

1 MD L1 MANAGING DIRECTOR

2 GM L2 GENERAL MANAGER

3 MGR L3 MANAGER4 AST MGR L4 ASST MANAGER

5 DY MGR L4 Dy. MANAGER

6 SUP L5 SUPERVISOR

7 OFF L5 OFFICERS

8 SRE L5 Sr. EXECUTIVE

9 EXE L6 EXCUTIVES

10 CHE L6 CHEMIST

11 OPE L7 OPERATORS

12 CASH L7 CASHER

13 FIT L7 FITTER

14 CLE L7 CLERK

15 TRAN L8 TRAINEES


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Like Minimum 1,000 & Max 1,00,000

Just look at the flow you can get to know.

Like if user enter annual salary below 1000 it will show warning andsame for more then 100000.
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If you enter 1, 17,000 means more then 1,00,000


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If


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You configure ERROR


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SAVE

Define annual salary

It may be necessary in different circumstances to calculate an annual salaryfor an employee. This salary should not necessarily represent the actualamount paid but rather a value that can be used for purposes of comparison.

For example, an annual salary can be maintained in the Basic Pay(0008)infotype.In this step, you define the calculation of the annual salary.


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Example

You wish to calculate and display annual salaries in order to compare payments toyour employees.

You agree annual salaries with your employees and wish to calculate period salariesfrom these automatically.

RequirementsFor the Basic Pay(0008) infotype, you can use the functionality Annual salarycalculation in screen '2010'.

Standard settings

The SAP standard system contains a model for annual salary wage type('ASAL').

RecommendationSAP recommends that you use the model wage type 'ASAL' in your annualsalary calculation.

Activities1. Call the feature ANSAL(Wage type for annual salary).

Here you define the wage type 'ASAL', which as the annual salary wage typedetermines the technical characteristics of the annual salary.

2. Now call the feature PFREQ(Payment frequency for annual salary).Here you define the no. of periods in one year.

Also refer to the documentation on the feature PFREQ.

Warning:Do not change the number of periods in the current operatingsystem, since this can lead to inconsistencies within the existing data. Errorscould appear in salaries that have already been calculated and saved.

3. Now call the view Wage type characteristics.

Check if the wage type 'ASAL', which you defined as the annual salary, hasbeen assigned the moduleANSAL(annual salary) in the block Indirect

valuation.


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Define a rounding type and divisor. These will be used when calculating theannual salary from the period salary.

Other characteristics of the annual salary wage type are not taken intoconsideration..4. Now call the view Evaluate basic wage types.

Not all wage types are relevant for the annual salary. Here you define whichwage types are significant when calculating the annual salary.

Out put like

Like 1950 * 12 = 23400


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Assign Indirect evaluation module ANSAL for all the wage typewhich you want to add to Annual Salary


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Now assign all your wage types which you made ANSAL

to Annual salary wage type ASAL which you first assign in one

feature


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Put ANSAL

As this WT5000 going for Annual salary total with full amount(100%)


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That's it we done Basic pay default components

Now we will check IT008


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IT0008


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Go to create


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Dates start of the record and SAP default end 31.12.9999

Here use drop down list to select the Reason for basic pay

Now the feature defaults are started like.,

TARIF = Pay scale Type/ Pay scale area


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This Pay scale group and level which ever you maintained will comein drop down list


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Here the Time Management & Payroll integration will done.

Will explain in later topic.

This will default from IT0007


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Basically tells edit or not

Input is Rewritable or not


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As we enter only basic pay : 1000 and using indirect valuationlike.,

WT 5020 = 50% of WT 5000 = 500WT 5040 = 20% of WT 5000 = 200WT 5050 = 25% of WT 5000 = 250..

Here we can see which are the wage type going for indirectvaluation as I
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Once you done SAVE, This shows yes you maintain this info type

Documents

Personnel Administration Configuration 3