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Exercise Objectives

After completing this exercise, you will be able to:

• Valuate time wage types using an employee's hourly rate

• Create derived wage types for bonuses

Business Example

Your company pays various bonuses for overtime. For the first two hours overtime in a day, the employee receives a 25% bonus. For each additional hour, the employee receives a 50% bonus. Overtime on Sundays is remunerated by a 75%

bonus, and overtime on public holidays by a 100% bonus. Basic overtime is also subject to remuneration.

Task 1:

1. You require time wage types for overtime remuneration. These wage types are to be entered as employee remuneration information, and an entry is only made in the fields Number/unit (which represents the number of hours in this instance).

The wage types must be valuated with the emplyee's hourly rate, which is contained in the valuation basis /001. You require the following wage types and you want to specify the premium in the statement wage types:

3##1 Up to 2 hours overtime derived 3##5 25% bonus 3##2 From 3 hours overtime derived 3##6 50% bonus 3##3 Overtime on Sundays derived 3##7 75% bonus 3##4 Overtime on public

holidays

derived 3##8 100% bonus

Copy wage type M110 eight times using the wage type copying function to create the wage types specified above.

Task 2:

1. Identify the valuation bases of your wage types 3##1 – 3##4 so that the hourly rate is determined from /001.

Enter wage types 3##5 – 3##8 as derived wage types of 3##1 – 3##4.

Task 3:

1. Check your wage types by assigning employee remuneration information (pay attention to the date) to your employee in payroll period 02, and specifying hours for each of the wage types 3##1, 3##2, 3##3, and 3##4. If your wage types have been valuated correctly for period 02, exit payroll.

Wage type Weekday Number/Unit

3nn1 Any day in February 10 hrs

3nn2 Any day in February 10 hrs

3nn3 Any Sunday in February 10 hrs

3nn4 Any day in February 10 hrs

Solution 11: Assigning Valuation Bases/Derived Wage Types

Task 1:

1. You require time wage types for overtime remuneration. These wage types are to be entered as employee remuneration information, and an entry is only made in the fields Number/unit (which represents the number of hours in this instance).

The wage types must be valuated with the emplyee's hourly rate, which is contained in the valuation basis /001. You require the following wage types and you want to specify the premium in the statement wage types:

3##1 Up to 2 hours overtime derived 3##5 25% bonus 3##2 From 3 hours overtime derived 3##6 50% bonus 3##3 Overtime on Sundays derived 3##7 75% bonus 3##4 Overtime on public

holidays

derived 3##8 100% bonus

Copy wage type M110 eight times using the wage type copying function to create the wage types specified above.

a) To copy time wage types for overtime compensation:

IMG → Payroll → Payroll International → Basic Settings →

Environment of Wage Type Maintenance → Create Wage Type Catalog Choose Copy.

Enter the model wage type M110 in the Original WType field, and 3##1 in the Customizing WType field. Select these lines.

Choose the Copy One Wage Type button, and enter the following information:

Wage type starts at 3##1

Number of wage types 8

Increase each step 1

Change the wage type text as appropriate. When you have done this, deselect the Test run check box and select Copy. Review the results of the wage type copy.

Task 2:

1. Identify the valuation bases of your wage types 3##1 – 3##4 so that the hourly rate is determined from /001.

Enter wage types 3##5 – 3##8 as derived wage types of 3##1 – 3##4.

a) To identify the valuation bases of your wage types 3##1 – 3##4:

IMG → Payroll → Payroll International → Time Wage Type Valuation

→ Valuation Bases → Assign Valuation Bases

Valuate your wage types with the valuation basis 01 to 100% and make the following entries for the first derived wage type.

Current

1. Check your wage types by assigning employee remuneration information (pay attention to the date) to your employee in payroll period 02, and specifying hours for each of the wage types 3##1, 3##2, 3##3, and 3##4. If your wage types have been valuated correctly for period 02, exit payroll.

Wage type Weekday Number/Unit

3nn1 Any day in February 10 hrs

3nn2 Any day in February 10 hrs

3nn3 Any Sunday in February 10 hrs

3nn4 Any day in February 10 hrs

a) To enter the employee remuneration information and run payroll, choose:

SAP Menu: Human Resources → Payroll → International → Payroll

→ Corrections

SAP Menu: Human Resources → Personnel Management → Administration → HR Master Data → Maintain

Choose the infotype menu Working times. Select the Employee Remuneration Info infotype and choose Create. Create employee remuneration info of 10 hours for each of your wage types 3##1-3##4.

Make sure that the date lies within the payroll period February.

Wage type Weekday Number/Unit

3##1 Any day in February 10 hrs

3##2 Any day in February 10 hrs

3##3 Any Sunday in February 10 hrs

3##4 Any day in February 10 hrs

To run payroll for February, go to:

SAP Menu: Human Resources → Payroll → International → Payroll

→ Release Payroll

SAP Menu: Human Resources → Payroll → International → Payroll

→ Start Payroll

Run payroll and check the payroll log to ensure that wage types 3##1 – 3##4 have been processed correctly. Open the log at Successful Personnel Numbers → 400991## → 02 current year → Processing of Time Data → PIT X010 P01 and PIT X013 P01. Review the input, processing, and output of these steps (/001 and /002).

Next, review P2010 X930 GEN NOAB; review the input and output of this import function. Finally, review the input and output of the step PIT X015 GEN. At this point in the payroll process, the wage types should have been valuated and the derived wage types 3##5-3##8 created.

If your results are correct, exit payroll for period 02.

SAP Menu: Human Resources → Payroll → International → Payroll

→ Exit Payroll

Lesson Summary

You should now be able to:

• Identify the basis of person-related valuation bases

• Describe the various personnel calculation rules

• Differentiate between current and derived wage type valuation bases

• Understand the valuation of wage types using the X010 and X013 in the schema

• Identify types of valuation bases

Unit Summary

You should now be able to:

• Identify the types of constant remuneration

• Understand the evaluation of wage types using the XMOD rule in the schema

• Identify the basis of person-related valuation bases

• Describe the various personnel calculation rules

• Differentiate between current and derived wage type valuation bases

• Understand the valuation of wage types using the X010 and X013 in the schema

• Identify types of valuation bases

Test Your Knowledge

1. Which function imports the bonuses for dirty work entered as employee remuneration information?

Choose the correct answer(s).

□ A P2000

□ B P2005

□ C P2010

□ D P2015

2. Which of these expressions transfers the wage type to the output table OT as per the personnel calculation rule X013?

Choose the correct answer(s).

□ A RTE = TSDIVP

□ B DIVID ARR

□ C ZERO = A

□ D ADDWT *

3. While valuating wage types in the schema, the subschema XT00 calls the personnel calculation rule X013 first.

Determine whether this statement is true or false.

□ True

□ False

Answers

1. Which function imports the bonuses for dirty work entered as employee remuneration information?

Answer: C

The function P2010 imports the bonuses for dirty work entered as employee remuneration information. After the import of bonuses using P2010, the wage types are then stored in the internal table IT.

2. Which of these expressions transfers the wage type to the output table OT as per the personnel calculation rule X013?

Answer: D

The expression ADDWT * transfers the wage type to the output table OT.

3. While valuating wage types in the schema, the subschema XT00 calls the personnel calculation rule X013 first.

Answer: False

While valuating wage types in the schema, the rule X010 is called from within subschema XT00 first. The subschema XT00 then calls personnel calculation rule X013.

Unit 8

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