payroll basic setting part i

Payroll Administration (Basic Setting)

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Contents

Payroll Administration (Basic Setting) ......................................................................................... 1

Payroll Administration Basic Setting .................................................................................... 2

1 Purpose ............................................................................................................................... 2

2 Personal Data Payroll ..................................................................................................... 2

2.1 Bank Details .................................................................................................................. 2

2.1.1 Create Bank Connection Types ............................................................................ 2

2.1.2 Define Payment Methods ...................................................................................... 3

2.1.3 Determine Default Payment Method .................................................................. 10

2.1.4 Activate IBAN ....................................................................................................... 12

3 Organizational Data ......................................................................................................... 12

3.1 Set up Organizational Assignment ........................................................................... 12

Define Employee Attributes................................................................................................ 12

3.1.1 Payroll Organisation ............................................................................................ 15

3.1.2 Check Default Payroll Area ................................................................................. 19

3.1.3 Generate Payroll Periods .................................................................................... 25

3.1.4 Generate calendar for comulations and Deduction ......................................... 30

Prerequisites .................................................................................................................... 30

Example ............................................................................................................................ 30


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Payroll Administration Basic Setting

This tutorial is based on a model company GIS (Global Integrated Solutions) delivering a standard configuration for Personnel Management using the most commonly used settings. Customers can extend the Customizing to meet their specific needs.

1 Purpose

This configuration guide provides the information you need to configure this building block manually.

2 Personal Data Payroll

2.1 Bank Details

2.1.1 Create Bank Connection Types

We are maintaining the bank connection types for GIS as under.

.

SubType Bank Connection Type Text Time Constraint

0 Main Bank 1

1 Other Bank 3

2 Travel Expenses 2

5 Main Bank for Off-Cycle 3

6 Other Bank for Off-Cycle 3

Procedure

To add entries, access the activity using the following navigation option:

IMG Path Personnel Management Personnel Administration Personal Data Bank Details Create Bank Connection Types

Transaction Code SPRO


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On the Change View "Subtype Characteristics": Overview screen, choose the New entries pushbutton

.

Enter the following values

Save the entries by clicking

the icon

2.1.2 Define Payment Methods

Use We use two payment methods, Bank Transfer (T) & Cheque (C)), at GIS.

For our understanding, we will proceed to maintain payment method Cheque in the following steps

Procedure Access the activity using one of the following navigation options:

IMG Path Personnel Management Personnel Administration Personal Data Bank Details Define Payment Method

Transaction Code FBZP


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On the Customizing: Maintain Payment Program screen, choose the Pmnt methods in company codes pushbutton.

On the Change View Payment Method in Country": Overview screen, select payment method C to be configured, for example.


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Country PK Currency

In order to define setting for currency (PK) and payment method C, please Double click on Currency Allowed while being on the same window.


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On the next window, click on New Entries.

Maintain the currency PKR for country Pakistan

While saving it following prompt for customizing request appears,

Press enter to save and data is maintained,


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Permitted Destination (Country)

In this step, we will define permitted destination /Country where this payment method Cheque is allowed to use.

While staying on same screen, now double click on permitted destinations (Countries)

Select permitted Destinations , click New Entries and on next screen enter the Country key PK for Pakistan

Save the entries. Our required parameters regarding payment method Cheque are configured.

In the same fashion we can customize any other payment method such as Bank Transfer (T)

As per our requirement, both payments method are configured.


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Maintenance of Company Code Data for payment methods (Bank Transfer & Cheque)

In this step .we will define relevant setting for company code data maintenance with respect to Payment methods at GIS.

Now go back to main screen (FBZP)

On the next screen, select new entries.

In order to maintain relevant company code data for payment method ,please click on the pushbutton New Entries and fill in the required fields

Press enter and entries are maintained.


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Payment Method in country-A cross check

Remaining on the same screen "Maintenance of Company Code Data for a Payment Method, please click the push button Payment method in country

It will lead us to the Change View "Payment Method/Country": Details screen, where both the currency allowed for country (PKR) and permitted Destination (PK) are already maintained.

.

and


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Go back and save the process. While saving it following prompt for customizing request appears, press enter to continue and data would be saved

We can see both the entries Bank Transfer (T) and Cheque (C) are maintained as shown below.

2.1.3 Determine Default Payment Method

Use

In this activity, you can define a payment method which is later proposed as default for certain countries and infotypes when you create bank details.


IMG Path Personnel Management Personnel Administration Personal Data Bank Details Determine default payment method

Transaction Code PE03

(Enter ZLSCH as feature, select the Decision tree radio button and choose Display.)


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On the Process feature ZLSCH: decision tree screen, the system displays the following values. If these values do not exist, create the following entries

Table View

To change from the tree view to the table view, choose PView Table Maintenance.

Save your entries. Activate the feature.


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2.1.4 Activate IBAN

In this activity, you activate the IBAN field in IT 0009 (Bank Details Infotype).


IMG Path Personnel Management Personnel Administration Interfaces and Integration Use of IBAN in Personnel Management

Transaction Code OOIF

On the HR: Switch for IBAN Functionality change view, create the following settings:

Group Sem.Abbr. Value. Abbr. Description

ADMIN IBAN S Activate IBAN Function for HR

Save your entries.

SAP will display a message in the status bar that the data was saved.

3 Organizational Data

3.1 Set up Organizational Assignment

Define Employee Attributes In this activity, we will maintain the employee attributes for Company (GIS)


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.Procedure Access the activity using following navigation option:

IMG Path Personnel Management Personnel Administration Organizational Data Organizational Assignment Define employee attributes


On the pop-up window enter your Country Grouping (PK) and click on Enter to continue.

On the 'Change View "Employee Subgroup Grouping f. Activities/Employment/Train" screen, check that the following values exist:

EEGrp Name of Employee Grp

Employee Subgroup

Name of EE Subgroup

Activity Status

Employment Status

Training Status

M Management PM Permanent 1 2 2

M Management CT Contract 1 2 2

N Non-

Management PM Permanent 1 2 2

N Non-

Management CT Contract 1 2 2

N Non-

Management TR Trainee 1 2 1

N Non-

Management IN Intern 1 2 1

N Non-

Management SC Sub-

Contractor 1 2 1

N Non-

Management AT Apprentice 1 2 1


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When you save, you get again a change request box. You can use the same request or make a new one

by clicking and maintain the new name for the customizing request.

Press enter to continue

SAP will display a message in the status bar that the data was saved.


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3.1.1 Payroll Organisation

In order to define setting for payroll Run we have to carry out following sequential activities

Period Parameters

Let us define the period parameters valid in Customizing for Payroll under Basic Settings -> Payroll Organization -> Define Period Parameters.

Assign Period Parameters to Country Grouping Codes

You have defined period parameters for your country under Basic Settings -> Payroll Organization ->

Assign Period Parameters to Country Grouping Codes. Or (SM30------ V_T549R_CUST)


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Select new entries and make the following entry

While saving it following prompt for customizing request appears, press enter to continue and data would be saved


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Date Modifier

Payroll area is defined by 2 parameters - Period Parameter & Date Modifier.it is used to store pay dates. It defines various date specifications for the payment days with the same periodicity Example When 2 groups of employees are paid in the same manner (for example, monthly payments), but on different dates (ex: 5th and 10th of the month), then 1 single payroll area is created, with the same period parameter, but with 2 date modifiers. The date modifier indicates on which relative date the payroll needs to be paid out.

Navigation Path

Define period parameters for country (PK) under Basic Settings -> Payroll Organization -> Define Date Modifiers. Or (SM30------ V_T549L)

Select new entries and make the following entry

While saving it following prompt for customizing request appears, press enter to continue and data would be saved


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Create Payroll Area:

Payroll areas allow grouping together of employees for whom payroll is run at the same time. Payroll

areas will also be used to set the dates for the payroll period. Personnel numbers will be assigned

to payroll areas in the Organizational Assignment info-type (0001). GIS follows payroll cycle

based on calendar months

Procedure

Access the activity using one of the following navigation options:

We have defined the payroll areas for our system in Customizing for Payroll under Basic Settings -> Payroll Organization -> Check Payroll Area or

in Customizing for Personal Administration under Organizational Data -> Organizational Assignment -> Create Payroll Areas.. Or (T.code SM30------ V_T549A)

The following Payroll Areas have been suggested for Global Integrated Solutions (GIS):

Payroll

Area

Payroll Area

Text

Period

Parameter

Period

Parameter

Text

Payroll

Relevant

Date

Modifier

Z1 Payroll Area for HO,

Peshawar & Lahore

Office

01 Monthly

Select 00

Z2 Payroll Area for Plant 01 Monthly Select 00

Z3 Turnover Payroll area

Z4 Non Payroll Area Blank

. On the Change View Payroll Areas: Overview screen, choose the New Entries button and enter the following values: When you save, you get again a change request box. You can use the same request or

make a new one by clicking and maintain the new name for the customizing request


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3.1.2 Check Default Payroll Area

After defining payroll areas, you can specify default values for the payroll accounting area for your employees. When an employee's organizational assignment is maintained, the correct payroll area is proposed as default in the Organizational Assignment (0001) Infotype .The ABKRS feature is used to define these defaults.

Procedure Access the activity using following navigation option:

IMG Path Personnel Management Personnel Administration Organizational Data Organizational Assignment Check Default Payroll Area


On the Process feature ABKRS: decision tree screen, the system displays the following values:

TCLAS Transaction Class for Data Retention.

Select TCLAS and choose the change /Sub-tree button. Make the following entries:

Employee Grp Employee Sub

Grp

Default Payroll

Areas

Default Payroll Areas Text

Management (M) Permanent (PM)

Z1 HO, Lahore & Peshawar

office

Management (M Contract (CT)


office

Non-Management Permanent (PM)


office

Non-Management Contract (CT) Z1

HO, Lahore & Peshawar

office

Non-Management Sub-Contract (SC) Z4 Payroll Area for Plant

Non-Management Trainee (TR) Z2 Payroll Area for Plant

Non-Management Internee (IN) Z2 Payroll Area for Plant

Non-Management Apprentice (AT) Z2 Payroll Area for Plant


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Please maintain the above values as under;

And so on


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Table View for feature ABKRS

To change from the tree view to the table view, choose PView Table Maintenance.

Note : We can check wether feature data/values contain any error through icon in both type of views (Tree & Table)

Now Save the entries and then Choose Activate .SAP will display a message in the status bar that

the Feature was generated.


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Check Payroll area

In this activity, we will check whether payroll areas and the respective payroll control record for GIS

are maintained properly and everything functional in there.

SAP IMG Path Personnel Management Personnel Administration

Organizational Data Organizational Assignment Check

payroll area


Select the first activity check payroll Area and click choose button


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While saving it following prompt for customizing request appears,

Press enter to continue and data would be saved

Payroll Control Record

Let us access Payroll Control Record through following path

SAP IMG Path Personnel Management Personnel Administration

Organizational Data Organizational Assignment Check

payroll area----Payroll Control Record



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Select the 2nd activity create Control Record and click choose button

Enter the Payroll area Z1, click the Create button and maintain the following entries.

At the bottom of the new screen you will notice

.Now payroll area is functional.

Similarly we can create payroll Controll record for remaining payroll areas of GIS.


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3.1.3 Generate Payroll Periods

In this IMG activity we generate date specifications for payroll periods. We must specify the period start and end dates of the periods as well as the payment dates for each payroll accounting period parameter assigned to a Payroll accounting area.

You generate these specifications automatically upon starting the program. You want to generate the payroll periods for a monthly period parameter from 2015 through 2020. Each period must correspond to a calendar month and the payment date must be three days before the end of the period

In order to executing the payroll processing the RPUCTP00 report should be used to generate the Payroll periods. The Period parameters to be used should be 01. This report would be used to generate the date specifications for a selected period for the payroll periods that is to be valid in your system. For each period parameter that is assigned to a payroll area.

Example

We want to define the payroll periods for the years 2015 to 2020 for the period parameters 01 (Monthly) and the date modifier 00 (Standard modifier). The payment day should be three days before the end of the payroll period. The system calculates the period number independent of the end date of the period.

Make the following entries:

Period parameter 01

Date modifier 00 or ' '

Start date 01.10.2015

End year 2020

Start of fiscal year 0101

Payment day rule 2

Number of days 3

Determine period number 2

Note: Check Carry out table changes. Table data is actually changed if the field is flagged; otherwise this is only a test run.


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Access the Customizing activity using one of the following navigation options:

Call the following transaction SE38 in SAP Easy Access Menu

Press enter and on the next window enter your Program RPUCT00 and click on Execute pushbutton

Or follow the IMG path (Personnel Management Personnel Administration Organizational Data Organizational Assignment Generate payroll Periods


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Generate Payroll Period

Maintain the values as under:

Execute the activity and we will get the following screen which shows that payroll periods are generated


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Check dates of Payroll Period

Go back and select the second activity and press button to check the relevant dates of above generated payroll periods

On the pop-up window enter your Period Parameters 01

and click on Choose to continue.

Dates are shown in the above figure


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Check date of payday

Go back and select the second activity and press button to check the relevant dates of our generated payroll periods

We will get following data about the date of payday for the payroll periods


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3.1.4 Generate calendar for comulations and Deduction

Each payroll period can be assigned to several different time intervals (or calendar types). For every calendar type (for example, quarter) for every payroll period in the system, you must clearly define

In which concrete Cumulation interval (for example, in which quarter) wage types from this period should be cumulated

To which concrete time interval (for example, which quarter) deductions should be assigned

You use report RPUCTP10 to define the assignment of the payroll periods, which you have generated for your enterprise, for time intervals for comulations and deductions (for example, month, quarter, half-year or year). The system needs this assignment

to be able to calculate cumulations correctly

to be able to distribute deductions to the payroll periods correctly

You define the date in the payroll period which this assignment should affect when generating the calendar for cumulations and deductions. In this way you, for example, determine in which month wage types should be cumulated from a weekly payroll period, of which one half is in one month and the other in the following month.

Prerequisites

In the previous step of the Implementation Guide (IMG), we have already used report RPUCTP00 (Generation of Payroll Periods) to generate the payroll periods and payment days for our company/enterprise Global Integrated Solution (GIS)

Example

You want to define the calendar for cumulations and deductions for the years 2000 to 2005 for the period parameter 01 (monthly) and the date modifier 00 (standard modifier). The end date of the period should be the basis for the assignment of payroll periods to the time intervals.

Make the following entries:

Period parameter 01

Date modifier 00 or ' '

Start year 2015

End year 2020

Start of fiscal year 0101

Determine the period number 2


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Note: Check Carry out table changes. Table data is actually changed if the field is flagged; otherwise this is only a test run.

Execute the process and you will get the following screen

It is all done.

payroll basic setting part i

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