Salary Management and Administation

This is sample setup for the Salary Management.

Before we start the setup we need to have the plan and the complete analysis of the Business Requirement.

• Salary Frequency
• Single Currency or multiple Currency involved
• Does company follow any grade Scale for the salary etc..,

LOV for the Salary PROPOSAL_REASON

Follow the setup for the defining the salary

Salary Element Setup

1. Set the effective date.
2. Define an Recurring Element with classification Earning, Actual Termination, Multiple Entries allowed, and with process in Run option selected.
3. Create the input value with the Unit as Money.
4. Link the element based on the Eligibility criteria.
5. For more details about the element setup refer my previous posting http://ramesh-oraclehrms.blogspot.com/2007/07/element-definition.html

Grade Scale Setup (Optional based on Requirement)

workstructure > Grade > Grade Rate

1. Define the Name for the grade rate
2. Select the Unit as 'Money'
3. Save the header information
4. Select the grade name and the enter the minimum and maximum value
5. Save the work
   

Salary Basis Setup

Salary Basis form is used to define the salary basis for each salary element to be used in the salary administration

1. Enter appropriate name for the salary Basis
2. Select the Basis Monthly or Annual or Hourly or Period
3. Based on Basis we selected, we need to enter the annualization Factor. The annualization factor for monthly and Annual will be defaulted by the system. For hourly and period we need to enter
4. Select the element name that we defined above or the seeded element name (Regular Salary or Regular Wages)
5. Select the input value e.g in US legislation for the Regular Salary element choose the option Monthly Salary
6. Select the Grade Rate defined above
7. Select the appropriate Grade rate Basis as defined in the Grade rate form
8. Enter the Grade Annualization factor e.g. for hourly 40 * 52 = 2080 hours
9. Save the Work
   

Navigate the People > Assignment (B)

Note: From the Family ack PF K salary PUI form is replaced by the Self Service Screen

1. Select the Salary information Tab
2. Select the Salary Basis
3. Save the assignment
4. Select the salary button> Add new Salary
5. Enter the Details in the salary Screen
6. Once you apply the salary will be automatically approved for the first time entry.
7. The Salary Element entry will be automatically created once the salary information is saved

Points to be noted

The Salary will be automatically approved during the first time entry and from the second time onwards only the menu or the responsibility having the salary approval function will be able to approve the proposed salary.

Enjoi Implementing!!!