You are on page 1of 77

Table of Contents

1.

Enterprise Structure in Payroll.......................................................................................................................................1


1.1.
Create Personnel Area/Subarea..............................................................................................................................1
1.2
Create Employee Group/Subgroup........................................................................................................................1
1.3
Assignment of Personnel Area to Company Code.................................................................................................2
1.4
Assignment of Employee Subgroup to Employee Group......................................................................................2
2
Personnel Management..................................................................................................................................................3
2.1
Basic Settings.........................................................................................................................................................3
2.1.1
Maintain User Parameter...........................................................................................................................3
2.1.2
Create Number range for Personnel Numbers.......................................................................................3
2.1.3
Determine defaults for number ranges....................................................................................................3
2.2
Employee Master Maintenance..............................................................................................................................4
2.2.1
Master maintenance menu........................................................................................................................4
2.2.2
Infotype Menu for Personal Data..............................................................................................................4
2.3
Personnel Actions...................................................................................................................................................5
2.3.1
Define infogroups for Personnel Actions.................................................................................................5
2.3.2
Set up personnel actions............................................................................................................................6
2.3.3
Create reasons for personnel actions......................................................................................................6
2.3.4
Change action menu...................................................................................................................................6
2.4
Define EE Subgroup Grouping for PCR and Coll.Agmt.Prov...............................................................................7
2.5
Create Payscale Area/Type.....................................................................................................................................8
2.6
Check Assignment of Payscale Structure to Enterprise Structure.........................................................................8
2.7
Personnel Subarea grouping for Primary wage types............................................................................................8
2.8
Employee Subgroup Grouping for primary wage types........................................................................................9
3
Time Management..........................................................................................................................................................9
3.1
Work Schedule Configurations..............................................................................................................................9
3.1.1
Personnel Subarea grouping for work schedule....................................................................................9
3.1.2
Group Personnel Subareas for the Daily Work Schedule...................................................................10
3.1.3
Define Daily Work Schedules..................................................................................................................10
3.1.4
Define Period Work Schedules...............................................................................................................11
3.1.5
Define Employee Subgroup Groupings for Work Schedule...............................................................11
3.1.6
Define Groupings for the Public Holiday Calendar..............................................................................12
3.1.7
Set Work Schedule Rules and Work Schedules..................................................................................12
3.1.8
Generate Work Schedules Manually......................................................................................................13
3.2
Time Data Administration....................................................................................................................................14
3.2.1
Group Personnel Subareas for Attendances and Absences..............................................................14
3.2.2
Define Absence Types..............................................................................................................................14
3.2.3
Define Counting Classes for the Period Work Schedule....................................................................15
3.2.4
Group Employee Subgroups for Time Quotas......................................................................................15
3.2.5
Group Personnel Subareas for Time Quotas........................................................................................16
3.2.6
Define Counting Rules..............................................................................................................................16
3.2.7
Define Absence Quota Types..................................................................................................................16
3.2.8
Define Time Quota Compensation Methods.........................................................................................17
3.2.9
Permit Attendances/Absences to be Recorded Without Clock Times..............................................17
3.3
Leave Maintenance..............................................................................................................................................17
3.3.1
Group Personnel Subareas for Leave Types........................................................................................17
3.3.2
Define Leave Types..................................................................................................................................18
3.3.3
Set Default Values for Leave Control.....................................................................................................18
4
Payroll Configurations.................................................................................................................................................20
4.1
Basic Payroll Settings..........................................................................................................................................20
4.1.1
Define Period Parameters........................................................................................................................20
4.1.2
Define Date Modifier.................................................................................................................................20
4.1.3
Create Payroll Accounting Area..............................................................................................................21

4.1.4
Create Control Record..............................................................................................................................21
4.1.5
Generate Payroll Periods.........................................................................................................................22
4.2
Wage Type Maintenance......................................................................................................................................23
4.2.1
Create Wage types....................................................................................................................................23
4.2.2
Check wage type characteristics............................................................................................................23
4.3
Maintenance of Allowance Grouping..................................................................................................................24
4.3.1
Define Pay scale groupings for Allowance............................................................................................24
4.3.2
Maintain Pay scale groups and Levels..................................................................................................25
4.3.3
Maintain default wage types for basic pay............................................................................................26
4.3.4
Setting in Feature LGMST.......................................................................................................................27
4.3.5
Assign wage type model for Pay scale grouping for Allowances.......................................................28
4.3.6
Maintain valuation of Base wage types.................................................................................................29
4.3.7
Assign Basic Wage Types to Grouping for Allowance.........................................................................29
4.3.8
Assign Basic Wage Types to Grouping for Allowance.........................................................................29
4.3.9
Settings required under the table view V_503_ALL............................................................................30
4.4
Reimbursements, Allowance and Perks...............................................................................................................30
4.4.1
Calculate Eligibility for RAPs...................................................................................................................30
4.4.2
Maintain Extra Eligibility Criteria for RAPs............................................................................................31
4.5
Basic Salary for India...........................................................................................................................................31
4.5.1
Define Basic Codes...................................................................................................................................31
4.5.2
Assign Basic Codes for Allowance Groups...........................................................................................32
4.5.3
Assign Basic Slabs to Pay Scale Groupings for Allowance................................................................33
4.5.4
Maintain Appraisal Criteria for Basic Salary..........................................................................................33
4.5.5
Maintain Increment Criteria for Basic Salary.........................................................................................33
4.6
Dearness Allowance Processing...........................................................................................................................34
4.6.1
Define Consumer Price Indices...............................................................................................................34
4.6.2
Assign Current and Reference Values for Consumer Price Indices..................................................34
4.6.3
Maintain Basic Slab Details for Dearness Allowance..........................................................................35
4.6.4
Maintain Dearness Allowance Rules for Allowance Groupings.........................................................35
4.6.5
Maintain Dearness Allowance Consumer Price Index Slab Details..................................................35
4.7
Housing wage processing.....................................................................................................................................36
4.7.1
Define Accommodation Types.................................................................................................................36
4.7.2
Maintain the Processing Options for CLA.............................................................................................36
4.8
Leave Travel Processing......................................................................................................................................36
4.8.1
Maintain Minimum Eligibility Period for Leave Travel Allowance.......................................................36
4.9
Car and Conveyance Processing..........................................................................................................................37
4.9.1
Define Vehicle Details...............................................................................................................................37
4.9.2
Define Conveyance Types.......................................................................................................................37
4.9.3
Define Amounts and Numbers for Car Schemes.................................................................................37
4.9.4
Assign Type and Age of Car for Car Schemes.....................................................................................37
4.9.5
Assign Eligibility Criteria for Conveyance Allowance...........................................................................37
4.10 One Day Salary Deduction..................................................................................................................................38
4.10.1
Maintain Details for One Day Salary Deduction...................................................................................38
4.11 Retirement Benefits..............................................................................................................................................38
4.11.1 Gratuity........................................................................................................................................................39
4.11.1.1 Maintain Gratuity Trust ID................................................................................................................39
4.11.1.2 Maintain Gratuity Contrib. Freq. and Related Wage Types........................................................39
4.11.1.3 Define Contribution Rates for Gratuity...........................................................................................39
4.11.1.4 Maintain the Eligibility Years for Gratuity.......................................................................................40
4.11.1.5 Check for Gratuity Contribution.......................................................................................................40
4.11.1.6 Maintain Wage types to be Passed During Retro Runs..............................................................41
4.11.2 Superannuation.........................................................................................................................................41
4.11.2.1 Maintain Superannuation Trust ID..................................................................................................41
4.11.2.2 Maintain Superannuation Contrib. Freq and Rel. Wage Types..................................................41
4.11.2.3 Define Contribution Rates for Superannuation.............................................................................42
4.11.2.4 Maintain Eligibility Details for Superannuation.............................................................................42

4.11.2.5 Check for Superannuation Contributions.......................................................................................43


4.11.2.6 Maintain Wagetypes to be passed During Retro Runs...............................................................43
4.12 Statutory Social Contribution...............................................................................................................................43
4.12.1 Provident Fund...........................................................................................................................................43
4.12.1.1 Define Trust Details for Provident Fund.........................................................................................43
4.12.1.2 Assign Company Rates for Provident Fund..................................................................................44
4.12.1.3 Define PF Trust Validity Period........................................................................................................44
4.12.1.4 Maintain Contribution Details for Provident Fund.........................................................................45
4.12.1.5 Define Contribution type for Statutory rates for Provident Fund................................................45
4.12.2 Employees State Insurance.....................................................................................................................46
4.12.2.1 Maintain ESI Eligibility Limit.............................................................................................................46
4.12.2.2 Maintain Number of Working Days in a Month.............................................................................46
4.12.2.3 Define Personnel Area and Subarea Groupings for ESI.............................................................47
4.12.2.4 Assign ESI Groupings for Personnel Area and Subarea............................................................47
4.12.2.5 Maintain Contribution Rates for ESI...............................................................................................47
4.12.3 Labour Welfare Fund................................................................................................................................48
4.12.3.1 Define Personnel Area and Subarea Groupings for LWF...........................................................48
4.12.3.2 Assign LWF Groupings for Personnel Area and Subarea...........................................................48
4.12.3.3 Maintain Contribution Rates for Labour Welfare Fund................................................................49
4.13 Professional Tax...................................................................................................................................................49
4.13.1 Define Professional Tax Grouping Details.............................................................................................49
4.13.2 Assign PTax Groupings for Personnel Areas and Subareas..............................................................50
4.13.3 Assign Amounts for Professional Tax Deduction..................................................................................50
4.13.4 Maintain Method and Form Layout for PTax Groupings.....................................................................51
4.13.5 Maintain Cumulation Rules for Professional Tax..................................................................................51
ax Calculations.................................................................................................................................................................52
4.13.6 Basic Settings............................................................................................................................................52
4.13.6.1
Define Personnel Area and Subarea Groupings for Tax.............................................................52
4.13.6.2 Assign Tax Groupings for Personnel Areas and Subareas.........................................................52
4.13.7 Maintain Tax Rules as per Customer Specification..............................................................................52
4.13.8 Maintain Rule for Voluntary Tax Deduction...........................................................................................53
4.13.9 Third Party Deductions.............................................................................................................................53
4.13.9.1 Configure Wagetypes for Section 80..............................................................................................53
4.13.9.2 Configure Wagetypes for Section 88..............................................................................................53
4.13.9.3 Define Membership/Deduction Types............................................................................................54
4.13.9.4 Check entry permissibility for Membership Fees Infotype (0057).............................................54
4.13.10
Tax Liability on Reimbursements, Allowances and Perks...............................................................54
4.13.10.1 Define Tax Codes.............................................................................................................................54
4.13.10.2 Assign Tax Code Limits to Wage Types........................................................................................54
4.13.11
Section 89(1) Relief...............................................................................................................................55
4.13.11.1 Maintain Sec89 (1) Switch at Implementation Level...................................................................55
4.13.11.2 Rule to Maintain Legacy Data for Section 89(1) Relief Calculation.........................................55
4.13.11.3 Rule to Capture Section 89(1) Relief Computed Outside SAP Payroll....................................56
4.13.12
Tax on Arrears........................................................................................................................................56
4.13.12.1 Maintain Tax Limit and Tax Rate for Arrears Payment...............................................................56
4.13.12.2 Maintain Schema for Tax on Arrears.............................................................................................57
4.14 Recovery of Rounded Off Amounts.....................................................................................................................57
4.14.1 Maintain Details for Recovery of Rounded Amounts...........................................................................57
4.15 Retro Active Payroll Runs....................................................................................................................................57
4.15.1 Maintain Rule to form Differences from Previous Results..................................................................57
4.15.2 Maintain Rule to form Differences with Actual Amounts......................................................................58
4.15.3 Maintain Rule to Bring Forward Difference Amounts...........................................................................58
4.16 Special Payments.................................................................................................................................................58
4.16.1 Create Wage Type Catalog......................................................................................................................58
4.17 Off-Cycle Activities.............................................................................................................................................59
4.17.1 Check entry permissibility for Infotype (0267).......................................................................................59

4.17.2 Set Up Off-Cycle Reasons.......................................................................................................................59


4.17.3 Set Up Report Variants for Off-Cycle Activities.....................................................................................59
4.17.4 Define Default Values for Payments in Advance..................................................................................60
4.17.5 Specify default values for wage types....................................................................................................60
4.17.6 Specify Default Values for Payroll Results............................................................................................60
4.17.7 Specify Default Values for Payment Methods.......................................................................................60
4.18 Deductions Processing.........................................................................................................................................61
4.18.1 Arrears and Priorities................................................................................................................................61
4.18.2 Minimum Net Pay......................................................................................................................................61
4.19 Company Loans...................................................................................................................................................61
4.19.1
Master Data..................................................................................................................................................61
4.19.1.1
Define Value Dates for Payroll Area....................................................................................................61
4.19.1.2
Create a Loan Type..............................................................................................................................62
4.19.1.3
Assign Repayment Type......................................................................................................................62
4.19.1.4
Create Loan Conditions.......................................................................................................................62
4.19.1.5
Control Allocation of Loans.................................................................................................................63
4.19.1.6
Adjust Screen Control..........................................................................................................................63
4.19.1.7
Maintain Loans Grouping....................................................................................................................63
4.19.1.8
Maintain Salary Components...............................................................................................................64
4.19.1.9
Maintain Maximum Number of Loans Allowed..................................................................................65
4.19.1.10 Maintain Maximum amount for loans outstanding..............................................................................65
4.19.1.11 Maintain Loans Eligibility Checks and Limits....................................................................................65
4.19.1.12 Maintain Deduction Details Under Section 24....................................................................................66
4.19.2 Calculation...................................................................................................................................................66
4.20 Remuneration Statement Maintenance................................................................................................................66
4.20.1 Form Editor.................................................................................................................................................66
5
Payroll Posting Configurations....................................................................................................................................68
5.1
Activities in the HR System.................................................................................................................................68
5.1.1
Employee Grouping and Symbolic Accounts........................................................................................68
5.1.1.1
Define Employee Grouping Account Determination....................................................................68
5.1.1.2 Define Symbolic Accounts...................................................................................................................68
5.1.2
Maintaining Wage Types..........................................................................................................................69
5.1.2.1
Define Posting Characteristics of Wage Types.............................................................................69
5.1.3
Maintain Posting Date for Payroll Periods.............................................................................................69
5.1.4
Create Posting Variants............................................................................................................................70
5.2
Activities in the AC System.................................................................................................................................71
5.2.1
Assigning Accounts...................................................................................................................................71
5.2.1.1
Assign Balance Sheet Accounts.....................................................................................................71
5.2.1.2
Assign Expense Accounts................................................................................................................71
5.2.1.3
Assign Technical Accounts...............................................................................................................71
5.2.1.4
Assign Vendor Accounts...................................................................................................................72
5.3
Check Customizing for Account Determination..................................................................................................72

1. Enterprise Structure in Payroll


1.1. Create Personnel Area/Subarea
Table
Transaction Code
Menu Path

T500P
SPRO
IMG -> Enterprise Structure -> Definition -> Human Resource
Management -> PersonnelArea/Subarea

Details of
Configurations

Personnel Area STBG is created as follows.


For STBG, different personnel Subarea for different locations can
be created as follows.

1.2 Create Employee Group/Subgroup


Table
Transaction Code
Menu Path

T501/T503K
SPRO
IMG -> Enterprise Structure -> Definition -> Human Resource
Management -> Employee Group/Subgroup

Details of
Configuration

Create employee groups (A,E,R,S,T)


Create different employee category(OF,SU,WM,TR,CS) as
Employee Subgroups.

Page

1 of 77

1.3 Assignment of Personnel Area to Company Code


Table
Transaction Code
Menu Path

V_T500P
SPRO
IMG -> Enterprise Structure -> Assignment -> Human Resource
Management -> Assignment of Personnel Area to Company Code

Details of
Configuration

Assign the Personnel Area STBG to company code STBG


belongs to country code 40
Prior to this, the company code for the country code 40 has to be
set in Finance Module.

1.4 Assignment of Employee Subgroup to Employee Group


Table
Transaction Code
Menu Path

V_T503Z
SPRO
IMG -> Enterprise Structure -> Assignment -> Human Resource
Management -> Assignment of Employee Subgroup to Employee
Group

Details of
Configuration

Assign the Employee Subgroup to the right employee group as


follows.
Then, select each record, double click. It will take you to the
following screen where you could set the country code it belongs to.

Page

2 of 77

2 Personnel Management
In this section, Personnel management configurations with respect to Payroll have been explained in
detail.

2.1 Basic Settings


2.1.1

Maintain User Parameter

Table/View
Transaction Code
Menu Path
Details
of
Configuration
2.1.2

None
SPRO / SU52
IMG -> Personnel Management -> Personnel Administration -> Basic Settings
-> Maintain user parameter
the

Create Number range for Personnel Numbers

Table/View
Transaction Code
Menu Path
Details
of
Configuration

2.1.3

Select country INDIA, Click on Enter, select Parameters tab page, then make
entry against parameters MOL and UGR = 40.

Structure Name: INRDP


SPRO
IMG -> Personnel Management -> Personnel Administration -> Basic Settings
-> Maintain Number range intervals for personnel numbers
the

Set the From & To number for internal & external ranges as follows.
01 - Internal Number range
02 External Number rage

Determine defaults for number ranges

Table/View
Transaction Code
Menu Path
Details
of
Configuration

FEATURE : NUMKR
SPRO / PE03
IMG -> Personnel Management -> Personnel Administration -> Basic Settings
-> Determine defaults for number ranges
the

Using this feature, the default number range whether Internal (01) or External (02)
can be set as follows.

Page

3 of 77

2.2 Employee Master Maintenance


2.2.1

Master maintenance menu

Table/View
Transaction Code
Menu Path
Details
of
Configuration

2.2.2

the

V_T588C
SPRO
IMG Personnel ManagementPersonnel administrationCustomization
proceduresInfotype menus
In this step, Employee master maintenance( transaction PA30) screen can be
configured. Create tab page headings as follows using the activity, User group
dependency on infotype menus

Infotype Menu for Personal Data

Table/View
Transaction Code
Menu Path
Details
of
Configuration

the

V_T588B
SPRO
IMG Personnel ManagementPersonnel administrationCustomization
proceduresInfotype menus -> Infotype Menu
After completing the first activity ( as mentioned in step 2.2.1), double click on
Infotype Menu to create each tab page menu T1(Personal Data) as follows.
Similarly, other tab pages T2, T3, T4 & T5 can be configured.

Page

4 of 77

2.3 Personnel Actions


2.3.1

Define infogroups for Personnel Actions

Table/View
Transaction Code
Menu Path
Details
of
Configuration

the

V_T588C
SPRO
IMG Personnel ManagementPersonnel administrationCustomization
procedures Actions -> Define Infogroups
Define the name of Infogroup as mentioned below and then for each infogroup,
add the necessary infotypes. For example, check the following snapshot for the
infogroup 14 (Hiring) and the infotypes attached to it. Similarly, other infogroups
can be configured.

Page

5 of 77

2.3.2

Set up personnel actions

Table/View
Transaction Code
Menu Path
Details
of
Configuration

2.3.3

the

Create reasons for personnel actions

Table/View
Transaction Code
Menu Path

Details
of
Configuration
2.3.4

T529A
SPRO
IMG Personnel ManagementPersonnel administrationCustomization
procedures Set up personnel actions
In this step, the infogroups defined in the earlier step can be attached to different
personnel actions. For example, personnel action 01 is linked to Infogroup(IG)
15 in the following screen. Along with this, Customer Status, Employment status,
special payment indicator can be set.

V_T530
SPRO
IMG Personnel ManagementPersonnel administrationCustomization
procedures Create reasons for personnel actions
the

Maintain the SAP Standard entries. In addition to that different personnel reasons
can be created for different personnel action.

Change action menu

Table/View
Transaction Code
Menu Path

V_588B_M
SPRO
IMG -> Personnel Management -> Personnel Administration -> Basic Settings

Page

6 of 77

Details
of
Configuration

the

-> Change action menu


The action menu(01-Actions) configured can be seen below. Using this step, new
personnel actions can be added against country grouping 40.

2.4 Define EE Subgroup Grouping for PCR and Coll.Agmt.Prov.


Table
Transaction Code
Menu Path
Details of
Configuration

V_503_B / V_503_ALL
SPRO
IMG -> Personnel Management -> Personnel Administration ->
Payroll Data -> Basic Pay -> Define EE Subgroup Grouping for PCR
and Coll.Agmt.Prov
For the already defined Employee Group and Subgroup, set the
ESG for PCR/CAP as 3 (for Salaried Employee) except that ESG
for PCR as 2 for CS & OF. This classification will be helpful in case
of Encashment Processing.

Page

7 of 77

2.5 Create Payscale Area/Type


Table
Transaction Code
Menu Path

V_T510A, V_T510G
SPRO
IMG -> Personnel Management -> Personnel Administration ->
Payroll Data -> Basic Pay -> Check Pay Scale Type/Area

Details of
Configuration

Payscale type is fixed as 01 Monthly Earner


Payscale area is defined for each location as follows.

2.6 Check Assignment of Payscale Structure to Enterprise Structure.


Table
Transaction Code
Menu Path
Details of
Configuration

V_001P_C
SPRO
IMG -> Personnel Management -> Personnel Administration ->
Payroll Data -> Basic Pay -> Check Assignment of Payscale
Structure to Enterprise Structure
For the already defined Personnel Area and Subarea, default
payscale Area and Type can be set as follows,

2.7 Personnel Subarea grouping for Primary wage types


Table
Transaction Code
Menu Path
Details of
Configuration

V_001P_K
SPRO
IMG -> Personnel Management -> Personnel Administration ->
Payroll Data -> Basic Pay -> Wage Types -> Personnel Subarea
grouping for Primary wage types
Personnel Subarea Grouping has to be done to assign any specific
wage type to any particular group as follows.

Page

8 of 77

2.8 Employee Subgroup Grouping for primary wage types


Table
Transaction Code
Menu Path

V_503_G
SPRO
IMG -> Personnel Management -> Personnel Administration ->
Payroll Data -> Basic Pay -> Wage Types -> Employee Subgroup
Grouping for primary wage types
Employee Subgroup Grouping has to be done to assign any specific
wage type to any particular group as follows.

Details of
Configuration

Time Management

3.1 Work Schedule Configurations


3.1.1

Personnel Subarea grouping for work schedule

Table/View
Transaction Code
Menu Path
Details
of
Configuration

the

V_001P_N
SPRO
IMG Personnel Time Managementwork schedulespersonnel subarea
grouping Group Personnel Subareas for the Work Schedule
Enter the PSG for work schedule as follows for different locations. Since we have
single work schedule, its marked as 40 for all the locations.

Page

9 of 77

3.1.2

Group Personnel Subareas for the Daily Work Schedule

Table/View
Transaction Code
Menu Path
Details
of
Configuration
3.1.3

the

T508Z
SPRO
IMG Personnel Time Managementwork schedulespersonnel subarea
grouping Group Personnel Subareas for the Daily Work Schedule
Maintain SAP Standard entries.

Define Daily Work Schedules

Table/View
Transaction Code
Menu Path
Details
of
Configuration

the

V_T550A
SPRO
IMG Personnel Time Managementwork schedulesDaily Work Schedule
Define Daily Work Schedules
Maintain the SAP Standard entries. Select the daily work schedule FREE/FLEX,
click on detail button to change the Planned working time as follows.

Page

10 of 77

3.1.4

Define Period Work Schedules

Table/View
Transaction Code
Menu Path
Details
of
Configuration

3.1.5

the

V_T551A
SPRO
IMG Personnel Time Managementwork schedules Period Work Schedules
Define Period Work Schedules
Create an entry for period work schedule TEIL with DWS(FLEX or FREE) for
each day in a week as follows.

Define Employee Subgroup Groupings for Work Schedule

Table/View
Transaction Code
Menu Path
Details
of
Configuration

the

V_503_D
SPRO
IMG Personnel Time Managementwork schedules Work Schedule Rules
and Work Schedules Define Employee Subgroup Groupings
Define the groupings for Employee group & Subgroup as follows. If work
schedule differs based on Employee group & Subgroup which can be separately
grouped with different numbers.

Page

11 of 77

3.1.6

Define Groupings for the Public Holiday Calendar

Table/View
Transaction Code
Menu Path
Details
of
Configuration

3.1.7

the

V_001P_M
SPRO
IMG Personnel Time Managementwork schedules Work Schedule Rules
and Work Schedules Define Groupings for the Public Holiday Calendar
Define additional Holiday calendar TE under IMG -> General Settings -> Maintain
Calendar. Then assign TE to all the personnel Subarea in STBG.

Set Work Schedule Rules and Work Schedules

Table/View
Transaction Code
Menu Path
Details
of
Configuration

the

T508T, V_T508A
SPRO
IMG Personnel Time Managementwork schedules Work Schedule Rules
and Work Schedules Set Work Schedule Rules and Work Schedules
Define the work schedule rules for TEIL as follows. Number of Work hrs per day,
per week, per month & per year. Capture the number of work days per week.

Page

12 of 77

3.1.8

Generate Work Schedules Manually

Table/View
Transaction Code
Menu Path
Details
of
Configuration

the

PT01
IMG Personnel Time Managementwork schedules Work Schedule Rules
and Work Schedules Generate Work Schedules Manually
Generate the work schedule for the parameters mentioned below by clicking
Create button on the tool bar.

Page

13 of 77

3.2 Time Data Administration


3.2.1

Group Personnel Subareas for Attendances and Absences

Table/View
Transaction Code
Menu Path

Details
of
Configuration

3.2.2

the

V_001P_D
SPRO
IMG Personnel Time Management Time data recording and administration-->
Absences --> Absence Catalog--> Group personnel subareas for attendances and
absences
Link the Personnel Area & Subarea to a single group 40 as follows.

Define Absence Types

Table/View
Transaction Code
Menu Path
Details
of
Configuration

the

V_T554S
SPRO
IMG Personnel Time Management Time data recording and administration-->
Absences --> Absence Catalog--> Define Absence Types
Define different absence types & input checks as follows. Select the absence type
CL, click on detail to see the input checks.

Page

14 of 77

3.2.3

Define Counting Classes for the Period Work Schedule

Table/View
Transaction Code
Menu Path

Details
of
Configuration

3.2.4

the

V_T551C
SPRO
IMG Personnel Time Management Time data recording and administration-->
Absences --> Absence Catalog--> Absence Counting -> Define Counting Classes
for the Period Work Schedule
Enter the counting class as 1 for the period work schedule TEIL as follows.

Group Employee Subgroups for Time Quotas

Table/View
Transaction Code
Menu Path

Details
of
Configuration

the

V_503_E
SPRO
IMG Personnel Time Management Time data recording and administration-->
Absences --> Absence Catalog--> Absence Counting -> Rules for Absence
Counting (New) -> Group Employee Subgroups for Time Quotas
Enter the grouping as 1 for all employee subgroups as follows.

Page

15 of 77

3.2.5

Group Personnel Subareas for Time Quotas

Table/View
Transaction Code
Menu Path

Details
of
Configuration

3.2.6

the

Define Counting Rules

Table/View
Transaction Code
Menu Path

Details
of
Configuration

3.2.7

V_001P_I
SPRO
IMG Personnel Time Management Time data recording and administration-->
Absences --> Absence Catalog--> Absence Counting -> Rules for Absence
Counting (New) -> Group Personnel Subareas for Time Quotas
Enter the grouping as 40 for all the personnel subarea as follows.

the

T556C, V_556R_B
SPRO
IMG Personnel Time Management Time data recording and administration-->
Absences --> Absence Catalog--> Absence Counting -> Rules for Absence
Counting (New) -> Define Counting Rules
In this step, you define rules for counting absences. They can be used in Payroll
to valuate the absence. Define the counting rule for paid & unpaid absence types
and then each absence type is linked to the corresponding absence quota type.

Define Absence Quota Types

Table/View
Transaction Code
Menu Path

V_T556A
SPRO
IMG Personnel Time Management Time data recording and administration-->

Page

16 of 77

Details
of
Configuration

3.2.8

the

Define Time Quota Compensation Methods

Table/View
Transaction Code
Menu Path

Details
of
Configuration

3.2.9

Managing Time Accounts Using Attendance/Absence Quotas --> Time Quota


Types -> Define Absence Quota Types
In this step, define different absence quota types and its characteristics as follows.

the

V_T556U
SPRO
IMG Personnel Time Management Time data recording and administration-->
Managing Time Accounts Using Attendance/Absence Quotas --> Processing
Absence Quotas in Payroll -> Time Quota Compensation -> Define Time Quota
Compensation Methods
In this step, define time quota compensation method for the country grouping 40
as follows.

Permit Attendances/Absences to be Recorded Without Clock Times

Table/View
Transaction Code
Menu Path
Details
of
Configuration

the

Feature HRSIF can be checked from TR : PE03


SPRO
IMG Personnel Time Management Time data recording and administration-->
-> Permit Attendances/Absences to be Recorded Without Clock Times
Enter the value under the FEATURE HRSIF as 1. This will enable us to enter
the Time data in Hrs without clock time.

3.3 Leave Maintenance


3.3.1

Group Personnel Subareas for Leave Types

Table/View
Transaction Code
Menu Path

V_001P_B
SPRO
IMG Personnel Time Management Time data recording and administration-->
Managing Time Accounts Using Attendance/Absence Quotas --> Managing
Leave Using Leave Entitlement Infotype (0005) -> Leave Quota -> Group

Page

17 of 77

Details
of
Configuration

3.3.2

the

Define Leave Types

Table/View
Transaction Code
Menu Path

Details
of
Configuration

3.3.3

Personnel Subareas for Leave Types


In this step, assign group 40 to all the personnel subarea as mentioned below.

the

V_T533
SPRO
IMG Personnel Time Management Time data recording and administration-->
Managing Time Accounts Using Attendance/Absence Quotas --> Managing
Leave Using Leave Entitlement Infotype (0005) -> Leave Quota -> Define Leave
Types
Define different leave types as mentioned below.

Set Default Values for Leave Control

Table/View
Transaction Code
Menu Path

Details
of
Configuration

the

None (It is a Feature, can be checked directly using Transaction : PE03)


SPRO
IMG Personnel Time Management Time data recording and administration-->
Managing Time Accounts Using Attendance/Absence Quotas --> Managing
Leave Using Leave Entitlement Infotype (0005) -> Leave Quota -> Set Default
Values for Leave Control
Chose the ticked activities as shown below and then make the settings as
mentioned in the subsequent diagrams. Using this configuration, we can assign
the possible leave types to a specific employee subgroup.

Page

18 of 77

Page

19 of 77

Payroll Configurations

4.1 Basic Payroll Settings


4.1.1

Define Period Parameters

Table
Transaction Code
Menu Path

V_T549R
SPRO
IMG -> Payroll:India -> Basic Settings -> Payroll Organization ->
Define Period Parameters.

Details of
Configuration

Create the Period Parameter 99 as follows with start data as


01.01.1965. So that we can hire an employee from this date onwards.

4.1.2

Define Date Modifier

Table
Transaction Code
Menu Path

V_T549L
SPRO
IMG -> Payroll:India -> Basic Settings -> Payroll Organization ->
Define Date Modifiers.

Details of
Configuration

Maintain the SAP Standard entries.

Page

20 of 77

4.1.3

Create Payroll Accounting Area

Table
Transaction Code
Menu Path

V_T549A
SPRO
IMG -> Payroll:India -> Basic Settings -> Payroll Organization ->
Check Payroll Accounting Area.

Details of
Configuration

Here, the standard date modifier 01 is assigned to payroll Area


MP. The Payday and the Payroll Posting date(to Finance) for the
date modifier 01 can be seen in the following screen. Run Payroll
Flag can be used to control the triggering of Retro run. Just before
the first payroll run in SAP, this flag should be enabled.

4.1.4

Create Control Record

Table/View
Transaction Code
Menu Path

Structure : PV000, TR : PU03


SPRO
IMG -> Payroll:India -> Basic Settings -> Payroll Organization ->
Check Payroll Accounting Area.

Details of
Configuration

Create the control record for the above created payroll area (MP) in
Step 4.1.3. Enter the Payroll period & Earliest retro acctg period as
follows.

Page

21 of 77

4.1.5

Generate Payroll Periods

Table/View
Transaction Code
Menu Path

V_T549Q, V_T549S_B, V_T549S


SPRO
IMG -> Payroll:India -> Basic Settings -> Payroll Organization ->
Generate Payroll Periods.

Details of
Configuration

Using the following parameters, generate the payroll period. After


making sure of entries generated, enable the tick mark on carry out
table change and then click on Execute to effect the changes in the
tables. Sample entries generated were shown below.

Page

22 of 77

4.2 Wage Type Maintenance


4.2.1 Create Wage types
Table
Transaction Code
Menu Path
Details of
Configuration

None
SPRO
IMG -> Payroll:India -> Basic Settings -> Environment of wage type
Maintenance -> Create wage type catalog (COPY)
Create new wage types based on respective Model wage types as
follows. The number rage must be customer range (9999)
Eg: 1000 (Basic )
Initially, Test Run flag should be set to check the result. Then, copy
again with Test Run flag off.

4.2.2

Check wage type characteristics

Table
Transaction Code
Menu Path
Details of
Configuration

V_T511
SPRO
IMG -> Payroll:India -> Basic Settings -> Environment of wage type
Maintenance -> Check wage type Characteristics
Wage type characteristics can be changed as per the way that its
been valuated. For example,
Select the wage ( 1000 ) as shown below. Then, double click that
record which will take you to the next screen, where you can set
Indirect eval. Module and Moduel variant as per the requirements.
The possible entries are,
INVAL A : A fixed amount for a group of employees
INVAL B : A fixed amount plus percentage of some base
components like BASIC, VDA. Fixed amount can be zero.
INVAL C : Percentage of some base components like BASIC, VDA
or a combination of all this and subject to a maximum amount.
INVAL D : Any of the above based on salary slabs that ones Basic
Pay is falling in.
The overwrite indicator decides whether it can be overwritten in
Infotype 0008 or not.

Page

23 of 77

4.3 Maintenance of Allowance Grouping


4.3.1

Define Pay scale groupings for Allowance.

Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INA1
SPRO
IMG -> Payroll:India -> Pay scale Groupings -> Define Pay scale
Groupings for Allowance
For the country grouping, we can define as many Allowance
groupings based on Category and Grade of employees. This
grouping determines the eligibility and amounts for various
allowances, reimbursements and perks for an employee as per the

Page

24 of 77

company specified rules.


The following screen shows one allowance group for each category.
Similarly, different allowance groups can be defined for the same
category and different grades under that category.

4.3.2

Maintain Pay scale groups and Levels

Table
Transaction Code
Menu Path
Details of
Configuration

V_T510
SPRO
IMG -> Payroll:India -> Reimbursements, Allowances and Perks ->
Maintain Pay scale Groups and Levels
The wage types belong to a particular payscale area and type, ESG
for CAP(Collective Agreement Provision) should have a record in
this screen. Only then, they will be selected in Infotype 0008 while
creating basic records for an employee.
The default amount that should appear in infotype 0008 can be set
in this screen as follows.

Page

25 of 77

4.3.3

Maintain default wage types for basic pay

Table
Transaction Code
Menu Path
Details of
Configuration

V_T539A
SPRO
IMG -> Payroll:India -> Reimbursements, Allowance and Perks ->
Assign wage type model for Pay scale grouping for Allowances
Wage type models are a set of Wage types used by SAP, these can
be an earning or deduction. It must be prefixed with 20/ to indicate
that, a maximum of 20 wage types can be stored in a particular WT
model.
In this activity, you can create records for each wage type belongs
to a particular wage type model as shown below.

Page

26 of 77

4.3.4

Setting in Feature LGMST

Table
Transaction Code
Menu Path

V_T539A
SPRO
IMG -> Payroll:India -> Reimbursements, Allowance and Perks ->
Assign wage type model for Pay scale grouping for Allowances

Details of
Configuration

The planned remuneration specification feature (LGMST)


determines default wage types depending on various values(for
example, country, employee group and subgroup) for the basic pay
infotype 0008.
The second part of the issued return value (for example, ----1DU- )
forms the name for the wage type model which is read from the
above screen.
Press the button Feature(LGMST) shown in the above screen.
Choose subobject : Decision Tree
Press Change button
1. Create an entry for Molga country grouping = 40(India)
2. Create entry for different employee group
3. For each employee group, create entry for different
employee subgroup
4. For each employee subgroup, create the return value as
shown below.

Page

27 of 77

4.3.5

Assign wage type model for Pay scale grouping for Allowances

Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INA5
SPRO
IMG -> Payroll:India -> Reimbursements, Allowance and Perks ->
Assign wage type model for Pay scale grouping for Allowances
In this activity, you can assign wage type model to each pay scale
grouping for allowance as shown in the screen.
Wage type models are a set of Wage types used by SAP, these can
be an earning or deduction. It must be prefixed with 20/ to indicate
that, a maximum of 20 wage types can be stored in a particular WT
model.

Page

28 of 77

4.3.6

Maintain valuation of Base wage types

Table
Transaction Code
Menu Path
Details of
Configuration

4.3.7

Assign Basic Wage Types to Grouping for Allowance

Table
Transaction Code
Menu Path
Details of
Configuration

4.3.8

V_T539J
SPRO
IMG -> Payroll:India -> Reimbursements, Allowance and Perks ->
Maintain valuation of Base wage types
You may have defined indirect valuation(INVAL) with module variant
B for certain wage types. Those wage types must have a record in
this screen.
For example, house rent allowance (wage type : 1001 which is
INVAL B). It is 40% of basic wage type (1000). For this, a record is
created in this screen as follows.

V_T7INB1
SPRO
IMG -> Payroll India -> Basic Salary for India -> Assign Basic Wage
Types to Grouping for Allowances
Assign the newly created Basic wage types to the Allowance groups
as follows.

Assign Basic Wage Types to Grouping for Allowance

Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INA7
SPRO
IMG -> Payroll India -> Reimbursements, Allowances and Perks ->
Maintain Allowance Rules based on Slabs
Any wage type based on Basic slab or Grade has to be configured
here. For example Supervisors HRA & Officers HRA based on
Location can be configured as follows.

Page

29 of 77

4.3.9

Settings required under the table view V_503_ALL.

Table
Transaction Code
Menu Path
Details of
Configuration

V_503_ALL
SM31
NA
This view can be used to see the value assigned for different
Employee Subgroup Grouping. Using this single view, we can
maintain the different groupings like ESG/PCR, ESG/CAP,
PrimeWageTypeGrouping, TimeQuotaGroupings, etc.

4.4 Reimbursements, Allowance and Perks


4.4.1

Calculate Eligibility for RAPs

Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INA9
SPRO
IMG -> Payroll India -> Reimbursements, Allowances and Perks ->
Calculate Eligibility for RAPs
For each allowance group, this screen needs to be saved for any
change in allowance groupings. For example, Allowance group
OF01, just save after opening this screen.

Page

30 of 77

4.4.2

Maintain Extra Eligibility Criteria for RAPs

Table
Transaction Code
Menu Path
Details of
Configuration

FEATURE, can be viewed from TR : PE03


SPRO
IMG -> Payroll India -> Reimbursements, Allowances and Perks ->
Maintain Extra Eligibility Criteria for RAPs
This feature 40ECS is useful for wages type, for which the amount
is decided, based on the date of joining. The structure as shown
below has to be defined for each allowance group of Employee
subgroup category WM & SU.

4.5 Basic Salary for India


4.5.1 Define Basic Codes
Table
Transaction Code
Menu Path
Details of

V_T7INB4
SPRO
IMG -> Payroll India -> Basic Salary for India -> Define Basic Codes
This needs to be configured for those employee subgroups for

Page

31 of 77

Configuration

4.5.2

which there is a definite basic slab structure. For example, SU, WM,
define the basic code as follows.

Assign Basic Codes for Allowance Groups

Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INB5
SPRO
IMG -> Payroll India -> Basic Salary for India -> Assign Basic Codes
for Allowance Groups
Link the Allowance group to a basic slab code as follows.

Page

32 of 77

4.5.3

Assign Basic Slabs to Pay Scale Groupings for Allowance

Table
Transaction Code
Menu Path
Details of
Configuration

4.5.4

Maintain Appraisal Criteria for Basic Salary

Table
Transaction Code
Menu Path
Details of
Configuration
4.5.5

V_T7INB7
SPRO
IMG -> Payroll India -> Basic Salary for India -> Assign Basic Slabs
to Pay Scale Groupings for Allowance
For each basic code, the slab is attached as follows. This slab will
be used at the time of increment processing.

V_T7INB8
SPRO
IMG -> Payroll India -> Basic Salary for India -> Maintain Appraisal
Criteria for Basic Salary
Retain the SAP Standard entries. Specific appraisal criteria can be
attached to different allowance groups. This appraisal criteria will be
used at the time promotion processing.

Maintain Increment Criteria for Basic Salary

Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INB9
SPRO
IMG -> Payroll India -> Basic Salary for India -> Maintain Increment
Criteria for Basic Salary
Specific increment criteria can be set for different allowance groups
as follows.

Page

33 of 77

4.6 Dearness Allowance Processing


4.6.1

Define Consumer Price Indices

Table
Transaction Code
Menu Path
Details of
Configuration

4.6.2

V_T7IND1
SPRO
IMG -> Payroll India -> Dearness Allowance -> Define Consumer
Price Indices
Define the index code SM60 as follows,

Assign Current and Reference Values for Consumer Price Indices

Table
Transaction Code
Menu Path
Details of
Configuration

V_T7IND3
SPRO
IMG -> Payroll India -> Dearness Allowance -> Assign Current and
Reference Values for Consumer Price Indices
For the index code SM60, enter the reference & current values of
CPI Index as follows,

Page

34 of 77

4.6.3

Maintain Basic Slab Details for Dearness Allowance

Table
Transaction Code
Menu Path
Details of
Configuration
4.6.4

Maintain Dearness Allowance Rules for Allowance Groupings

Table
Transaction Code
Menu Path
Details of
Configuration

4.6.5

V_T7IND5
SPRO
IMG -> Payroll India -> Dearness Allowance -> Maintain Basic Slab
Details for Dearness Allowance
Maintain the SAP Standard entries, this can be further configured
when the dearness allowance is based on the basic slab.

V_T7IND7
SPRO
IMG -> Payroll India -> Dearness Allowance -> Maintain Dearness
Allowance Rules for Allowance Groupings
Dearness allowance calculation rules can be set as follows for each
allowance group.

Maintain Dearness Allowance Consumer Price Index Slab Details

Table
Transaction Code
Menu Path
Details of
Configuration

V_T7IND9
SPRO
IMG -> Payroll India -> Dearness Allowance -> Maintain Dearness
Allowance Consumer Price Index Slab Details
The rate of CPI Index point can be set as follows. The CPI Slab
code SM01 is linked to SM60 in step 4.6.2.

Page

35 of 77

4.7 Housing wage processing


4.7.1

Define Accommodation Types

Table
Transaction Code
Menu Path
Details of
Configuration
4.7.2

V_T7INR7
SPRO
IMG -> Payroll India -> Housing -> Define Accommodation Types
Maintain the SAP Standard accommodation types.

Maintain the Processing Options for CLA

Table
Transaction Code
Menu Path
Details of
Configuration

V_511K_B
SPRO
IMG -> Payroll India -> Housing -> Maintain the Processing Options
for CLA
Processing of company leased accommodation is as per the
constant CADTR values 1 means Add to the salary and deduct
from the housing perk.

4.8 Leave Travel Processing


4.8.1 Maintain Minimum Eligibility Period for Leave Travel Allowance
Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INL1
SPRO
IMG -> Payroll India -> Leave Travel -> Maintain Minimum Eligibility
Period for Leave Travel Allowance
Specific Conditions for processing LTA can be set here for each
allowance grouping. For example, Minimum no of leave days &
counting methods whether calendar/Payroll/Absence days

4.9 Car and Conveyance Processing

Page

36 of 77

4.9.1

Define Vehicle Details

Table
Transaction Code
Menu Path
Details of
Configuration
4.9.2

Define Conveyance Types

Table
Transaction Code
Menu Path
Details of
Configuration
4.9.3

Details of
Configuration

V_T7INC7
SPRO
IMG -> Payroll India -> Car and Conveyance -> Define Amounts
and Numbers for Car Schemes
Maintain the SAP Standard entries for different car schemes for
different allowance groupings.

Assign Type and Age of Car for Car Schemes

Table
Transaction Code
Menu Path
Details of
Configuration
4.9.5

V_T7INCA
SPRO
IMG -> Payroll India -> Car and Conveyance -> Define Conveyance
Types
Maintain the SAP Standard entries for different conveyance types.

Define Amounts and Numbers for Car Schemes

Table
Transaction Code
Menu Path

4.9.4

V_T7INC1
SPRO
IMG -> Payroll India -> Car and Conveyance -> Define Vehicle
Details
Maintain the SAP Standard entries for different car types.

V_T7INC3
SPRO
IMG -> Payroll India -> Car and Conveyance -> Assign Type and
Age of Car for Car Schemes
Maintain the SAP Standard entries for different car schemes & age
of the car.

Assign Eligibility Criteria for Conveyance Allowance

Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INC9
SPRO
IMG -> Payroll India -> Car and Conveyance -> Assign Eligibility
Criteria for Conveyance Allowance
For each allowance group, specify the conveyance wage type which
will be picked up for the tax calculation/exemption.

Page

37 of 77

4.10 One Day Salary Deduction


4.10.1 Maintain Details for One Day Salary Deduction
Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INO1
SPRO
IMG -> Payroll India -> One Day Salary Deduction -> Maintain
Details for One Day Salary Deduction
Maintain the SAP Standard entries. Whenever one day salary to be
deducted, the following settings need to be done,
1. Select the appropriate grouping for allowance in the
AlGrp field and the associated year of validity in the Year
field.
2. Enter the month effected in the Period field. For example,
if the calander followed is the fiscal year beginning April and
if the payroll is run monthly, then April is denoted by the
period '01' and May is denoted with the period '02' and so
on.
3. Enter the method of calculation in the Calculation
Indicator field and the number of days for which the salary
is deducted in the Factor field.
4. Specify if the employer also contributes and save your
entries.

4.11 Retirement Benefits


4.11.1 Gratuity
4.11.1.1Maintain Gratuity Trust ID
Table
Transaction Code
Menu Path

V_T7ING3
SPRO
IMG -> Payroll India -> Retirement Benefits -> Gratuity -> Maintain

Page

38 of 77

Details of
Configuration

Gratuity Trust ID
Maintain the Gratuity Trust TEIL as follows,

4.11.1.2Maintain Gratuity Contrib. Freq. and Related Wage Types


Table
Transaction Code
Menu Path
Details of
Configuration

V_T7ING5
SPRO
IMG -> Payroll India -> Retirement Benefits -> Gratuity -> Maintain
Gratuity Contrib. Freq. and Related Wage Types
Maintain Gratuity Contrib. Freq. and Related Wage Types for the
Trust TEIL as follows,

4.11.1.3Define Contribution Rates for Gratuity


Table
Transaction Code
Menu Path
Details of
Configuration

V_T7ING1
SPRO
IMG -> Payroll India -> Retirement Benefits -> Gratuity -> Define
Contribution Rates for Gratuity
For each allowance group, Maintain the Gratuity contribution rates
as follows,

Page

39 of 77

4.11.1.4Maintain the Eligibility Years for Gratuity


Table
Transaction Code
Menu Path
Details of
Configuration

V_511K_B
SPRO
IMG -> Payroll India -> Retirement Benefits -> Gratuity -> Maintain
the Eligibility Years for Gratuity
Maintain the constant, GRTYR Eligibility Years for Gratuity as
follows,

4.11.1.5Check for Gratuity Contribution


Table
Transaction Code
Menu Path
Details of
Configuration

Rule INGR can be viewed using TR: PE02


SPRO
IMG -> Payroll India -> Retirement Benefits -> Gratuity -> Check for
Gratuity Contribution
Maintain the SAP Standard Rule to check whether a person is
eligible for Gratuity.

Page

40 of 77

4.11.1.6Maintain Wage types to be Passed During Retro Runs


Table
Transaction Code
Menu Path
Details of
Configuration

Rule IN51 can be viewed using TR: PE02


SPRO
IMG -> Payroll India -> Retirement Benefits -> Gratuity -> Maintain
Wage types to be Passed During Retro Runs
Maintain the SAP Standard Rule to pass gratuity wage types during
Retro Run.

4.11.2 Superannuation
4.11.2.1Maintain Superannuation Trust ID
Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INS3
SPRO
IMG -> Payroll India -> Retirement Benefits -> Superannuation ->
Maintain Superannuation Trust ID
Maintain the Superannuation ID TEIL as follows,

4.11.2.2Maintain Superannuation Contrib. Freq and Rel. Wage Types


Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INS5
SPRO
IMG -> Payroll India -> Retirement Benefits -> Superannuation ->
Maintain Superannuation Contrib. Freq and Rel. Wage Types
Maintain the Superannuation Contrib. Freq and Rel. Wage Types for
the trust TEIL as follows,

Page

41 of 77

4.11.2.3Define Contribution Rates for Superannuation


Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INS1
SPRO
IMG -> Payroll India -> Retirement Benefits -> Superannuation ->
Define Contribution Rates for Superannuation
Maintain the Superannuation contribution rates for different
allowance groupings as follows, (Only Officers are eligible for
superannuation )

4.11.2.4Maintain Eligibility Details for Superannuation


Table
Transaction Code
Menu Path
Details of
Configuration

Feature 40SAN can be viewed under TR : PE03


SPRO
IMG -> Payroll India -> Retirement Benefits -> Superannuation ->
Maintain Eligibility Details for Superannuation
Maintain the SAP Standard entry in feature 40SAN as follows,

Page

42 of 77

4.11.2.5Check for Superannuation Contributions


Table
Transaction Code
Menu Path
Details of
Configuration

Rule INSN can be viewed under TR : PE02


SPRO
IMG -> Payroll India -> Retirement Benefits -> Superannuation ->
Check for Superannuation Contributions
Maintain the SAP Standard Rule to check whether a person is
eligible for Superannuation.

4.11.2.6Maintain Wagetypes to be passed During Retro Runs


Table
Transaction Code
Menu Path
Details of
Configuration

Maintain Rule IN52 can be viewed under TR : PE02


SPRO
IMG -> Payroll India -> Retirement Benefits -> Superannuation ->
Maintain Wagetypes to be passed During Retro Runs
Maintain the SAP Standard Rule to pass gratuity wage types during
Retro Run.

4.12 Statutory Social Contribution


4.12.1 Provident Fund
4.12.1.1

Define Trust Details for Provident Fund

Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INF1
SPRO
IMG -> Payroll India -> Statutory Social Contribution -> Provident
Fund -> Define Trust Details for Provident Fund
Maintain different PF Trusts (5236, TEWD, TEWK ) as follows,

Page

43 of 77

4.12.1.2

Assign Company Rates for Provident Fund

Table
Transaction Code
Menu Path
Details of
Configuration

4.12.1.3

Define PF Trust Validity Period

Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INF5
SPRO
IMG -> Payroll India -> Statutory Social Contribution -> Provident
Fund -> Assign Company Rates for Provident Fund
For each allowance group, Maintain the company rates for PF as
follows,

V_T7INF7
SPRO
IMG -> Payroll India -> Statutory Social Contribution -> Provident
Fund -> Define PF Trust Validity Period
Define the PF Trust validity & interest rate etc as follows,

Page

44 of 77

4.12.1.4

Maintain Contribution Details for Provident Fund

Table
Transaction Code
Menu Path
Details of
Configuration

4.12.1.5

Define Contribution type for Statutory rates for Provident Fund

Table
Transaction Code
Menu Path
Details of
Configuration

Feature 40EPF can be maintained from Tr : PE03


SPRO
IMG -> Payroll India -> Statutory Social Contribution -> Provident
Fund -> Maintain Contribution Details for Provident Fund
Maintain the contribution type, PF Ref No & Pen Ref No as follows
for the company code STBG,

V_T7INF3
SPRO
IMG -> Payroll India -> Statutory Social Contribution -> Provident
Fund -> Define Contribution type for Statutory rates for Provident
Fund
Maintain the contribution type for Statutory rates for Provident Fund
as follows,

Page

45 of 77

4.12.2 Employees State Insurance


4.12.2.1

Maintain ESI Eligibility Limit

Table
Transaction Code
Menu Path
Details of
Configuration

4.12.2.2

Maintain Number of Working Days in a Month

Table
Transaction Code
Menu Path
Details of
Configuration

V_511P_B
SPRO
IMG -> Payroll India -> Statutory Social Contribution -> Employees
State Insurance -> Maintain ESI Eligibility Limit
Maintain the following constants for ESI Eligibility limit as follows,

V_511P_B
SPRO
IMG -> Payroll India -> Statutory Social Contribution -> Employees
State Insurance -> Maintain Number of Working Days in a Month
Maintain this SAP Standard entry as follows. In case of any change
to the number of days which can be modified for that period.

Page

46 of 77

4.12.2.3

Define Personnel Area and Subarea Groupings for ESI

Table
Transaction Code
Menu Path
Details of
Configuration

4.12.2.4

Assign ESI Groupings for Personnel Area and Subarea

Table
Transaction Code
Menu Path
Details of
Configuration

4.12.2.5

V_T7INE1
SPRO
IMG -> Payroll India -> Statutory Social Contribution -> Employees
State Insurance -> Define Personnel Area and Subarea Groupings
for ESI
Maintain the SAP Standard entry as follows,

V_7IN0P_ESI
SPRO
IMG -> Payroll India -> Statutory Social Contribution -> Employees
State Insurance -> Assign ESI Groupings for Personnel Area and
Subarea
Assign ESI Groupings(as in step 4.12.2.4) for Personnel Area and
Subarea ( Bangalore & Mysore ) as follows,

Maintain Contribution Rates for ESI

Table
Transaction Code

V_T7INE3
SPRO

Page

47 of 77

Menu Path

IMG -> Payroll India -> Statutory Social Contribution -> Employees
State Insurance -> Maintain Contribution Rates for ESI
Maintain Contribution Rates for ESI as follows,

Details of
Configuration

4.12.3 Labour Welfare Fund


4.12.3.1

Define Personnel Area and Subarea Groupings for LWF

Table
Transaction Code
Menu Path
Details of
Configuration

4.12.3.2

Assign LWF Groupings for Personnel Area and Subarea

Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INW1
SPRO
IMG -> Payroll India -> Statutory Social Contribution -> Labour
Welfare Fund -> Define Personnel Area and Subarea Groupings for
LWF
Maintain the SAP Standard entries as follows,

V_7IN0P_LWF
SPRO
IMG -> Payroll India -> Statutory Social Contribution -> Labour
Welfare Fund -> Assign LWF Groupings for Personnel Area and
Subarea
Assign LWF Groupings(defined in Step 4.12.3.1) for Personnel Area
and Subarea as follows,

Page

48 of 77

4.12.3.3

Maintain Contribution Rates for Labour Welfare Fund

Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INW3
SPRO
IMG -> Payroll India -> Statutory Social Contribution -> Labour
Welfare Fund -> Maintain Contribution Rates for Labour Welfare
Fund
Maintain Contribution Rates for Labour Welfare Fund as follows,

4.13 Professional Tax


4.13.1 Define Professional Tax Grouping Details
Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INP1
SPRO
IMG -> Payroll India -> Professional Tax -> Define Professional
Tax Grouping Details
Maintain the SAP Standard Professional Tax Grouping Details as
follows,

Page

49 of 77

4.13.2 Assign PTax Groupings for Personnel Areas and Subareas


Table
Transaction Code
Menu Path
Details of
Configuration

V_7IN0P_PTX
SPRO
IMG -> Payroll India -> Professional Tax -> Assign PTax Groupings
for Personnel Areas and Subareas
Assign PTax Groupings for Personnel Areas and Subareas as
follows. In case of New Delhi & Allahabad, no professional tax.

4.13.3 Assign Amounts for Professional Tax Deduction


Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INP4
SPRO
IMG -> Payroll India -> Professional Tax -> Assign Amounts for
Professional Tax Deduction
Maintain professional tax slabs for different state as follows. These
entries are maintained by SAP. Still, slab amount can be modified
as per the change in PT rule of state.

Page

50 of 77

4.13.4 Maintain Method and Form Layout for PTax Groupings


Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INP3
SPRO
IMG -> Payroll India -> Professional Tax -> Maintain Method and
Form Layout for PTax Groupings
Maintain the SAP Standard entries.

4.13.5 Maintain Cumulation Rules for Professional Tax


Table
Transaction Code
Menu Path
Details of
Configuration

Rule INPT can be viewed under TR : PE02


SPRO
IMG -> Payroll India -> Professional Tax -> Maintain Cumulation
Rules for Professional Tax
Maintain Cumulation Rules(for wage types /3M3, /3RH) for
Professional Tax as follows,

Page

51 of 77

ax Calculations
4.13.6 Basic Settings
4.13.6.1

Define Personnel Area and Subarea Groupings for Tax

Table
Transaction Code
Menu Path
Details of
Configuration

4.13.6.2

V_T7INT5
SPRO
IMG -> Payroll India -> Tax -> Basic Settings -> Define Personnel
Area and Subarea Groupings for Tax
Maintain the SAP Standard entries.

Assign Tax Groupings for Personnel Areas and Subareas

Table
Transaction Code
Menu Path
Details of
Configuration

V_7IN0P_TAX
SPRO
IMG -> Payroll India -> Tax -> Basic settings -> Assign Tax
Groupings for Personnel Areas and Subareas
Maintain the SAP Standard entries.

4.13.7 Maintain Tax Rules as per Customer Specification


Table
Transaction Code
Menu Path
Details of
Configuration

Rule IN71 can be viewed under TR : PE02


SPRO
IMG -> Payroll India -> Tax -> Maintain Tax Rules as per Customer
Specification
Maintain SAP Standard rule for tat calculations.

Page

52 of 77

4.13.8 Maintain Rule for Voluntary Tax Deduction


Table
Transaction Code
Menu Path
Details of
Configuration

Rule INVT can be viewed under TR : PE02


SPRO
IMG -> Payroll India -> Tax -> Maintain Rule for Voluntary Tax
Deduction
Maintain SAP Standard rule for Voluntary Tax Deduction.

4.13.9 Third Party Deductions


4.13.9.1

Configure Wagetypes for Section 80

Table
Transaction Code
Menu Path
Details of
Configuration

4.13.9.2

Configure Wagetypes for Section 88

Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INIC
SPRO
IMG -> Payroll India -> Tax -> Third Party Deductions -> Configure
Wagetypes for Section 80
Maintain SAP Standard entries. Assign wage type 1018 to Donation
to PMs Relief fund as shown below. So that this wage type will be
picked up for Sec 80 exemption.

V_T7INIA
SPRO
IMG -> Payroll India -> Tax -> Third Party Deductions -> Configure
Wagetypes for Section 88
Maintain SAP Standard rule for tat calculations.

Page

53 of 77

4.13.9.3

Define Membership/Deduction Types

Table
Transaction Code
Menu Path
Details of
Configuration
4.13.9.4

V_T591A
SPRO
IMG -> Payroll India -> Tax -> Third Party Deductions -> Define
Membership/Deduction Types
Maintain SAP Standard entries. Additional Membership types can
be created here.

Check entry permissibility for Membership Fees Infotype (0057)

Table
Transaction Code
Menu Path
Details of
Configuration

V_T512Z
SPRO
IMG -> Payroll India -> Tax -> Third Party Deductions -> Check
entry permissibility for Membership Fees Infotype (0057)
This entry will be automatically created at the time of creating new
wage types from corresponding model wage types. If not
automatically created, then this entry has to be created manually
here.

4.13.10 Tax Liability on Reimbursements, Allowances and Perks


4.13.10.1

Define Tax Codes

Table
Transaction Code
Menu Path
Details of
Configuration

4.13.10.2

V_T7INT7
SPRO
IMG -> Payroll India -> Tax -> Tax Liability on Reimbursements,
Allowances and Perks -> Define Tax Codes
Maintain the SAP Standard Tax codes, which would cover for all
wage types as per Tax law. Entries starting with 'S' are reserved for
a SAP Name range. New entries can be added if required.

Assign Tax Code Limits to Wage Types

Table
Transaction Code
Menu Path

V_T7INT9
SPRO
IMG -> Payroll India -> Tax -> Tax Liability on Reimbursements,
Allowances and Perks -> Assign Tax Code Limits to Wage Types

Page

54 of 77

Details of
Configuration

Link the tax code to different wage types & choose the right tax type
and frequency (Tax exemption Monthly or Annually) as shown
belore,

4.13.11 Section 89(1) Relief


4.13.11.1

Maintain Sec89 (1) Switch at Implementation Level

Table
Transaction Code
Menu Path
Details of
Configuration

4.13.11.2

V_511K_B
SPRO
IMG -> Payroll India -> Tax -> Section 89(1) Relief -> Maintain
Sec89(1) Switch at Implementation Level
Sec 89 (1) relief : If an individual receives any portion of his salary in
arrears or in advance or receives profit in lieu of salary, he can claim
relief in terms of sec 89(1).
Set value of the constant S89SW to 1 or 0 as shown below,
Set the Value field to 1, if you want to provide for Section 89(1)
Relief to your employees.
Set the Value field to 0 or leave the field blank, if you do not want to
provide for Section 89(1) Relief to your employees.

Rule to Maintain Legacy Data for Section 89(1) Relief Calculation

Table
Transaction Code
Menu Path

Rule IN89 can be viewed under TR : PE02


SPRO
IMG -> Payroll India -> Tax -> Section 89(1) Relief -> Rule to

Page

55 of 77

Maintain Legacy Data for Section 89(1) Relief Calculation


In case of sec 89(1) relief for arrears payment for the past years, the
different model wage types shown below need to be populated with
right value in Infotype 0015. The procedure to maintain these
model wage types have been given for the Rule IN89 which can be
seen in TR : PE02 (click on Documentation, press Display)

Details of
Configuration

4.13.11.3

Rule to Capture Section 89(1) Relief Computed Outside SAP Payroll

Table
Transaction Code
Menu Path
Details of
Configuration

Rule IN90 can be viewed under TR : PE02


SPRO
IMG -> Payroll India -> Tax -> Section 89(1) Relief -> Rule to
Capture Section 89(1) Relief Computed Outside SAP Payroll
This rule is for computing sec 89(1) relief outside SAP R/3 payroll
and capture the amount in the model wage type, M89R. Refer the
documentation available under this Rule for details.

4.13.12 Tax on Arrears


4.13.12.1

Maintain Tax Limit and Tax Rate for Arrears Payment

Table
Transaction Code
Menu Path
Details of
Configuration

V_511P_B, V_511K_B
SPRO
IMG -> Payroll India -> Tax -> Tax on Arrears -> Maintain Tax Limit
and Tax Rate for Arrears Payment
The constants ARLMT, ARTDS need to be maintained as per the
requirements before calculating arrears. Refer the documentation in
this node.

Page

56 of 77

4.13.12.2

Maintain Schema for Tax on Arrears

Table
Transaction Code
Menu Path
Details of
Configuration

Schema : INN1 can be viewed under TR : PE01


SPRO
IMG -> Payroll India -> Tax -> Tax on Arrears -> Maintain Schema
for Tax on Arrears
Maintain this SAP Standard schema.

4.14 Recovery of Rounded Off Amounts


4.14.1 Maintain Details for Recovery of Rounded Amounts
Table
Transaction Code
Menu Path
Details of
Configuration

V_T7INY1
SPRO
IMG -> Payroll India -> Recovery of Rounded Off Amounts ->
Maintain Details for Recovery of Rounded Amounts
For each allowance group, the condition for recovery of round off
amount needs to be set as follows,

4.15 Retro Active Payroll Runs


4.15.1 Maintain Rule to form Differences from Previous Results

Page

57 of 77

Table
Transaction Code
Menu Path
Details of
Configuration

Rule ZN42 can be viewed under TR : PE02


SPRO
IMG -> Payroll India -> Retro Active Payroll Runs -> Maintain Rule
to form Differences from Previous Results
SAP Standard Rule IN42 is modified to ZN42, to include the
customer wage types in the Retro processing. Refer the rule for
details.

4.15.2 Maintain Rule to form Differences with Actual Amounts


Table
Transaction Code
Menu Path
Details of
Configuration

Rule ZN43 can be viewed under TR : PE02


SPRO
IMG -> Payroll India -> Retro Active Payroll Runs -> Maintain Rule
to form Differences with Actual Amounts
SAP Standard Rule IN43 is modified to ZN43, to include the
customer wage types in the Retro processing. Refer the rule for
details.

4.15.3 Maintain Rule to Bring Forward Difference Amounts


Table
Transaction Code
Menu Path
Details of
Configuration

Rule ZN44 can be viewed under TR : PE02


SPRO
IMG -> Payroll India -> Retro Active Payroll Runs -> Maintain Rule
to Bring Forward Difference Amounts
SAP Standard Rule IN44 is modified to ZN44, to include the
customer wage types in the Retro processing. Refer the rule for
details.

4.16 Special Payments


4.16.1 Create Wage Type Catalog
Table
Transaction Code
Menu Path
Details of
Configuration

Tables as mentioned in the second snapshot.


SPRO
IMG -> Payroll India -> Special Payments -> Wage Types -> Create
Wage Type Catalog
Special payment wage type can be created from corresponding
SAP Standard model wage types available in the catalog as shown
below. Hence the entry required in various tables (as shown in the
second snapshot) will be copied automatically. This can be viewed
in different nodes available under special payments in IMG.

Page

58 of 77

4.17 Off-Cycle Activities


4.17.1 Check entry permissibility for Infotype (0267)
Table
Transaction Code
Menu Path
Details of
Configuration

V_T512Z
SPRO
IMG -> Payroll India -> Off-Cycle Activities -> Check entry
permissibility for Infotype (0267)
The entry permissibility in infotype (0267) for any wage type is
created automatically at the time of creating that wage type from
model wage type. In case, if its not created, then this entry can be
created manually here.

4.17.2 Set Up Off-Cycle Reasons


Table
Transaction Code
Menu Path
Details of
Configuration

V_T52OCR (Cross Client)


SPRO
IMG -> Payroll India -> Off-Cycle Activities -> Set Up Off-Cycle
Reasons
Apart from SAP Standard entries, additional Off-cycle reasons can
be created as follows. This need not be transported as table is cross
client.

4.17.3 Set Up Report Variants for Off-Cycle Activities


Table
Transaction Code
Menu Path

V_T52OCV
SPRO
IMG -> Payroll India -> Off-Cycle Activities -> Set Up Report

Page

59 of 77

Details of
Configuration

Variants for Off-Cycle Activities


First the variants (OC_TEST, Z_OFF_REMU) for the payroll run &
Remuneration statement have to be created. Then these variants
have to be attached as shown below.

4.17.4 Define Default Values for Payments in Advance


Table
Transaction Code
Menu Path
Details of
Configuration

V_T52OCAP
SPRO
IMG -> Payroll India -> Off-Cycle Activities -> Define Default Values
for Payments in Advance
Here, the number of period in advance, the payment can be
processed can be set. As per the requirement, this can be changed.
For the time being, it is set to 3.

4.17.5 Specify default values for wage types


Table
Transaction Code
Menu Path
Details of
Configuration

V_T52OCW
SPRO
IMG -> Payroll India -> Off-Cycle Activities -> Specify default values
for wage types
Maintain the SAP Standard entries. Default wage type for each offcycle payroll reason can be set as per the requirement. Anyway, this
is not mandatory as the wage types will be picked up automatically
as per the entry in IT 0267 for a payroll reason & the date of
payment.

4.17.6 Specify Default Values for Payroll Results


Table
Transaction Code
Menu Path
Details of
Configuration

V_T52OCP
SPRO
IMG -> Payroll India -> Off-Cycle Activities -> Specify Default Values
for Payroll Results
Maintain the SAP Standard entries. Default wage type to be
displayed for each off-cycle payroll reason can be set as per the
requirement. If this entry is not maintained, then the secondary
wage types like /101, /557, /558. /559, /560 will be displayed as
default.

4.17.7 Specify Default Values for Payment Methods


Table
Transaction Code
Menu Path

V_T52OCB
SPRO
IMG -> Payroll India -> Off-Cycle Activities -> Specify Default Values
for Payment Methods

Page

60 of 77

Details of
Configuration

Maintain the SAP Standard entries. Default Payment Method for


each off-cycle payroll reason can be set as per the requirement.
This is not mandatory as the payment method will be picked up
automatically as per the entry in IT 0009.

4.18 Deductions Processing


4.18.1 Arrears and Priorities
Table
Transaction Code
Menu Path
Details of
Configuration

SPRO
IMG -> Payroll India -> Deductions -> Arrears and Priorities
Maintain the SAP Standard entries under all the nodes under this
section.

4.18.2 Minimum Net Pay


Table
Transaction Code
Menu Path
Details of
Configuration

V_511P_B
SPRO
IMG -> Payroll India -> Deductions -> Minimum Net Pay ->
Maintain Value for Determination of Minimum Wage
Click on Maintain the Minimum Wage Amount . Maintain the entries
as shown below. Minimum percentage can also be maintained in
this node.

4.19 Company Loans


4.19.1 Master Data
4.19.1.1 Define Value Dates for Payroll Area
Table
Transaction Code
Menu Path
Details of
Configuration

V_T506S
SPRO
IMG -> Payroll India -> Company Loans -> Master Data ->
Define Value Dates for Payroll Area
Define the value dates for the payroll area MP as follows. Select
value date as In accordance with payment date in T549S.

Page

61 of 77

4.19.1.2 Create a Loan Type


Table
Transaction Code
Menu Path
Details of
Configuration

V_T591A
SPRO
IMG -> Payroll India -> Company Loans -> Master Data
Create a Loan Type
Create various loan types as follows.

->

4.19.1.3 Assign Repayment Type


Table
Transaction Code
Menu Path
Details of
Configuration

V_T506A
SPRO
IMG -> Payroll India -> Company Loans -> Master Data
Assign Repayment Type
Assign the repayment type for each loan as follows,

->

4.19.1.4 Create Loan Conditions


Table
Transaction Code
Menu Path
Details of
Configuration

V_T506D
SPRO
IMG -> Payroll India -> Company Loans -> Master Data ->
Create Loan Conditions
Create loan conditions for each loan. For example, loan type 9101,
the condition is set as follows,

Page

62 of 77

4.19.1.5 Control Allocation of Loans


Table
Transaction Code
Menu Path
Details of
Configuration

T506C
SPRO
IMG -> Payroll India -> Company Loans -> Master Data
Control Allocation of Loans
The following indicators can be set for each loan type.

->

4.19.1.6 Adjust Screen Control


Table
Transaction Code
Menu Path
Details of
Configuration

None
Feature P0045 can be viewed/edited using TR : PE03
IMG -> Payroll India -> Company Loans -> Master Data ->
Adjust Screen Control
Default subtype (Loan type) can be set in infotype 0045 using this
feature P0045

4.19.1.7 Maintain Loans Grouping


Table
Transaction Code

None
Feature 40LGR can be viewed/edited using TR : PE03

Page

63 of 77

Menu Path
Details of
Configuration

IMG -> Payroll India -> Company Loans -> Master Data ->
Maintain Loans Grouping
This feature can be used to configure to fix the loan type based on
allowance grouping.

4.19.1.8 Maintain Salary Components


Table
Transaction Code
Menu Path
Details of
Configuration

None
Feature 40LSL can be viewed/edited using TR : PE03
IMG -> Payroll India -> Company Loans -> Master Data ->
Maintain Salary Components
Loan basis of salary components can be captured here for various
loan types as follows,

Page

64 of 77

4.19.1.9 Maintain Maximum Number of Loans Allowed


Table
Transaction Code
Menu Path
Details of
Configuration

4.19.1.10

Maintain Maximum amount for loans outstanding

Table
Transaction Code
Menu Path
Details of
Configuration
4.19.1.11

V_511P_B
SPRO
IMG -> Payroll India -> Company Loans -> Master Data ->
Maintain Maximum amount for loans outstanding
Maximum amount for loans outstanding can be maintained in the
table against the constant LMVAL

Maintain Loans Eligibility Checks and Limits

Table
Transaction Code
Menu Path
Details of
Configuration

V_511K_B
SPRO
IMG -> Payroll India -> Company Loans -> Master Data ->
Maintain Maximum Number of Loans Allowed
Maximum no of loans at a time (LMNL1), Maximum number of loans
(LMNL2) can be maintained here.

V_T7INJ3
SPRO
IMG -> Payroll India -> Company Loans -> Master Data
Maintain Loans Eligibility Checks and Limits
Loan Eligibility checks and limits for loan type 9101 can be
maintained as follows.

Page

65 of 77

->

4.19.1.12

Maintain Deduction Details Under Section 24

Table
Transaction Code
Menu Path
Details of
Configuration

4.19.2

V_T7INJ1
SPRO
IMG -> Payroll India -> Company Loans -> Master Data ->
Maintain Deduction Details Under Section 24
Loan types can be maintained in this view for Sec24 exemptions.

Calculation

Table
Transaction Code
Menu Path
Details of
Configuration

Schema
PE01 : ZNLN
IMG -> Payroll India -> Deductions -> Calculation -> Adjust
Calculation
SAP Standard schema(INLN) is modified to suit the requirement as
ZNLN. In this schema, the change corresponding to stop the loan
deduction for a specific period and the loan balance is carried
forward to the next period as such.

4.20 Remuneration Statement Maintenance


4.20.1 Form Editor
Table

None

Page

66 of 77

Transaction Code
Menu Path
Details of
Configuration

PE51
IMG -> Payroll India -> Forms -> Remuneration Statement ->
Setting Up the Form with the HR Form Editor -> Form Editor
Form Editor is used to design the remuneration statement. The
customized pay slip is TE01. This can be maintained using various
sub-objects as mentioned below. Under sub-object Window,
various windows are maintained such as
W1- EARNING
W2- DEDUCTIONS
W3- PERKS/OTHER INCOME/EXEMPTIONS/REBATES
W4- TAKE HOME PAY
W5- LOAN BALANCE
W6- LEAVE BALANCE
W7- SEC10 EXEMPTION
W9- FORM 16 SUMMARY
New earning or deduction wages can be added/deleted by double
clicking the respective window.

Page

67 of 77

Payroll Posting Configurations

5.1 Activities in the HR System


5.1.1

Employee Grouping and Symbolic Accounts

5.1.1.1 Define Employee Grouping Account Determination


Table
Transaction Code
Menu Path

Details of
Configuration

V_T52EM
SPRO
IMG -> Payroll India -> Reporting for Posting Payroll Results to
Accounting -> Activities in the HR System -> Employee Grouping
and Symbolic Accounts -> Define Employee Grouping Account
Determination
Maintain SAP Standard entries. Account assignment can also be
done based on various employee subgroup using the feature
PPMOD which can be seen under this node.

5.1.1.2 Define Symbolic Accounts


Table
Transaction Code
Menu Path
Details of
Configuration

V_T52EK
SPRO
IMG -> Payroll India -> Reporting for Posting Payroll Results to
Accounting -> Activities in the HR System -> Employee Grouping
and Symbolic Accounts -> Define Symbolic Accounts
Define Symbolic accounts for balance sheet and expense accounts.
Account assignment type = C for expense and F for Balance sheet
accounts.

Page

68 of 77

5.1.2

Maintaining Wage Types

5.1.2.1 Define Posting Characteristics of Wage Types


Table
Transaction Code
Menu Path
Details of
Configuration

5.1.3

V_T52EZ, V_T52EL
SPRO
IMG -> Payroll India -> Reporting for Posting Payroll Results to
Accounting -> Activities in the HR System -> Maintaining Wage
Types -> Define Posting Characteristics of Wage Types
The posting characteristics of individual wage type can be done
here depending upon the requirement. For example, the basic pay
wage type 1000 is linked to symbolic account 8888(Salaries &
wages) as below. If the model wage type is used for creating a new
wage type, then this entry is created automatically.

Maintain Posting Date for Payroll Periods

Table
Transaction Code
Menu Path
Details of
Configuration

T549S
SPRO
IMG -> Payroll India -> Reporting for Posting Payroll Results to
Accounting -> Activities in the HR System -> Maintain Posting Date
for Payroll Periods
Posting Date for different payroll periods can be done as follows.
The Pay Day is already generated in the earlier step 4.1.5. This Pay
Day can be created as Posting date. Otherwise, the difference in
days has to be mentioned in the specification screen for different
Posting date.

Page

69 of 77

5.1.4

Create Posting Variants

Table
Transaction Code
Menu Path
Details of
Configuration

V_T52E2
SPRO
IMG -> Payroll India -> Reporting for Posting Payroll Results to
Accounting -> Activities in the HR System -> Maintain Posting Date
for Payroll Periods
Posting Variants for payroll posting can be created here. This is an
optional step.

Page

70 of 77

5.2 Activities in the AC System


5.2.1

Assigning Accounts

5.2.1.1 Assign Balance Sheet Accounts


Table
Transaction Code
Menu Path
Details of
Configuration

T030
SPRO
IMG -> Payroll India -> Reporting for Posting Payroll Results to
Accounting -> Activities in the AC System -> Assigning Accounts ->
Assign Balance Sheet Accounts
This is basically interface between HR & AC system by linking
Symbolic accounts to the respective Balance sheet accounts as
follow.

5.2.1.2 Assign Expense Accounts


Table
Transaction Code
Menu Path
Details of
Configuration

T030
SPRO
IMG -> Payroll India -> Reporting for Posting Payroll Results to
Accounting -> Activities in the AC System -> Assigning Accounts ->
Assign Expense Accounts
This is basically the interface between HR & AC system by linking
Symbolic accounts to the respective Expense accounts as follow.

5.2.1.3 Assign Technical Accounts


Table

T030

Page

71 of 77

Transaction Code
Menu Path
Details of
Configuration

SPRO
IMG -> Payroll India -> Reporting for Posting Payroll Results to
Accounting -> Activities in the AC System -> Assigning Accounts ->
Assign Technical Accounts
The single entry here is required for accounting key 1001 to salary
payable account 230116 for the purpose of automatic account
posting.

5.2.1.4 Assign Vendor Accounts


Table
Transaction Code
Menu Path
Details of
Configuration

T030
SPRO
IMG -> Payroll India -> Reporting for Posting Payroll Results to
Accounting -> Activities in the AC System -> Assigning Accounts ->
Assign Vendor Accounts
This is basically the interface between HR & AC system by linking
Symbolic accounts to the respective Vendor accounts(Account
Assignment type K Personal Vendor, KF Fixed Vendor) which
was created in Transaction FK01.

5.3 Check Customizing for Account Determination


Table
Transaction Code
Menu Path
Details of

None
SPRO
IMG -> Payroll India -> Reporting for Posting Payroll Results to
Accounting -> Check Customizing for Account Determination
The account assignment for all the wage types through symbolic

Page

72 of 77

Configuration

account can be displayed here.

Page

73 of 77