Payroll in the SAP System

Purpose

You can use this component to calculate the remuneration for work done for each employee.
However, Payroll does not just involve the calculation of remuneration, but consists of a variety of processes that are becoming increasingly important due to the employer’s increased obligation to supply benefits and medical welfare. These benefits are products of:
• Labor law
• Tax law
• Contribution law
• Benefits law
• Civil law
• Reporting law
• Information law
• Statistics law

Integration

Payroll can be integrated in Personnel Administration, Time Management, Incentive Wages and Accounting:
• Standardized data retention enables you to use master data and other payroll relevant data from Personnel Administration
• Time data, entered via Time Management, is automatically included in the Payroll and is valuated during the payroll run
• Data from the Incentive Wages component is used to calculate piecework wages and premium wages directly in Payroll
• Information on expenses and payables from Payroll is posted for accounting directly in Financial Accounting, and you assign the costs to the appropriate cost center। You can also control the financial system of third-party providers

Features

The System calculates the gross and net pay, which comprises the individual payments and deductions that are calculated during a payroll period, and are received by an employee. These payments and deductions are included in the calculation of the remuneration using different wage types .
After the remuneration payroll you can carry out various subsequent activities, for example, you can see to remuneration payment or the creation of various lists, and make evaluations।

Payroll Schema

Structure
A schema consists of the following parts:
• Initialization

The system performs the following steps:
– Updates the databases
– Imports required infotypes
• Gross calculation of pay

The system performs the following steps:
– Processes basic data and time data
– Queries off-cycle payroll runs
– Reads payroll account of the last period accounted
– Processes time data and calculates the individual gross values
– Performs factoring
• Net calculation of pay

The system performs the following steps:
– Calculates net remuneration
– Performs bank transfers