Hi,
Partial Period Remuneration (Factoring): If an employee did not work for the whole payroll period, then a partial remuneration is calculated during the payroll run. In this way only results for the current period are considered. Factoring is used in the following cases:
1. To reduce payments made to an employee because he or she joins, leaves, or is absent from the company during a period
2. To calculate remuneration for an exact period because of substitutions, changes in basic pay, organizational reassignments, or changes in the personal work schedule
3. To calculate cost accounting wage types for an exact period. This will enable you to decide how much remuneration an employee receives for work done and for paid absences. The different amounts can be assigned to different cost centers.
To determine an employee’s exact remuneration, the remuneration amount is multiplied by a partial period factor. The partial period factor can be calculated using different methods:
Payment method
Deduction method
Hybrid of payment and deduction methods
PWS method
All or nothing method
If you require cumulation periods other than the standard periods available in the system:
M: Monthly
Q: Quarterly
Y: Annual
U: Unlimited
you should define customer specific cumulation types. You will need to assign a time frame to these types at a later stage.
Since the cumulation and storage of their results requires extensive computing time and data base space, you should set up only essential cumulation types.
Hope this helps,
Reward points appreciated,
Thank You,
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