Here you enter from which period RETRO SHOULD STARTS
Example : If your company payroll started from 01.01.2000.
Take one year so Jan 2000 - Dec 2000, Salary components like BONUS pays only RETRO from 01.01.2000, so if any entry before 01.01.2000 system will not take retro.
Earliest Retroactive Accounting Date
The Earliest retroactive accounting date field enables you to determine the date up to which retroactive accounting is possible for the payroll area.
You can only change the employee’s master data up to and including this earliest personal retroactive accounting date. If you try to change data in the payroll past for a date that occurs before the earliest personal retroactive accounting date, the system displays an error message.
Usually, you do not define the earliest personal retroactive accounting date for an individual employee in the Payroll Status infotype. Instead, you define the earliest personal retroactive accounting date for an entire payroll area using the payroll control record. If the earliest retroactive accounting period in the control record does not match the earliest personal retroactive accounting date in the Payroll Status infotype, the system uses the later date as the earliest retroactive accounting date.