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  #1  
Old 11-14-2009, 06:59 AM
seema seema is offline
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Default how to include arrear

the basic salary of an employee is increased from 10000 to 15000 in october. but in october payroll was processed with 10000 as basic.

pls let me know the prcedure (configuration,rules,settings) how to include the arrear payment of October in November salary.

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  #2  
Old 11-14-2009, 06:59 AM
seema seema is offline
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As you said the IT0008 is changed system should pick that change automatically but if it did not in the november payroll do a forced retro then systm will automatically recalculate the pay increase and pay's to the employee.

Hope this helps...
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Old 11-14-2009, 06:59 AM
seema seema is offline
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You just need to verify in the infotype 3 of the employee that 'Earliest MD change' is updated to a date when the salary is changed (ie. in October like you mentioned).

IF there are other payroll related infotype which is also updated retroactively then which ever earliest date will be populated in this field. The information here will tell payroll driver to which payroll period in the past it needs to reprocess.

If no dates is populated in this field or if it is populated with date falling within next payroll period (e.g. Nov) then no retro calculation is performed. All fields in this infotype are display fields only and will be updated automatically by system depending on what action you performed.

DO NOT MESS the entries unless you are very sure of what you are doing and the implication to payroll.

In your case, the 'Earliest MD change' should be showing a date sometimes in Oct. and payroll in november will recalculate october payroll, thus will pay extra 5000 to the employee in november due to the arrears in Oct.
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Old 11-14-2009, 07:01 AM
seema seema is offline
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Also try run payroll simulation for period Nov now to anticipate result.
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  #5  
Old 11-14-2009, 07:01 AM
seema seema is offline
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For arrears we need to check the rule IN41 IN42 IN43 Rules

when you pass the amount in the month of the November whre the increase was made in the month of september the system will show both the amount

say Basic for that month

and basic arrear
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