Setting Up an AVC Dummy Scheme 

Scenario

A monthly paid employee pays into a percentage pension scheme and wishes to make a flat-rate AVC of £1,000 in July 1997. This is the only AVC this employee wishes to make this year.

Procedure

  1. Choose Human resources ® Personnel management ® Administration, then Maintain master data.

    2. The Maintain HR Master Data screen appears.

  2. In the Personnel number field, enter the employee’s personnel number.

    3. Use the matchcode function to find a number you do not know.

  3. Access the Pension Funds (infotype 0071) record by entering the infotype name or number in the Infotype field.
  4. Specify the flat-rate pension scheme type in the STy field.
  5. Choose Create.

    6. The Create Pension Funds GB screen appears.

  6. Set the validity dates of the record to 01.07.1997 - 01.08.1997. This ensures that the contribution is deducted by the July payroll.
  7. In the Employee Actual field, enter the amount of £1,000, and delete any defaults that appear in the Employer Actual field.
  8. Save your entries.

Result

A £1,000 AVC is deducted from the employee’s pay in July 1997.