India
Specific Bonus Calculation Report (HINCBON0)
Use
This function calculates employee bonus and it is a non-statutory report.
Prerequisites
You have maintained the following:
· Organizational Assignment infotype (0001), Planned Working Time infotype (0007) and Basic Pay infotype (0008).
· Evaluation Class 10 for all wage types constituting the Monthly Basis Salary for Bonus calculation.
· Payment wage types as eligible for Additional Payments infotype (0015) or Additional Off-Cycle Payments infotype (0267) or both.
Features
· Payment of Bonus Act (POBA)
You can set the report for computing bonus as per the bonus act. You can also pay an amount that is in excess of the bonus payable as per the POBA.
While computing the bonus as per POBA, the report checks the eligibility of the employee towards bonus, on a monthly basis. Eligibility check is on the nominal salary, represented by the Nom.ExGrat Base Lo limit wage type (/120).
· You can maintain the maximum and minimum permissible bonus, as per the POBA, through the IMG under Payroll India ® Bonus ®Maintain Bonus Payment Limits as per POBA.
These POBA values are maintained in the constants Bonus-Minimum % (BNNPR) and Bonus-Maximum % (BNXPR) of table view Payroll Constants (V_T511K). The values are maintained as percentages.
· You can maintain the limits on basis salary for bonus computations, as per the POBA, through the IMG under Payroll India ® Bonus ® Maintain Salary Limits for Bonus Computations as per POBA.
The table view Payroll Constants (V_T511P) maintains these POBA values as Payroll Constants. The values are as percentages.
· Bonus Calculation
You have the option of calculating bonus as per the:
¡ Monthly Basis Salary
The salary basis includes all the wage types that exist in the Basic Pay infotype (0008) on the specified Date of Basic salary, and have the Evaluation Class 10, Specification 1.
¡ Annual Basis Salary
The salary basis will include all wage types that you specify against Wage Type field.
For the payroll periods that you wish to compute bonus, the system checks for the availability of payroll results. If the results are:
§ Available, the report computes the bonus payable in the required payroll periods.
§ Not available, the report will project the existing results, within the specified period, for the remaining periods that you have selected.
· Regular and Off-Cycle bonus
You can generate bonus as:
¡ Regular bonus – Updates the Additional Payments infotype (0015)
¡ Off-Cycle bonus – Updates the Additional Off-Cycle Payments infotype (0267)
¡ Both – Updates both the Additional Payments infotype (0015) and the Additional Off-Cycle Payments infotype (0267). In this case, you can specify the percentage of bonus to pay through an off-cycle and as a regular bonus. You can also specify the date of the off-cycle and regular bonus.
Activities
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1. To access the report from the SAP Easy Access screen, choose Human Resources ® Payroll ® Asia/Pacific ® India ® Utilities ® Bonus ® Batch Program for Bonus.
2. Bonus Calculation Parameters
¡ To compute bonus on a monthly basis salary:
§ Select the Monthly Basis Salary indicator.
§ Specify the Date of Basic Salary.
§ Specify the Factor to calculate Bonus as number of months. The report will compute the bonus in multiples of the monthly basis salary.
¡ To compute bonus on an Annual Basis Salary:
§ Select the Annual Basis Salary indicator.
Also, select the period for which you are paying the bonus in the Bonus for the period field.
§ Specify the Wage Types for basis salary. The selection screen displays the Wage Type field only when you select the Annual Basis Salary indicator.
§ Specify the Factor to calculate Bonus as a percentage. The report will compute the bonus as a percentage of the annual basis.
3. Payment Information
¡ In the Wage Type for Infotype 15/267 field, select the bonus wage type for the Additional Payments infotype (0015) and the Additional Off-Cycle Payments infotype (0267).
¡ To specify the period for the bonus payments, select either Reg. Payroll or Offcycle.
¡ To compute bonus according to the Bonus Act, select As per Payment of Bonus Act.
¡ To pay a bonus that exceeds the amount payable according to POBA, select the wage type in the Wage type for amt exceeding POBA amount field.
¡ The report will in parallel, compute bonus as per POBA and bonus that is not as per the POBA. It will maintain the difference between the two values in the wage type that you have selected in Wage type for amt exceeding POBA amount.
¡ If an employee is not eligible for a bonus as per POBA, but you still want to pay a bonus to the employee, enter the amount in the Maximum monthly basis limit field. Any value that you enter in this field overrides the salary basis for determining the eligibility of an employee for a bonus as per POBA.
If the basis salary of an employee is less than or equal to the value entered in the Maximum monthly basis limit field, the report will compute a bonus. The computations will follow all rules applicable as per POBA except the rule on eligibility.
¡ To pay an interim bonus to the employees, select Interim/Final Bonus.
For example, your company decides to pay an interim bonus in August, for the period between April and March. In this case, the report will project the salary of August until March and pay the bonus accordingly. If your company decides to pay a second interim bonus in October, the report will base the projection for the second interim bonus on the October salary, and deduct the first interim bonus from the present bonus. The second interim bonus projection is for the balance months.
While paying the final bonus, the report will consider the salary for the entire year as the Annual Basis Salary, and deduct the previous interim bonuses paid to the employees. The SAP system will also recover any excess payments made during interim bonus.
After calculating the bonus payable to the employees, the report creates a batch session. You can run the batch session from the SM35 transaction. Depending on whether you have selected a regular or an off-cycle bonus, the batch session will update the relevant infotype records.
See also: