This step enables you to define reduction formulas for wage
types that are entered via
infotypes 0008 Basic Pay or 0014
Recurring Payments/Deductions.

Since wage types from infotype 0008 Basic
Pay are created for each partial period if changes in
infotypes 0001 Organizational Assignment
or 0008 Basic Pay are not made at the
start of a period, these wage types must be reduced by factors
which are created on the basis of the partial periods.

Wage types from infotype 0014 Recurring
Payments/Deductions, on the other hand, are created
just once per period. For this reason, reduction factors can only
be used for these wage types that are created on the basis of the
entire period.

Standard settings

The standard SAP R/3 system contains the following formula for
reducing basic pay wage types for partial periods:

Factor =

Planned working time (partial period)
- unpaid absence (partial period)

divided by

Monthly working time according to the
personal work schedule

The standard system contains two
formulas for reducing wage types entered using infotype 0014
Recurring Payments/Deductions.

Factor =

Planned working time (entire period)
- unpaid absence (entire period)

divided by

Monthly working time according to the
personal work schedule

Factor = 0 if no paid attendance hour exists or

Factor = 1 (thus no reduction) if at
least one paid hour exists in the payroll accounting period

Actions

1. Check which reduction formulas you
need

2. Make a copy of standard
calculation rule XPPF and rename it ZPPF

3. Make a copy of standard
calculation rule XPP0 and rename it ZPP0

4. Make a copy of standard
calculation rule XPP1 and rename it ZPP1

5. Change the reduction formulas in
personnel calculation rule ZPP1 to meet your requirements

6. Change personnel calculation rule
ZPPF so that it accesses ZPP0 instead of XPP0

7. Change personnel calculation rule
ZPP0 so that it accesses ZPP1 instead of ZPP0

8. Change personnel calculation
schema XAL0 so that it accesses ZPPF instead of XPPF

Note

If you do not need to change the standard formulas, skip the
above actions.

There is detailed information on monthly factoring in the
payroll guide.