Title: Demystifying /801 Wage Types in SAP HR

Introduction

In the SAP Human Resources (HR) world, wage types play a crucial role in payroll calculations. One significant group – the /80x wage types – is used for factoring. If you manage an SAP HR system or are involved in HR processes, it’s vital to understand what /801 signifies and how it influences accurate payroll processing.

What is /801 in SAP HR?

• In essence, /801 is a wage type that tells the SAP system how to factor certain payments into the number of calendar days in a month.
• It’s frequently used for monthly salaried employees to ensure their pay is accurately adjusted for absences, partial work periods, or other time-related variations.

How does /801 work?

1. Linking to Other Wage Types:/801’s power comes from its link to other wage types in the system. In the configuration (view V_512w_d), you specify which wage types will use /801 as their factoring basis through what’s called Processing Class 10.
2. Calculating the Factor: The SAP system, during payroll, does the following:
   • Determines the number of calendar days in the payroll month.
   • It looks at /801 for the employee to get the relevant number of working days/hours or another specified factor.
   • Divide the calendar days by the /801 value to determine a factoring percentage.
3. Applying the Factor: This percentage is applied to the wage types linked to /801, ensuring pay is prorated or adjusted relatively.

Common Use Cases

• Salary Adjustments: If a monthly salaried employee is absent for a few days, /801 reduces their salary proportionally.
• Hourly Pay Calculations: /801 can be used when hourly rates need adjustment based on changes in the length of a month.
• Mid-Month Changes: If an employee changes job roles, cost centers, or has a salary adjustment mid-month, /801 helps calculate pay accurately for each month’s portion.

Configuration Considerations

• Processing Class 10: As mentioned earlier, setting Processing Class 10 is critical. This is where you link wage types whose values should be factored using /801.
• Customization: In some cases, more complex factoring logic is needed. This might require custom PCRs (Personnel Calculation Rules) in the payroll schema.

Final Thoughts

While /801 looks simple, proper understanding and configuration are essential for precise payroll processing. Errors in these settings can lead to incorrect pay calculations, causing potential issues for employees and the organization. If you need to become more familiar with SAP HR configuration, working with an experienced SAP HR consultant is advisable.