Understanding SAP HR Wage Type Permissibility Tables

In any SAP HR system, wage types are the fundamental building blocks for calculating employee salary and benefits. These wage types represent distinct pay components, such as basic salary, overtime, bonuses, and allowances. To ensure that these wage types are applied correctly within various HR processes, SAP leverages Wage Type Permissibility Tables. Let us explore what these are and why they are essential.

What is Wage Type Permissibility?

Wage type permissibility controls which wage types are valid and allowable within specific HR info types. Infotypes are logical groupings of employee data in SAP HR (e.g., Infotype 0008 for Basic Pay, 0014 for Recurring Payments, 0015 for Additional Payments).

By defining wage type permissibility, you establish rules like:

• Certain infotypes can only enter specific wage types. For instance, basic pay would belong in Infotype 0008, but a house rent allowance would be appropriate for Infotype 0014.
• Wage types can be restricted by country, Personnel Area, Employee Group, or Employee Subgroup. Imagine a special bonus applicable only to employees in a specific country or designated department.

Key SAP HR Tables for Wage Type Permissibility

Several configuration tables within SAP HR govern wage type permissibility:

• V_001P_K: Controls Personnel Subarea Grouping for Primary Wage Types
• V_503_G: Controls Employee Grouping for Primary Wage Types
• V_511_B: Holds wage type permissibility settings by Country Grouping, Personnel Area, Employee Group, Employee Subgroup, and Infotype.

Why is Wage Type Permissibility Important

1. Data Accuracy: This prevents incorrect data entry, reducing payroll errors. For example, it ensures employees avoid accidentally receiving overtime wages in the primary pay info type.
2. Compliance: Ensures payroll calculations align with company policies, labor regulations, and country-specific legal requirements.
3. Streamlined HR Processes: This software automates specific payroll processes by filtering out irrelevant wage types for specific employee groups during calculations, reducing manual effort.
4. Reporting: Enables more specific reporting based on fine-grained wage-type controls.

How to Configure Wage Type Permissibility

Configuration is typically done by an SAP HR functional consultant using the following transaction codes:

• SM30/SM31: Used to view and maintain table entries.
• PE03: Used to access Feature P0008, which allows you to control wage-type characteristics linked to permissibility.

Example

You want to restrict a “Sales Commission” wage type to only the Sales Employee Subgroup within your organization. Here is a simplified view of the setup:

1. V_511_B: Create an entry specifying:
   • Country Grouping
   • Personnel Area
   • Employee Group (General)
   • Employee Subgroup (Sales)
   • Infotype (0015 is a common choice for additional payments)
   • Wage Type (your sales commission wage type)

Important Considerations

• Thoroughly plan your wage type permissibility setups based on specific business and regulatory needs.
• Coordination with payroll teams and HR business partners is essential.
• Test your configurations carefully in sandbox environments before deploying.

In Conclusion

Wage-type permissibility tables are a powerful tool in SAP HR. They help you tailor your payroll configuration, ensuring a more accurate, compliant, and streamlined payroll process.