Payroll USA Configuration

Config.
Document
Real time Project

Configuration Document
Payroll (USA)
_______________ ______________________ ______________________
Sign Off Date Signature Customer Signature Consulting

ASAP Business Blueprint – Payroll (USA)
1.0 Introduction……………………………………………………………………………………………..3
2.0 Payroll Organization .................................................................................................................. 3
2.1 Payroll Area ......................................................................................................................... 3
2.2 Default Payroll Area............................................................................................................ 4
2.3 Payroll Periods.................................................................................................................... 4
2.4 Employee Subgroup Groupings for PCR and CAP ......................................................... 5
2.5 Process Models for Payroll................................................................................................ 5
2.6 Hourly Rates with several Decimal Places....................................................................... 5
3.0 Wage Types ................................................................................................................................ 5
3.1 Wage Types from Table T511 or T512T - Report RPDLGA00......................................... 5
3.1 Use of Wage Types in Payroll - Report RPDLGA20 ........................................................ 5
3.2 Wage Types with Processing Class in Payroll - Report RPDLGA40 ............................. 6
4.0 Garnishments ............................................................................................................................. 6
4.1 Garnishment Document Category .................................................................................... 6
4.2 Garnishment Originator ..................................................................................................... 6
4.3 Garnishment Remittance Rule .......................................................................................... 6
4.4 Garnishment Government Rule......................................................................................... 7
4.5 Modifier for Company Rule................................................................................................ 7
4.6 Garnishment Company Rule ............................................................................................. 7
4.7 Garnishment Service Charge ............................................................................................ 8
4.8 Garnishment Service Charge Government Rule ............................................................. 8
4.9 Modifier Service Charge for Company Rule .................................................................... 8
4.10 Garnishment Service Charge Company Rule ................................................................ 8
4.11 Garnishment Number Ranges ......................................................................................... 8
4.12 Garnishment Wage Types................................................................................................ 9
4.13 Garnishment Order Types ............................................................................................... 9
4.14 Garnishment – Adjustable Model for Disposable Net................................................... 10
4.15 Garnishment – Define Levy Form Text ........................................................................... 10
4.16 Garnishment – Special Rules .......................................................................................... 11
4.17 Garnishment – Adjustment Wage Types........................................................................ 12
4.18 Garnishment – Default Values......................................................................................... 13
4.19 Garnishment – Check Priority/Third-Party Remittance for order types...................... 13
4.20 Garnishment – Garnishment Letters .............................................................................. 14
5.0 Off-Cycle ..................................................................................................................................... 14
6.0 Year-End Adjustments Workbench .......................................................................................... 14
7.0 Workers’ Compensation............................................................................................................ 14
9.0 Tax ............................................................................................................................................... 16
9.1 Tax – Tax Company ............................................................................................................ 18
9.2 Tax – Maintain Tax Processing Classes........................................................................... 19
9.3 Tax – Maintain States of Operation................................................................................... 19
9.4 Tax – Tax Authorities ......................................................................................................... 19
10.0 Payroll Posting to FI/CO .......................................................................................................... 27
10.1 Activities In HR System.................................................................................................... 27
10.2 Activities In FI System...................................................................................................... 29
11.0 Electronic Funds Transfer (EFT)/Checks .............................................................................. 29
12.0 Payroll Payments to Third parties .......................................................................................... 30
13.0 Tax Reporter ............................................................................................................................. 30
14.0 Forms, Reports, Interfaces, Conversions, Enhancements (FRICE) ................................... 30
14.1 Forms ................................................................................................................................. 30
14.2 Reports .............................................................................................................................. 30
14.3 Interfaces ........................................................................................................................... 33
14.4 Conversions ...................................................................................................................... 33
14.5 Enhancements .................................................................................................................. 33
15.0 Security and Authorizations ................................................................................................... 33
16.0 Schema and Rule Customization ........................................................................................... 33
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1.0 Introduction
The SAP US Payroll component allows you to process payroll for employees in the United States, using data
from SAP Personnel Administration and Benefits under a wide variety of configurations. The SAP Payroll
system also offers a number of standard payroll reports. The Tax Reporter component allows you to generate
all required state and federal tax forms, such as SUI reports and W-2s. US Payroll uses an interface to a
separate BSI Tax Factory database to calculate taxes. There are also interfaces to other SAP modules such as
Financial Accounting and Controlling. This document deals with the design of the SAP US Payroll module for
GMR Infotech Tire Manufacturing Company, USA.
At GMR Infotech, the SAP system will be used to run all payroll processes, including net payroll and Tax
Reporter.
2.0 Payroll Organization
2.1 Payroll Area
The Payroll Area defines the frequency in which an employee may be paid in an Organization.
Following Payroll Areas would be used:
Table V_T549A
Transaction Code SPRO
Menu Path IMG -> Payroll -> Payroll: USA -> Basic Settings -> Payroll
Organization -> Assign new payroll accounting areas to period modifier
-> Check Payroll Areas
Details of Configuration Here, the date modifier is assigned to payroll Area.
Period Parameter
Table V_T549R
Organization -> Define period modifiers
Details of Configuration Period parameter is defined for specific payroll periods with start and
end dates. If the payrolls run for all employees are in the same time
interval, then only require one period parameter. Attached sheet has the
Period Modifiers defined for GMR Infotech.
Date Modifier
Table V_T549L
Organization -> Define Date Modifiers.
Details of Configuration Different date modifiers is required if different payment dates for various
payroll areas with same period parameters is required (for example, the
parameter weekly).
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2.2 Default Payroll Area
Based on the assignment of the employee to the organization, the following payroll areas will default
on infotype 1 (Organization Assignment):
Feature ABKRS
Transaction Code PE03
Menu Path IMG -> Personnel Management -> Personnel Administration ->
Organizational Assignment -> Check Default Payroll Area
Details of Configuration Here, the table maintenance view of feature ABKRS.
Country Group 10  Employee Group (PERSG)  Personnel Area (WERKS)  Employee Sub
Group (PERSK)  Payroll Area (ABKRS)
2.3 Payroll Periods
Control Records for all the Payroll areas are to be created with an initial pay period of 01.2006 and
earliest retroactive accounting period of 01.2006. The earliest retroactive date will be modified later on
based on the actual go-live date.
Table/View Structure: PV000, TR: PA03

Organization -> Assign new payroll accounting areas to period modifier
-> Create Control Record
Details of Configuration Create the control record for the created payroll area. Enter the Payroll
period & Earliest retro accounting period as follows.
Payroll periods for all payroll areas will be generated from 01.2006 to the last period of 2012. These
are to be generated per following pattern:
Table/View V_T549Q, V_T549S_B, V_T549S

Organization -> Generate payroll periods
Details of Configuration Using the following parameters, generate the payroll period. After
making sure of entries generated, enable the tick mark on carry out
table change and then click on Execute to effect the changes in the
tables. Sample entries generated were shown below.
U1 – pay period 19.2006 is from 09/04/2006 to 09/17/2006, pay date is 09/22/2006. Select payday rule
3 with number of days = 5
U3 – pay period 37.2006 is from 09/04/2006 to 09/10/2006, pay date is 09/14/2006. Select payday rule
3 with number of days = 4
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2.4 Employee Subgroup Groupings for PCR and CAP
The Employee Subgroup groupings for Personnel Calculation Rule are used in payroll processing.
These values are fixed and should not be changed. A value of ‘1’ signifies hourly wage earners.
The collective agreement provisions are used to group employees with same pay scale requirements.
The value of 1 will be used for Union employees.
Table/View V_503_B
Menu Path IMG -> Personnel Management -> Personnel Administration -> Payroll
Data -> Define EE Subgroup Grouping for PCR and Coll.Agrmt.Prov.
Details of Configuration
2.5 Process Models for Payroll
Process models are not in scope.
2.6 Hourly Rates with several Decimal Places
The Union calculations may require hourly rates with 4 decimal places, if the union configuration
cannot be set up to handle percentage deductions. In that case, a new currency USDN may be needed
that supports this requirement. This also needs to be mapped to the PS Type, PS Area and ESG for
CAP. This will be revisited following finalization of the union configuration for payroll.
3.0 Wage Types
3.1 Wage Types from Table T511 or T512T - Report RPDLGA00
Report RPDLGA00 lists the wage types defined in tables T511 or T512T. Permitted infotypes and the
definitions in table T512W can also be displayed for each wage type.
The basic list contains some of the features from table T511 if the wage type is defined in T511. The text from
T512T is also shown.
3.1 Use of Wage Types in Payroll - Report RPDLGA20
You can only use this report to evaluate the wage type characteristics that determine the behaviour of a wage
type in Payroll, and not the wage type characteristics which define the behaviour of a wage type in online
processing.
The report displays the following:
 the meaning of the wage type characteristics

 wage types, for which one wage type characteristic is used
 wage types, for which one wage type characteristic has the same specification
 personnel areas, which belong to the selected country grouping
Processing Class:
Evaluation Class:
Cumulation Wage Types:
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3.2 Wage Types with Processing Class in Payroll - Report RPDLGA40
T512W: Cumulations, Evaluation Classes and Processing Classes. Report RPDLGA40 can be used to set up
and manage wage types. It provides information on
 the cumulation wage types and evaluation and processing classes of the individual wage types
 the wage types of each cumulation wage type and the processing or evaluation class.
 The report can therefore be used to answer the following questions:
 Which cumulations and evaluation and processing classes are available for a particular wage type or
group of wage types?
 Which wage types use a specific cumulation wage type or specification of an evaluation or
processing class?
Report RPDLGA40 uses table T512W 'Wage Type Valuation'. Wage type texts are read from table T512T.
4.0 Garnishments
4.1 Garnishment Document Category
The categories that are used to identify various garnishment documents are created in the Document Category.
Table/View V_T5UG1
Menu Path IMG -> Payroll -> Payroll: USA -> Garnishments -> Master Data ->
Document -> Create document category
4.2 Garnishment Originator
The originator describes the legal entity that has issued the garnishment document.
Table/View T5UGM
Document -> Create originator
4.3 Garnishment Remittance Rule
To create the rules that will apply during bank transfer of the garnished amounts. A rule contains the features
that HR creditors require to define the due date of remittances and the payment method. One rule can be used
for several HR creditors
Table/View V_T51RK
Document -> Remittance Rules for Bank Transfer -> Define remittance rule
Garnishment Remittance Rule Details
A rule ID defines:
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1. How to determine the due date

based on the type of remittance interval, units of the grace period, number of grace periods and the
postponement period.
2. How to determine the payment method
based on the country key and payment method key.
Table/View T51RK - Remittance rule definition

Document -> Remittance Rules for Bank Transfer -> Define remittance rule
-> Double Click
4.4 Garnishment Government Rule
To define any rules that has been established by government bodies for garnishment remittance. These rules
are applied by default if no company remittance rules exist for the Garnishment.
Table/View V_T5UG7
Document -> Remittance Rules for Bank Transfer -> Create government
rule
4.5 Modifier for Company Rule
To define you define the modifier that applies to the company remittance rule. Using this modifier, you can
create new company remittance rules as often as required
Table/View Feature – UGREM

Document -> Remittance Rules for Bank Transfer -> Define modifier for
company rule
4.6 Garnishment Company Rule
To create the company remittance rule. This is the remittance rule to which the system will default if no
equivalent rule is specified in the Garnishment Document infotype. We recommend that you use the company
remittance rule only if you want to override the government remittance rule
Table/View V_T5UG8
Document -> Remittance Rules for Bank Transfer -> Create company rule
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4.7 Garnishment Service Charge
For each garnishment, a service charge can be levied through the corresponding field in the Garnishment
Document infotype (Infotype 0194). If you do not make an entry in this field, no service charge will be
calculated.
However, if you do enter a service charge in Infotype 0194, the service charge rule will be derived from the
Company Service Charge view. If no company service charge exists, then the service charge will be derived
from the Government Service Charge view. If a company service charge and a government service charge are
both available, then the smaller of the two amounts will be applied
Table/View V_T5UGC
Document -> Service Charges -> Create service charge texts
4.8 Garnishment Service Charge Government Rule
Which government rule is to be applied to garnishment service charges
Table/View V_T5UG6 - Government Service Charge

Document -> Service Charges -> Create government rule
4.9 Modifier Service Charge for Company Rule
To define create the modifier for the company service charge rule that will apply to garnishments in your
enterprise. Using this modifier, you can create new company service charge rules as often as required
Table/View Feature – UGSVC

Document -> Service Charges -> Define modifier for company rule
4.10 Garnishment Service Charge Company Rule
You create the company service charge rule. This rule determines the additional amount that will be levied
upon garnishments and remitted to your enterprise
Table/View V_T5UGG
Document -> Service Charges -> Create company rule
4.11 Garnishment Number Ranges
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You create two number ranges that are required to process garnishments. The first number range applies to
the garnishment transfer, and the second number range applies to the vendor subgroup
Garnishment Transfer - Remittance

Table/View Structure – INRDP
Document -> Number Ranges -> Create number range for the garnishment
transfer
Garnishment Vendor Sub Group

Table/View Structure – INRDP
Document -> Number Ranges -> Create number range for the vendor
subgroup
4.12 Garnishment Wage Types
To create the wage types for the wage type catalog and define which wage types will apply to garnishment
orders in your system
Table/View V_512W_T
Menu Path IMG -> Payroll -> Payroll: USA -> Garnishments -> Master Data -> Order
Types -> Wage Types -> Check wage type texts
Assign the selected wage types to Garnishment wage type group
Table/View V_52D7_B
Types -> Wage Types -> Check Wage Type Catalog -> Check wage type
group 'Order Type'
4.13 Garnishment Order Types
To create the garnishment order types required by your enterprise. Order types are used to describe the
various deductions that exist within a garnishment document
Table/View V_T5UGG
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Types -> Create order types
4.14 Garnishment – Adjustable Model for Disposable Net
In this section, you will learn how to adjust the disposable net. To do so, you must create an adjustment model
in the two subsequent steps. If you do not need to adjust the disposable net, you may omit this section and
proceed to the Non-Exempt Amount section. The disposable net is formed in conjunction with values 1 and 2 of
processing class 59. For additional information on this topic, refer to the step in which you Check garnish ability
of wage types
Table/View T5UG5 – Adjustment Model Text

Types -> Garnishable Amounts -> Disposable Net -> Define adjustment
model texts for the disposable net
Table/View V_T5UG2 – Adjustment to the Disposable Net

Types -> Garnishable Amounts -> Disposable Net -> Create adjustment
model for the disposable net
4.15 Garnishment – Define Levy Form Text
Create the model for determining the garnishable amount for Federal or State Levies.
Table/View T5UGH – Levy Statement

Types -> Garnishable Amounts -> Non-Exempt Amount -> Levy -> Define
levy form text
Details of Configuration 0001 Figuring Amt Form 668-W,-W(c),-W(c)(DO) (Only 1 has been for
GMR Infotech)
Garnishment – Define text for the filing status from the levy form
Create the model for determining the garnishable amount for Federal or State Levies.
Table/View V_T5UGD – Filing Status

Types -> Garnishable Amounts -> Non-Exempt Amount -> Levy -> Define
text for the filing status from the levy form
Garnishment – Create exempt amount from levy
Create the exempt amounts per payment period.
Table/View V_T5UGE – Figuring Amount Exempt from Levy

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Types -> Garnishable Amounts -> Non-Exempt Amount -> Levy -> Create
exempt amount from levy
Garnishment – Create additional exempt amount
Create the additional exempt amounts per payment period.
Table/View V_T5UGF – Figuring Additional Exempt Amount

Types -> Garnishable Amounts -> Non-Exempt Amount -> Levy -> Create
additional exempt amount
4.16 Garnishment – Special Rules
Can store special rules for determining the garnishable amount. You use a special rule in cases where you are
not able to use a model. Here you will define the fields that appear in the infotype Garnishment Order, how
these fields respond to special rules, and how you can use these fields to determine the garnishable amount.
create the special rules with text and define which fields are to appear in the infotype Garnishment Order.
Table/View V_T5UGF – Figuring Additional Exempt Amount

Menu Path IMG -> Payroll -> Payroll: USA -> Garnishable Amounts -> Non-Exempt
Amount -> Special rules -> Define fields for the special rule
Garnishment – Special Rules: Create Calculation Scheme
In this step, you determine the garnishable amount for a special rule. A rule can consist of one or more lines.
You can link two fields in one line by using an Operation (e.g. addition, subtraction). These two fields can either
be the fields Operand 1 or the amount of a wage type and the fields Operand 2 or a fixed value (Value).
You can use the fields in the infotype Garnishment Order for operand 1 and operand 2. You defined these
fields in the previous step of the IMG.
You can temporarily store the intermediate results of a line in the field Result. You can use this for operand 1
or operand 2 in any following lines.
The result may not be stored in the Result field in the last line.
Table/View V_T5UGB – Calculation Scheme for Special Rule

Amount -> Special rules -> Create calculation scheme
Garnishment – Model for the Calculation of the Non-exempt Amount
In this step, create a model for determining the garnishable amount. You can store your entries in five blocks.
For each of the first four blocks (Limit 1, Limit 2, Federal Minimum Wage and Special Non-exempt), the system
determines an individual garnishable amount each time and uses the lowest amount as the result for the
garnishable amount. A garnishable amount determined in this way is then adjusted by the amount of the fifth
block (Additional Amount).
Table/View V_T5UG3 – Model for the Calculation of the Non-exempt Amount

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Amount -> Create model for the nonexempt amount
Garnishment – Create Federal Hourly Wage
In this step, create the Federal Hourly Wage. This amount is used to determine the garnishable amount in
accordance with the Federal Minimum Wage.
Table/View V_511K_B – Payroll Parameters

Amount -> Create federal hourly wage
Details of Configuration GRFED - Gr: Federal hourly wage - 5.15 - 01/01/1997 - 12/31/9999
Garnishment – Create Rule for Non Exempt Amount
In this step, create the rules that will be used within your system to determine the garnishable (non-exempt)
amount. If necessary, you may assign a wage type model to the rule to adjust the disposable net.
Table/View V_T5UG4 - Rules for Calculation of the Non-Exempt Amount

Menu Path IMG -> Payroll -> Payroll: USA -> Garnishable Amounts -> Create rule for
the nonexempt amount
Garnishment – Assign order type service charge to the document category
In this step, assign the order types Service Charge to the document category. If you have made the entry in
the infotype Garnishment Document that the Service Charge is to be calculated, then you must assign the
document category to the order types. The Service charge in the garnishment results will be stored under this
order type.
Table/View V_5UG1_B - Service Charge

Types -> Assign order type service charge to the document category
4.17 Garnishment – Adjustment Wage Types
Set Up for infotype Garnishment Adjustment 0216.
Table/View  V_512W_T (Wage Type Texts),

 V_52D7_B (Assign Wage Types to Wage Type Groups),
 V_T511 (Wage Type Characteristics),
 V_511_B (Permissibility of Wage Types),
 V_T512Z (Permitted Wage Types)
Adjustment -> Wage types
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4.18 Garnishment – Default Values
You define the defaults that are to be used when you create a garnishment using the infotypes.
Table/View T5UG9 - Garnishment Default Values

Menu Path IMG -> Payroll -> Payroll: USA -> Garnishments -> Master Data -> Define
defaults
4.19 Garnishment – Check Priority/Third-Party Remittance for order types
Third-Party Remittance
 Processing class 73
o All wage types that are transferred must be assigned the value 1.
o Wage types that are not transferred must have no value for this processing class.
o All wage types that are transferred must be assigned the value 1.
o Wage types that are not transferred must have no value for this processing class.
Table/View V_512W_D - Processing Classes, Cumulations, and Evaluation Classes

Menu Path IMG -> Payroll -> Payroll: USA -> Garnishments -> Processing -> third-
party remittance for order types
Priority
 Priority
o With the exception of wage types for voluntary garnishments, all wage types must be
assigned the value A, which denotes highest priority.
o Wage types for voluntary garnishments may be assigned a lower priority, such as C.
 Arrears
o All wage types must be assigned the value 4.
Table/View V_51P6_B - Characteristics of arrears deductions: priority, character.

Menu Path IMG -> Payroll -> Payroll: USA -> Garnishments -> Processing -> Check
priority
Garnishment – Check Priority For Adjustment Wage Types
Execute this step to check the priority value for your adjustment wage types.
 Priority
o All wage types must be assigned the value 0
Table/View V_51P6_B - Characteristics of arrears deductions: priority, character.

priority for adjustments
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Garnishment – Check release into payroll (order type, adjustments)
Here configure the processing classes of the wage types in the Order Type and Adjustment wage type
groups. The configurations made in this step determine the release of these wage types into payroll.
Execute this step to check the values assigned to your wage types for the following processing classes.
o This processing class determines whether the wage type will be transferred from table LRT
in previous payroll periods.
o This processing class governs the cumulation of the wage type in payroll.
o This processing class determines whether the wage type will be transferred to application
components FI / CO for further processing.
Table/View V_512W_D - Characteristics of arrears deductions: priority, character.

release into payroll (order type, adjustments)
4.20 Garnishment – Garnishment Letters
Third-Party Remittance

Menu Path IMG -> Payroll -> Payroll: USA -> Garnishments -> Processing -> third-
party remittance for order types
5.0 Off-Cycle
Standard SAP
6.0 Year-End Adjustments Workbench
The year end adjustments workbench will be set up in (Phase 2) of the project.
7.0 Workers’ Compensation
The US Personnel Administration has a standard Workers’ Compensation (WC) report that produces output
as below:
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The process for calculating WC wages and premiums in the standard SAP HR system is as follows:
1. When setting up an employee in HR master data, you assign that employee to a Position, Job and
Organizational Unit. WC codes were already assigned to the Job, Position or Organizational Unit during
Configuration.
2. Run payroll. No actual WC calculations are made during the payroll run. The payroll results merely
provide data for the next step.
3. Run RPLWCOU0 (US WC Report). This report uses the payroll results to calculate WC wages and
premiums based on the criteria you specify in the report, and the settings made during Configuration.
The requirements for calculating WC premiums and the WC report output are different from what the
standard system provides. This has been identified as a gap. The actual implementation of the custom solution
will be decided during the implementation phase. The requirements are described below:
The WC report for Tracer should have the following layout:
The report applies to all employees, union or non-union.
WC State: The UI state(s) from the employee master that falls within the report selection period. This can also
be found on the payroll cluster table TAXR.
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WC (Classification) Code: This needs to be set up at the Organization Unit level for employees in personnel
area TRU1 (TSI) and TRU2 (TCC). Any overrides will need to be set up at the position or job level. For
employees in personnel areas TRU3 (TFS) and TRU4 (AIS), this needs to be set up at the job level. For this
purpose, the generic jobs for Union employees will be more than each, one for each trade level or
combination.
Gross Wages – ST: For all US states except WA, this is the straight time wages for each employee that falls
within the report selection period. For the state of WA, the earnings field should be left blank, only the hours
field should be populated with the ST hours. These can be obtained from the payroll cluster table RT.
Gross Wages – OT: For all US states except WA, this is the overtime wages for each employee that falls
field should be populated with the OT hours. These can be obtained from the payroll cluster table RT.
Gross Wages – DT: For all US states except WA, this is the double time wages for each employee that falls
field should be populated with the DT hours. These can be obtained from the payroll cluster table RT.
WC Hours – ST/OT/DT: Need to be printed only for the state of WA. Should be left blank for all other states.
Source will be the payroll cluster table RT.
WC Rate: For the purpose of calculating WC premiums, one single WC rate is used by Tracer. This is valid
for all WC classification codes. This is valid for all states, but for WA.
Calculation of WC Premiums: The calculation of WC premiums will be done outside the system, using the
WC rate.
OCIP/CCIP projects (Owner Controlled Insurance Projects/Contractor Controlled Insurance Projects)

The calculation of WC premiums (hence output on the WC report) need not be done for union employees
working in projects that are OCIP/CCIP. OCIP/CCIP is a project level flag that is only applicable for union
employees. This flag can be maintained at a project level in the PS area. (However, there is no equivalent data
element in the HR area.)
The following report output is needed for employees under OCIP projects (OCIP Report):
Job Employee Company ST OT DT ST OT DT Trade Trade

Number ID/Name Code hours hours hours earnings earnings earnings Class Level
(Project)
The report output should be ALV, to facilitate totals, sub-totals and sorting.
9.0 Tax
SAP uses the BSI TaxFactory 7.0 tax calculation engine for calculating tax. Tracer has to procure and
separately install the BSI executable along with the BSI database for this purpose. Additionally Tracer has to
regularly apply the BSI Tax Update Bulletins (TUBs), both in the SAP and the BSI databases, to keep the tax
tables up-to-date.
The SAP Tax Calculation Process:
Before the SAP Payroll component sends any data to the BSI TaxFactory for tax calculation, the payroll
driver goes through a number of steps to determine exactly which taxes will be applied for each payment or
deduction wage type. These steps depend largely on how you configure wage types, tax types, tax authorities,
and taxability models in the Tax section of the Payroll: USA IMG. This topic illustrates the process by which
the payroll driver determines which tax calculations will be performed by the BSI tax calculation engine.
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The following graphic illustrates the SAP tax calculation process.
The tax calculation process follows these steps:

1. The payroll driver determines which tax authorities apply to the employee, such as residence area FED, by
looking at the employee's master data.
2. The payroll driver reads a wage type and its tax class (processing class 71 specification). For example,
1001 Salary of $1000.00 with processing class 71 specification 0 (Regular wages).
3. Based on the applicable tax area and tax authority, the payroll driver selects a taxability model for this
combination of tax class, tax area and tax authority. In this case, the taxability model would look like this:
Tax Authority Tax model R/W/U Tax Class Tax Type Combo
FED 01 R 0 08
4. Based on the tax type combination included in the taxability model, the payroll driver determines which tax
types must be applied to the wage type amount. The payroll driver sends BSI the wage type amount and the
relevant tax types. In this case, the following data would be sent to BSI for tax calculation:
Amount Tax Type

$1000 01 Withholding tax
$1000 02 EIC Payment
$1000 03 EE Social Security
$1000 04 ER Social Security
$1000 05 EE Medicare
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$1000 06 ER Medicare
5. The BSI tax engine calculates the tax on the wage type amount. The tax types passed to BSI determine
which calculation formulas it uses.
6. BSI returns the results of the tax calculations to the SAP Payroll system, including the tax amounts
calculated for each wage type amount and tax type. This information appears in the payroll log.
Result
The tax wage types determined in this process are stored in the payroll results cluster for the employee. These
tax wage types can also be copied to the tax interface tables where they form the basis for various tax reports
generated by the SAP Tax Reporter component.
9.1 Tax – Tax Company
Nine Tax Companies are defined for GMR Infotech.
Table/View T5UTL - Tax Company

Menu Path IMG -> Payroll -> Payroll: USA -> Tax -> Tax Companies -> Define tax
companies
Tax – Assigning Tax Company to Personal Area
Tax company is assigned to each personnel area/subarea combination in this step.
Table/View T5U0P - Additional organizational data for personnel area/subarea

Menu Path IMG -> Payroll -> Payroll: USA -> Tax -> Tax Companies -> Assign tax
company to personnel area
Tax – BSI Tax Company
Need to maintain the same table entries in the BSI database with the BSI client GUI .
Table/View BTXCOMP - BSI: Tax Company Code

Menu Path IMG -> Payroll -> Payroll: USA -> Tax -> Tax Companies -> Define BSI
tax company
Tax – Assign Tax Identification Number to BSI Tax Company
Assign each employer identification number to a BSI tax company .
Table/View T5UTH – Tax Number <-> BSI Tax Interface

Menu Path IMG -> Payroll -> Payroll: USA -> Tax -> Tax Companies -> Define tax
identification numbers by BSI tax company
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Tax – Define federal/state/local employer ID number
Define federal, state and local employer ID numbers within each tax company in this step.
Table/View V_T5UTI - Employer ID Number

Menu Path IMG -> Payroll -> Payroll: USA -> Tax -> Tax Companies -> Define
federal/state/local employer ID number
9.2 Tax – Maintain Tax Processing Classes
In this step you set the values for the following processing classes for all tax wage types. This allows
controlling the way the wage types are processed by the payroll system.
The processing classes involved in this step are:

Processing
class Definition
---------------------------------
67 Work tax area override proration for supplemental wages
68 Payment type for tax calculation
69 Taxable earning or non-taxable earning
70 Work tax area override proration for salaried employees
71 Wage type tax classification
72 Employer / employee tax
84 Non-cash income type for tax calculation

Menu Path IMG -> Payroll -> Payroll: USA -> Tax -> Tax-Related Wage Types ->
Maintain tax-related processing classes
9.3 Tax – Maintain States of Operation
In this step you enter the states in which you operate. This data will be used to populate the relevant tax
authorities for your firm.
Table/View T5UTC - States of Operation or Residency

Menu Path IMG -> Payroll -> Payroll: USA -> Tax -> Load Tax Data -> Maintain
states of operation
9.4 Tax – Tax Authorities
In this step, you check all tax authorities valid for your organization. Tax authorities defined here are used in
infotypes:
 0161 - IRS Mandates

 0209 - Unemployment State
 0210 - W-4 Withholding Information
 0234 - Withholding Overrides
 0235 - Other Taxes
Page 19 of 33
In this step, you can also define the following exemption limit criteria:
 Number of allowances limit for each tax authority

 Month and day on which an exemption expires for each tax authority
Table/View T5UTZ - Tax Authorities

Menu Path IMG -> Payroll -> Payroll: USA -> Tax -> Tax Data -> Maintenance -> Tax
Authorities -> Check tax authorities
Tax – Maintain Sort Number for Tax Authority
In this step, you may check or change the assigned sort number for each authority. The sort number is used to
determine the authority's position on a pay statement.
Table/View V_5UTZ_B - Sort number for tax authority

Menu Path IMG -> Payroll -> Payroll: USA -> Tax -> Tax Data Maintenance -> Tax
Authorities -> Check sort number for authority
Tax – Maintain W-4 and exemption limit indicators
In this step, you define whether each tax authority requires a withholding form, and whether exemption limits
may be imposed by that authority.
 Check the W-4 indicator for each authority.

 Check the IRS indicator for exemption limits.
 Make any changes, if necessary.
Table/View V_5UTZ_C - W4 and IRS exemption limit indicators for tax authority
Authorities -> Check W-4 and exemption limit indicators
Tax – Check status of territories
In this step, you may designate whether an authority is a US territory. This information is used in payroll for
calculation of certain taxes.
Table/View V_5UTZ_D - Territory indicator for tax authority

Authorities -> Check status of territories
Tax – Check Tax Authority Mapping
In this step, you can display how each SAP tax authority code is mapped to the corresponding BSI tax
authority code.
Page 20 of 33
Table/View V_BTXTAXC - BSI: Grouping BSI Tax Authorities to SAP Tax Authorities
Authorities -> Check tax authority mapping
Tax – Maintain Filing Status
In this step, you define all valid filing statuses for each tax authority. Filing status is used in Infotypes 0161
(IRS Mandates) and 0210 (W-4 Withholding Information).
Example
 Fed 01 (Federal authority, status 'Single')

 Fed 02 (Federal authority, status 'Married')
Table/View T5UTK - Marital Status

Authorities -> Define valid filing statuses
Tax – Maintain Tax Types
In this step, you may view all tax types available in the system. Tax types are used in wage types and in
Infotype 0235 (Other Taxes).
Example
 01 Withholding tax
 05 Employee Medicare tax
 10 Employer unemployment
Table/View T5UTT - Tax Types (US)

Types -> Check tax types
Tax – Maintain Tax Types Per Tax Authority
In this step, you may view all tax types for each tax authority.
Example
Authority Tax Type

 CA California 01 Withholding
 CA California 10 Employer Unemployment
 CA California 41 State Disability
Page 21 of 33
SAP recommends that the formula and rounding indicators NOT be maintained. The standard SAP R/3
system uses the correct formula and rounding indicators for each tax type.
Table/View T5UTD - Default Tax Type (US)

Types -> Maintain tax types per tax authority
Tax – Maintain Work Related Tax Areas
In this step, you define work tax areas not included in the standard SAP system. Work tax areas are used in
Infotype 0208 (Work tax area).
Example
AL0G (Birmingham, Alabama)
Since Alabama contains both city and county tax authorities, only the higher level of the two, counties, are
loaded. For example, residence tax area AL0H (Jefferson County, Alabama) is loaded during the load process,
but city tax authorities within Jefferson County are not loaded. Therefore, if you have employees working in
such a city, you would have to create a new tax area here that includes the required city tax authority as well
as the county, state and federal authorities.
Table/View T5UTB - Work Tax Areas

Areas -> Maintain work-related tax areas
Tax – Maintain Work Related Tax Areas
In this step, you assign tax authorities to the work tax areas you defined in the previous step.
Example
Tax Area Authority

AL0G AL (State of Alabama)
AL0G AL0G (Birmingham)
Standard settings
The SAP standard provides tax areas which include the state tax authority, and the highest level local
authority within the state
Table/View T5UTW - Tax Authorities per Work Tax Area

Areas -> Maintain tax authorities per work tax area
Tax – Maintain Zip Code Ranges Per Work Tax Area
Page 22 of 33
In this step, you assign zip code ranges to new work tax areas. You may also maintain zip code ranges for
existing tax areas.
Example
Area Zip Code Range

AL0G (Birmingham) 35200-0000 - 35299-9999
Table/View T5UTG - ZIP Code Ranges for Work Tax Areas

Areas -> Maintain zip code ranges per work tax area
Tax – Maintain Residence Tax Area
In this step you define residence tax areas not included in the standard SAP R/3 system. Residence tax areas
are used in infotype 207 (Residence tax area).
Example
AL0G (Birmingham, Alabama)

Since Alabama contains both cities and counties, only the higher level
of the two, counties, are loaded. For example, residence tax area AL0H (Jefferson county, Alabama) is loaded
during the load process, but city areas in Alabama are not loaded. If specific city areas are required by your
organization, they must be created here.
Standard settings
The SAP standard provides tax areas which include the federal tax authority, state tax authority and the
highest level local authority within the state.
Table/View T5UTA - Resident Tax Areas

Areas -> Maintain residence-related tax areas
Tax – Maintain Tax Authorities per Residence Tax Area
In this step, you assign tax authorities to the residence tax areas you created in the previous step or add tax
authorities to existing areas.
Example
Tax Area Authority

AL0G (Birmingham, AL) FED (Federal)
AL0G AL (State of Alabama)
AL0G AL0G (Birmingham)
Standard settings
Page 23 of 33
The SAP standard provides tax areas which include the federal tax authority, state tax authority and the
highest level local authority within the state.
Table/View T5UTR - Tax Authorities per Resident Tax Area

Areas -> Maintain tax authorities per residence tax area
Tax – Maintain Zip Codes Ranges per Residence Tax Area
In this step, you assign zip code ranges to new residence tax areas. You may also maintain zip code ranges for
existing tax areas.
Example
Area Zip Code Range

AL0G 35200-0000 - 35299-9999
Table/View T5UTF - ZIP Codes for Residence Tax Areas

Areas -> Maintain zip code ranges per residence tax area
Tax – Define Tax Authority
The taxability model contains information used to calculate the appropriate taxes for the federal government,
and state and local tax authorities.
Two tables are used to keep SAP and customer taxability model data separate. This ensures that customer
changes are never automatically overwritten and that the SAP model is always available for reference.
The report 'Expand Tax Models' enables you to expand tax authorities and display their respective tax types.
This report can be accessed from the US Payroll menu: Info system -> Tax -> Tax Utilities
Table/View T5UTE - Tax Authority / Tax Calculation Model

Models (Subsequent Maintenance) -> Define tax authority model
Tax – Define Taxability Model
In this step, you define tax models for each combination of type of payment, type of employee, and residency
or work. Each combination determines a set of tax types to be used for the model.
Example
Model Res/Wrk EmpTyp Payment Combination

01 R U1 1 10
01 W U1 1 10
01 R U1 2 11
Table/View T5UTM - Tax Model
Page 24 of 33

Models (Subsequent Maintenance) -> Define taxability model
Tax – Define Tax Type Combinations
In this step, you define combinations of tax types.
Example
Combination Tax Type

10 01 (Withholding)
10 03 (Employee OASDI)
10 05 (Employee Medicare)
11 01 (Withholding)
Table/View T5UTY - Tax Type Combinations

Models (Subsequent Maintenance) -> Define tax type combinations
Tax – Define BSI tax company experience rates
In this section, you define unemployment tax rates as well as other tax rates and their ceilings.
Unemployment insurance is a self-adjusting tax. If this tax was under withheld in a period, the system will try
to make up for it in the next period. The system uses the tax rates defined here when performing the self-
adjustment. The ceilings and rates defined here ensure continuity when an employee moves to a different state
with a different tax rate for self-adjusting taxes.
This means the system takes the different tax rates and ceilings into account when looking at the year-to-date
unemployment insurance tax withheld to determine if an underpayment was made in a previous period.
Table/View BTXRATE - BSI: Tax Rates per Company Based on Degree of Experience
Menu Path IMG -> Payroll -> Payroll: USA -> Tax -> Tax Data Maintenance ->
Unemployment Insurance -> Define BSI tax company experience rates
Tax – Define BSI tax company experience rates
In this step, you set up deduction priorities and rules for tax wage types. For more information about tax
priority functionality, please refer to the documentation of Function UTPRI (Tax priority (USA)).
Recommendation
Only perform this step if you have particular priorities for a tax authority.
Example
Case 1: Only tax level is used to sort tax authorities.
Page 25 of 33
CM L Auth Wage type From To 1 2 3 OR

+--+-+----+----+---------------+----------+----------++--+----+-++-+-*
10 A /401 Withholding tax 01/01/1995 12/31/9999 01 3 22
10 A /403 Employee OASDI 01/01/1995 12/31/9999 01 1 22
10 A /405 Employee medica 01/01/1995 12/31/9999 01 2 22
10 B /401 Withholding tax 01/01/1995 12/31/9999 02 2 22
10 B /441 Disability Tax 01/01/1995 12/31/9999 02 1 22
10 C /401 Withholding tax 01/01/1995 12/31/9999 03 2 22
10 C /451 Occupation tax 01/01/1995 12/31/9999 03 1 22
10 D /401 Withholding tax 01/01/1995 12/31/9999 04 2 22
10 D /451 Occupation tax 01/01/1995 12/31/9999 04 1 22
The priorities will be:
A FED Federal /403 Employee OASDI 01 1

FED Federal /405 Employee medica 01 2
FED Federal /401 Withholding tax 01 3
B AL Alabama /441 Disability Tax 02 1
AL Alabama /401 Withholding tax 02 2
AR Arkansas /441 Disability Tax 02 1
AR Arkansas /401 Withholding tax 02 2
...
WI Wisconsin /401 Withholding tax 02 2
WV West Virginia /401 Withholding tax 02 2
C IN01 Adams /401 Withholding tax 03 2
IN02 Allen /401 Withholding tax 03 2
...
D AL01 Attalla /451 Occupation tax 04 1
AL02 Bessemer /451 Occupation tax 04 1
...
Case 2: Puerto Rico taxes are prioritized lower than other state tax authorities.
CM L Auth Wage type From To 1 2 3 OR

+--+-+----+----+---------------+----------+----------++--+----+-++-+-*
10 A /401 Withholding tax 01/01/1995 12/31/9999 01 3 22
10 A /403 Employee OASDI 01/01/1995 12/31/9999 01 1 22
10 A /405 Employee medica 01/01/1995 12/31/9999 01 2 22
10 B /401 Withholding tax 01/01/1995 12/31/9999 02 2 22
10 B /441 Disability Tax 01/01/1995 12/31/9999 02 1 22
10 PR /401 Withholding tax 01/01/1995 12/31/9999 02 0001 2 2 2
10 PR /441 Disability Tax 01/01/1995 12/31/9999 02 0001 1 2 2
10 C /401 Withholding tax 01/01/1995 12/31/9999 03 2 22
10 C /451 Occupation tax 01/01/1995 12/31/9999 03 1 22
10 D /401 Withholding tax 01/01/1995 12/31/9999 04 2 22
10 D /451 Occupation tax 01/01/1995 12/31/9999 04 1 22
The priorities will be:
A FED Federal /403 Employee OASDI 01 1

FED Federal /405 Employee medica 01 2
FED Federal /401 Withholding tax 01 3
B AL Alabama /441 Disability Tax 02 1
AL Alabama /401 Withholding tax 02 2
AR Arkansas /441 Disability Tax 02 1
AR Arkansas /401 Withholding tax 02 2
Page 26 of 33
...
WI Wisconsin /401 Withholding tax 02 2
WV West Virginia /401 Withholding tax 02 2
PR Puerto Rico /441 Disability Tax 02 0001 1
PR Puerto Rico /401 Withholding tax 02 0001 2
C IN01 Adams /401 Withholding tax 03 2
IN02 Allen /401 Withholding tax 03 2
...
D AL01 Attalla /451 Occupation tax 04 1
AL02 Bessemer /451 Occupation tax 04 1
...
Table/View V_T5US0 - Priority for tax wage types

Menu Path IMG -> Payroll -> Payroll: USA -> Tax -> Tax Data Maintenance ->
Maintain priority of tax wage types
10.0 Payroll Posting to FI/CO
Within FI/CO configuration for Tracer, the Business Area field has been made a required field on the FI
document. It is therefore required that the Business Area be made a required field on IT0001 in Personnel
Administration. This will ensure that the posting document from payroll is not rejected in FI/CO.
The cost centers have also been defined. These cost centers need to be mapped to individual Organization
Units and if required, Positions within Organization Management.
10.1 Activities In HR System
Define Employee Grouping / Account Assignment – Feature PPMOD
In this step, define the employee groupings for account determination. No need to specify employee groupings
unless it needs to post wage types to various accounts in Financial Accounting (FI) in line with employee
attributes.
If you want to post to FI accounts with reference to a specific employee groupings, you must define an
alphanumeric key of up to three characters for each of the required employee groupings. You then define the
conditions for assigning employees to employee groupings that you have defined for posting to accounting.
(You set conditions according to employee attributes, as defined by entries in the Workplace Basic Pay table
(WPBP). Note that an employee can, at any one time, only be assigned to one employee grouping.
Table/View T549B - Company Features

Transaction Code Pe03 – Feature PPMOD
Menu Path IMG -> Payroll -> Payroll: USA -> Posting to Financial Accounting ->
Activities in the HR-System -> Employee grouping and symbolic accounts -
> Define employee grouping/account assignment -> Maintain Feature
Define Employee Grouping / Account Assignment
Page 27 of 33
Table/View V_T52EM - Employee Grouping for Account Determination

Transaction Code IMG
> Define employee grouping/account assignment -> Employee Grouping /
Account Assignment
Define Symbolic Accounts
Table/View V_T52EK - Symbolic Accounts

> Define symbolic accounts
Define Wage Type Attributes
Here you specify which wage types are to be posted, how often they are to be posted within the evaluation of
one payroll result, and the symbolic account to be used for each posting.
You can also maintain the following posting characteristics:
 Plus/minus sign
The system stores wage types with a plus (+) or minus (-) sign in the payroll result. How specific wage types
are stored depends on how the system processes them during the payroll run. In the standard system, the sign
is usually set correctly for secondary wage types. If you enter a plus sign (+) in the V column, positive
amounts are posted as debits, and negative amounts are posted as credits. If you enter a minus sign (-) in the V
column, positive amounts are posted as credits and negative amounts are posted as debits.
 Processing a wage type

You can use the processing type to assign posting characteristics of a wage type to the following business
processes:
Posting payroll results
Posting month end accruals
Supplying personnel cost data to Cost Planning
 Symbolic account
 Account assignment type

The account assignment type determines which account type is to be used for posting. It is defined by the
symbolic account, and can only be displayed in this column.
 Indicator specifying whether the cost assignment for infotypes Recurring payments/deductions
(0014), Additional payments (0015), and Employee remuneration information (2010) should be
ignored (table C1).
Table/View V_T52EL - Wage Type Posting

Activities in the HR-System -> Wage Type Maintenance -> Define wage
Page 28 of 33
type posting attributes

Define Payroll Period Posting Date
Table/View V_T549S_B - Period-Related Date Entries

Menu Path Payroll -> Payroll: USA -> Posting to Financial Accounting -> Activities in
the HR-System -> Maintain payroll period posting date
Details of Configuration Here generate and maintain the posting date for each payroll period of a
payroll area. This setting is relevant if you set the According to period
definition indicator as a default when you create the posting run.
Accounting components use the posting date to determine the posting period
to which postings are to be made.
10.2 Activities In FI System
In this section, you assign accounts in Accounting to symbolic accounts in Human Resources. According to
this assignment, during posting to Accounting, the accounts in Financial Accounting are assigned to line items
for which symbolic accounting has been performed.
With the exception of the technical accounts, the activities for the various account types contain an identical
step, that is, you must define the rules for the corresponding posting transaction. Note the following
information for carrying out this step:
 The Debit/Credit indicator must only be set if you want to post debits and credits to different
accounts. It is not advisable to set this indicator, since in posting to Accounting, only summarized
documents are posted.
 If you set the EE group indicator, a further column EE group appears in account assignment. You
must only set this indicator if you want to post to any symbolic account for a specific employee
grouping. You make the relevant settings for posting to symbolic accounts in the step Define
Symbolic Accounts.
The Posting to Accounting done on excel with ETV codes mapped to wage types and GL accounts are as
attached:
11.0 Electronic Funds Transfer (EFT)/Checks
Following is the list of house banks:
Purpose Account No. Bank Name Bank ABA No.

TCC direct deposit 1560191825 J P Morgan Chase 111000614
TCC checks 1560191890 J P Morgan Chase 111000614
TSI direct deposit 1560191817 J P Morgan Chase 111000614
TSI checks 1560191882 J P Morgan Chase 111000614
AIS checks 1560191908 J P Morgan Chase 111000614
TFS checks 1560191890 J P Morgan Chase 111000614
AIS direct deposit No direct deposit
TFS direct deposit No direct deposit
Page 29 of 33
Wages and salaries are always paid in the US in USD. No FI payments are made in the HR system.
The prenotification function is not needed. New hires usually receive a physical check for their first payroll,
unless the payroll administrator overrides it for a bank transfer.
A sample paycheck has already been provided. The whole company will have the same layout for all
employees. There are no messages that need to print on the paychecks. Checks are to be sorted by last name
for union employees (AIS). For all other employees, checks are to be sorted by department (organization
unit?) and then by last name of the employee. Printing of paystubs and checks will mostly be done at a single
location. However for large projects, it may become needed to print checks on site. In that case, printers
connected to the SAP R/3 systems will be set up at the project location, for check printing. Tracer has already
verified the capability of printing checks from the SAP system. It is yet to be decided if checks are to be
printed using the SAP system or a third-party software (the “Create-A-Check” software).
There is another requirement to print checks selectively for some employees. It is to be explored how this can
be achieved in the standard system.
Zero-net checks need to be printed.
Retro payments need to be printed separately on the paystub, retro deductions are to be lumped together.
12.0 Payroll Payments to Third parties
Currently the payments to third parties (e.g. for tax, benefits, garnishments, etc.) are being made manually to
third parties. No electronic funds transfers are being used.
All benefits (both union and non-union) payments are A/P checks.
All garnishments payments are done with A/P checks.
For payment of Federal taxes, the payroll administrator uploads the taxes for each pay period for each
company to a website.
There are some EFTs presently done through the ADP system. These would be brought over to the manual
process (checks) for the Phase 1 go-live.
Thus, the SAP Third-Party Remittance functionality may not be needed for Phase 1. It will be explored later,
and if required and feasible, will be made a Phase 2 functionality.
13.0 Tax Reporter
Tracer uses the following forms: Form 941, SUI forms, Form 940 and W-2. Historically very few W-2Cs or
941Cs were required.
14.0 Forms, Reports, Interfaces, Conversions, Enhancements (FRICE)
14.1 Forms
1. The US paycheck needs to be developed for paying employees by check.
14.2 Reports
1. Payroll Reconciliation Report
The standard reconciliation report will be used. The two wage type applications C941 and CCW2 will
be set up to include all required customer wage types for reconciliation.
2. Wage Type Reporter
Page 30 of 33
The standard wage type reporter will be used to replace various reports that are presently used.
3. Remuneration Statement
The standard US Remuneration Statement program (RPCEDTU0) will be used to print paystubs. The
US Off-Cycle Workbench (transaction PUOC_10) can also be used to display paystubs for employees
individually. The layout of the standard form needs to be modified. The custom layout has been
provided separately.
4. Display Payroll Results
The standard US payroll results report (RPCLSTRU) will be used to display payroll results per
employee per payroll period.
5. Payroll Journal
This standard SAP report, including the form needs to be set up.
6. Monthly/ Quarterly Report for Tax
The report is used to fill up standard government forms for State Withholding Taxes. The report is to be
printed and sub-totals/totals are to be drawn per state per employee, MTD/QTD/YTD.
Below are the fields that need to be on the report. It should be an ALV output.
Employee No. Employee Name State Gross Wages SWH Exempt SWH Tax
The SAP Wage Type Reporter, or a variant of it, could be possibly used to generate this report.
7. Quarterly FUTA/FICA Report
The report is used for quarterly reporting of FUTA/FICA to IRS.
Employee Employee SSN QTD Gross TYD QTD QTD QTD

Number Name Earnings Gross Taxable Taxable Taxable
Earnings Earnings Earnings Earnings
FICA – SS FICA – FUTA
Med
The second part of this report (see last page on hard copy) is same as the SAP quarterly 941 Form.
8. Quarterly SUTA Report
This report is used for Quarterly SUI reporting.
State Employee Employee SSN Credit YTD QTD QTD QTD QTD
No. Name Weeks SUTA SUTA Subject State SUTA
Earnings Earnings to S/W W/H Taxable
Page 31 of 33
Totals and sub-totals are to be drawn at state level.
Credit Hours: The number of weeks that an employee worked in a quarter. For the state of WA, this is
however the number of hours worked. Such that we can consider a week as “worked”, the employee
needs to earn at least $50 in wages in that week.
9. Fringe Report
This report shows wage type assignments per project. For US this is not required.
10. Union Report
This monthly report is used to display employee earnings and hours for each Union Local and Trade
Level.
Union Local
Trade Level
Employee Number
Employee Name
SSN
Hours worked week 1
Hours worked week 2
Hours worked week 3
Hours worked week 4
Hours worked week 5
Total ST Hours
Total OT Hours
Total DT Hours
Total hours worked
Hours paid
Days worked?
ST earnings
OT earnings
DT earnings
Total earnings
Employee Deduction 1
…
…
Employee Deduction n
Employer Benefit 1
Employer Benefit 2
Employer Benefit 3
…
…
Employer Benefit n
Totals and sub-totals are to be drawn at Trade Level and Union.
This seems to be a candidate for a custom report.
Page 32 of 33
11. Workers’ Compensation Report/ OCIP Report
Please see the section titled “Workers’ Compensation”.
14.3 Interfaces
Please refer to the section titled “Employee (non-union) Benefits” for a description of all Benefits
interfaces.
14.4 Conversions
For a targeted go-live date of 2/1/2007, the year-to-date (YTD) payroll results for the period just preceding
the actual go-live on SAP will be uploaded to the payroll cluster, by transferring the actual YTD results
from the legacy system. This will be done using a special payroll run. These final payroll results will only
be the actual payments to and deductions from the employee and the contributions made by the employer to
external agencies. Certain other wage types (example YTD taxable incomes and bases), will also be
uploaded.
14.5 Enhancements
Employees sometimes work outside of their default tax area. The overridden tax area will need to be
captured on the time sheet. However it could become a huge manual effort on part of the user to capture the
tax area (particular at the local authority level) on the time sheet. Presently in the legacy system, the Job
Number for the project (e.g. 81-5659) has a mapping set up, that defaults the correct tax area on the
employees’ time sheet. This mapping is not available in SAP standard and has to be set up, either on any
available User Exit, as a custom report or as a modification to the standard. A new custom table has also to
be created, on which this mapping may be maintained by the user.
15.0 Security and Authorizations
Following are the key roles for US Payroll. These roles, and other roles, if needed, will be further defined in
the realization phase. These roles may need to be copied and modified to meet requirements.
 SAP_HR_PY_US_PAYROLL-ADM Payroll Administrator United States

 SAP_HR_PY_US_PAYROLL-MANAGER Payroll Manager United States
 SAP_HR_PY_US_PAYROLL-PROC-ADM Payroll Process Administrator United States
 SAP_HR_PY_US_PAYROLL-SPEC Payroll Specialist United States
16.0 Schema and Rule Customization
Report - RPDASC00: Formatting schemas and personnel calculation rules
Report RPDASC00 lists the entries in tables T52C0 and T52C5 according to the set parameters. Table
T52C0 takes the COPY statements into account and table T52C5 the personnel calculation rule statements.
GMR Infotech has copied U000 as &000 and customized with new rules as per the business requirement.
Page 33 of 33

Payroll USA Configuration

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Real time Project

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Sign Off Date Signature Customer Signature Consulting

2.0 Payroll Organization

2.1 Payroll Area

2.2 Default Payroll Area

2.3 Payroll Periods

Table/View Structure: PV000, TR: PA03

Table/View V_T549Q, V_T549S_B, V_T549S

2.4 Employee Subgroup Groupings for PCR and CAP

2.5 Process Models for Payroll

Process models are not in scope.

2.6 Hourly Rates with several Decimal Places

3.0 Wage Types

3.1 Wage Types from Table T511 or T512T - Report RPDLGA00

3.1 Use of Wage Types in Payroll - Report RPDLGA20

The report displays the following:

 the meaning of the wage type characteristics

3.2 Wage Types with Processing Class in Payroll - Report RPDLGA40

4.1 Garnishment Document Category

4.2 Garnishment Originator

4.3 Garnishment Remittance Rule

Garnishment Remittance Rule Details

1. How to determine the due date

Table/View T51RK - Remittance rule definition

4.4 Garnishment Government Rule

4.5 Modifier for Company Rule

Table/View Feature – UGREM

4.6 Garnishment Company Rule

4.7 Garnishment Service Charge

4.8 Garnishment Service Charge Government Rule

Which government rule is to be applied to garnishment service charges

Table/View V_T5UG6 - Government Service Charge

4.9 Modifier Service Charge for Company Rule

Table/View Feature – UGSVC

4.10 Garnishment Service Charge Company Rule

4.11 Garnishment Number Ranges

Garnishment Transfer - Remittance

Garnishment Vendor Sub Group

4.12 Garnishment Wage Types

Assign the selected wage types to Garnishment wage type group

4.13 Garnishment Order Types

4.14 Garnishment – Adjustable Model for Disposable Net

Table/View T5UG5 – Adjustment Model Text

Table/View V_T5UG2 – Adjustment to the Disposable Net

4.15 Garnishment – Define Levy Form Text

Table/View T5UGH – Levy Statement

Table/View V_T5UGD – Filing Status

Garnishment – Create exempt amount from levy

Create the exempt amounts per payment period.

Table/View V_T5UGE – Figuring Amount Exempt from Levy

Garnishment – Create additional exempt amount

Create the additional exempt amounts per payment period.

Table/View V_T5UGF – Figuring Additional Exempt Amount

4.16 Garnishment – Special Rules

Table/View V_T5UGF – Figuring Additional Exempt Amount

Garnishment – Special Rules: Create Calculation Scheme

Table/View V_T5UGB – Calculation Scheme for Special Rule

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