Correctly Clear Claims in SAP’s US Payroll: Part 2

  • by Steve Bogner, Managing Partner, Insight Consulting Partners
  • November 15, 2005
Walk through the three basic steps of the claims process. Then, apply these principles to deal with more complex scenarios and unusual claims cases.
Key Concept

The claims clearing processes uses wage types to handle claims. To forgive a claim, you can use wage type 9FEx for earnings, 9FPx for pretax deductions that were refunded in the retro, and 9FDD for post-tax deductions that were refunded in the retro. Note that x = the tax class (processing class 71). To repay a claim, you can use wage types 9REx for earnings, 9RPx for pretax deductions that were refunded in the retro, and 9NET to record the net amount of the claim repaid by the employee. Repay the claim via periodic payroll deductions using wage type 9Dx0 for the deduction, 9Dx1 for the goal, and 9Dx2 for the total.

In Part 1 of this series, in the October 2005 HR Expert, I presented a claims clearing scenario. In this article, I will summarize the claims clearing process and discuss advanced claims techniques.

Before beginning the claims clearing process, ensure that your system is properly configured for the appropriate processes and wage types. For more information, go to the HR USA section of the SAP Service Marketplace (http://service.sap.com/hrusa). Then, click on the Documentation link in the left frame and then locate the Claims Processing document.

Steve Bogner

Steve Bogner is a managing partner at Insight Consulting Partners and has been working with SAP HR since 1993. He has consulted for various public, private, domestic, and global companies on their SAP HR/Payroll implementations; presented at the SAP user's group ASUG; and been featured on the Sky Radio Network program regarding SAP HR.

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