Use the Indirect Valuation Module CONST to Easily Achieve Complex Wage Type Calculations

  • by Raghavendran Parthasarathy, Principal Consultant, Hexaware Technologies
  • October 27, 2011
Meet your organization’s needs for automating some payments for employees based on constant values stored in a back-end table. Achieve this functionality with a few simple configuration steps.
Key Concept
The indirect valuation module CONST with different variants is not widely used in many implementations, but it should be — it is very simple to configure and use. With a bit of innovation it can be used for many complex calculations, in non-payroll SAP environments as well as in other SAP systems. The proper use of this module provides an easy, efficient way for payroll administrators to enter wage types in the front end for applicable employees.

Some payment types are based on constant values stored in back-end tables, and calculations happen either in payroll processing or through indirect evaluation modules. I discuss how to automate the calculation of some payment types that can be calculated automatically using the indirect evaluation module CONST.

You can automate the calculations of payments based on constant values, with the final values either being processed through SAP ERP HCM payroll or interfaced to a third-party system.

Using examples, I show how to configure two types of payments in the standard SAP ERP HCM system: fuel reimbursement and bonus payment. This configuration is applicable to all versions of SAP ERP HCM from 4.0B on. The basic prerequisites are fully implemented SAP ERP HCM systems with the following infotypes:

  • Infotype 0008 (basic pay)
  • Infotype 0014 (recurring payments and deductions)
  • Infotype 0015 (additional payments)

In addition, the system prerequisites for both scenarios are as follows:

  1. A fully configured wage type list
  2. A fully loaded employee database
  3. Two payment wage types (one for a fuel allowance and one for a sector [sales] bonus)
  4. An active payroll system (this is applicable if you want to pass this to internal SAP payroll) or an active integration with a third-party payroll system to send the values

Raghavendran Parthasarathy

Raghavendran Parthasarathy works for Hexaware Technologies as a Principal Consultant,where he manages SAP solution design for customers across the globe. He has worked in SAP ERP HCM for over 14 years in various capacities, including payroll projects in the Middle East, Europe, and Asia/Pacific. In addition to payroll, Raghavendran has experience in negative time management, personnel administration, and recruitment. He has also been a part of portal implementations. Currently, he is involved with cloud-based HCM applications such as SAP SuccessFactors and Workday.

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