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Former Member

Employee Resignitation- Full & Final Settlement

Dear All,

I have assigned to configure a complete Full & Final Settlement process for one of the mid size company with branch offices spread across the country.

I have searched info on various sites but confused a lot , and some colleagues suggested me for abap development. but client wants a solution from sap itself.

HR function supports from head office only.

Present  Process is manual and  totally depend on admin dept.

Requirements

  1. Employee resigned either serving the notice period or not.
  2. Last working dates may vary either  month end or middle of the month or even in between any days

Now the requirement,

  1. Resignation Action-- Which info types we need to use for this action- When we need to  initiate the action in SAP . Sequence of order and steps. A complete process is helpful.
  2. How to process the salary
    • salary part
    • PF
    • Professional Tax
    • and all other benefits

How to close PF & PT & ESI accounts & settlement to the respective agencies.

( Regular cycle or off cycle-- some clarification required)

Clients wants a complete display on the Final Pay Slip itself.

  1. Any loans etc , recovery or adjustments - What is the process, which info types we need to run.
  2. How system triggers with respect to employee related items
    • ID card
    • Laptop/Mobile
    • Company provided Debt Card
    • Other Items If any

Why, I am asking this question is , head office have little or no control on branch offices and client wants the same in sap .

Thanking you,

Regards,

Sumana

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3 Answers

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    Former Member
    Nov 25, 2014 at 08:38 AM

    Hi Sumana,

    No need at all to go for ABAP Development. Tell me frankly, how will ABAP help solve this issue? Just create infogroups and use the below link for further customization:

    PA40 - Actions Configuration

    Hope this is helpful.

    Regards,

    Bhagyashree

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    Former Member
    Nov 25, 2014 at 08:57 AM

    Dear Sumana,

    Please find the answers below -

    As advised by Bhagyashree, you will have to configure an action where you will have a sequence of infotypes which you want to populate, you can refer the document for that and for the other requirements like -

    Now the requirement,

    1. Resignation Action-- Which info types we need to use for this action- When we need to  initiate the action in SAP . Sequence of order and steps. A complete process is helpful. -

    Info types that will populate as per your requirement are IT0000, IT0001, IT0009(delimit the bank record), IT0045 (delimit the loan and the balance should be paid in payroll, in loan payments you will select special repayment payroll if that needs to be recovered in payroll). IT0040 (Objects on loan- configure this and for employees who are taking laptop/mobile, data card etc. update this info type and while F&F call this info type and delimit if its submitted), IT0587 (delimit PF details), IT0588 (Delimit Ptax record).

    2. How to process the salary

    • salary part
    • PF
    • Professional Tax
    • and all other benefits

    How to close PF & PT & ESI accounts & settlement to the respective agencies.( Regular cycle or off cycle-- some clarification required)Clients wants a complete display on the Final Pay Slip itself -

    When you run the payroll it will automatically calculate the salary, PF & PTax. Any recovery or adjustments can be given in IT0015(one time payments).

      

    1. Any loans etc , recovery or adjustments - What is the process, which info types we need to run.
    2. How system triggers with respect to employee related items
      • ID card
      • Laptop/Mobile
      • Company provided Debt Card
      • Other Items If any

    Covered in answer 1.

    I hope you have clarity on this. For configuration steps of action please refer Bhagyashee's doc.

    Thnaks,

    Bhabagrahi

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    Former Member
    Nov 25, 2014 at 09:59 AM

    Hi Sumana,

    I will share you how i configure to my client.

    At time of Employee resignation, user runt he action type Employee Exit and it has the status Inactive. that means payroll will not run from that date on-wards. But Employee is in the company only.

    After that user will calculate his PF, ESI, PTAX, LWF, Loan recoveries, Leave encashment, Bonus or any other payments to him or from him. user will come to one conclusion that either of the party has to give some amount then they process the payroll with said amount and run the Action F&F settlement for the Employee which is status Withdrawn.

    For the Statutory reports the end date will be F&F action date only, no need of extra process for Ptax, PF, ESI these will calculate according to the configurations only.

    All the Info types need to be delimited in the F&F Settlement action type only.

    Best Regards,

    Praneeth kumar

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