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Former Member
Apr 09, 2012 at 12:03 PM

HRA Monthly Exemption

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Hi Seniors,

HRA Exemption computation at my client:

April Month Legacy Calculation:

Basic HRA CA Total Rent Paid HRA Rcvd. 40% of Basic paid over 10% Exemption 14849.00 7425.00 4284.00 26558.00 7500.00 7425.00 5940.00 6015.00 5940.00

System is picking up the minimum of 7500.00, 5940.00 and 6015.00

HRA Exemption computation in SAP:

I have done all related configuration right from infotype 8 and 581 to tables like V_512W_D, V_T7INA9, V_T7INT9 AND v_T7INR* series.

I am running payroll for the month of April 2012.

In SAP system is computing as per below logic.

Finding the annual basis
Elig (Annual) = Elig(YTD) + Elig (Curr Mon) + Proj Months * Latest Value

Non Metro HRA Elig : 89,100.00 = 0.00 + 7,425.00 + 1.10E+01 * 7,425.00


Basis (Annual) = Basis(YTD) + Basis (Curr Mon) + Proj Months * Latest Value
Non Metro HRA Basis : 178,188.00 = 0.00 + 14,849.00 + 0.00 + 1.10E+01 * 14,849.00

Non-Metro HRA Exemption is the minimum of the following three
71,275.20 = 40.00 * 178,188.00 / 100.00
89,100.00
90,000.00 = 90,000.00 - { 0.00 * 178,188.00 / 89,100.00

Total HRA Exemption = 71,275.20

System is computing exemption on annual basis and reflecting in /4E4.

My client wants to have HRA exemption on monthly basis and not on annual basis.

Please guide me.